Note: This document has been translated from the Japanese original for reference purposes only. In the event of any
discrepancy between this translated document and the Japanese original, the original shall prevail.

February 9, 2023

Summary of Consolidated Financial Results for the Nine Months Ended
December 31, 2022 (Under Japanese GAAP)
Company name:
Mitsubishi Gas Chemical Company, Inc.
Listing:
Tokyo Stock Exchange
Securities code:
4182
URL:
https://www.mgc.co.jp/eng/
Representative:
Masashi Fujii, Representative Director, President
Inquiries:
Satoshi Takizawa, General Manager, Investor Relations Department
TEL:+81-3-3283-5041
Scheduled date to file quarterly securities report:
February 14, 2023
Scheduled date to commence dividend payments:–
Presentation of supplementary material on quarterly financial results: Yes(Yen amounts are rounded down to millions, unless otherwise noted.)

1. Consolidated financial results for the nine months ended December 31, 2022 (from April 1, 2022
to December 31, 2022)(1) Summary of consolidated income statement (cumulative)
Net sales
Nine months ended
December 31, 2022
December 31, 2021
Note:

Operating profit

Millions of yen% Millions of yen

599,322525,29714.1
22.7

45,40044,888(Percentages indicate year-on-year changes.)% Millions of yen

1.1
53.0

63,77958,312Comprehensive income Nine months ended December 31, 2022 ¥67,292 million
Nine months ended December 31, 2021 ¥47,306 million
Basic earnings per
share

Nine months ended
December 31, 2022
December 31, 2021

Profit attributable toowners of parent

Ordinary profit% Millions of yen

9.4
75.0

44,51939,350

%

13.1
51.2

[42.2%][48.5%]

Diluted earnings per
share

Yen

Yen

216.59189.16––(2) Consolidated financial position
Total assets
As ofDecember 31, 2022
March 31, 2022
Reference:

EquityAs of December 31, 2022
As of March 31, 2022

Net assets

Equity ratio

Millions of yen

Millions of yen

1,056,892
928,651

670,991
630,887¥604,956 million¥568,766 million

- 1 -

%

57.2
61.2

2. Dividends
Annual dividend
First quarter-end

Second quarter-end

Third quarter-end

Yen

Yen

Yen

Fiscal year ended
March 31, 2022
Fiscal year
ending March 31,
2023

–

45.00

–

–

40.00

–

Fiscal year-end

Total

Yen

Fiscal year
ending March 31,
2023 (Forecast)

Yen

35.00

80.00

40.00

80.00

Note:
Revisions to the forecast most recently announced: None
Breakdown of interim dividend for the fiscal year ended March 31, 2022:
Ordinary dividend: 35.00 yen
Commemorative dividend: 10.00 yen

3. Consolidated business forecasts for the fiscal year ending March 31, 2023 (from April 1, 2022 toMarch 31, 2023)(Percentages indicate year-on-year changes.)
Net sales

Fiscal year ending
March 31, 2023
Note:

Operating profit

Profit attributable toowners of parent

Ordinary profit

Basicearnings per
share

Millions ofyen%Millions ofyen%Millions ofyen%Millions of
yen

%

Yen

790,000

12.0

52,000(6.1)

72,000(2.9)

50,0003.5

243.54

Revisions to the forecast most recently announced: Yes- 2 -* Notes(1) Changes in significant subsidiaries during the period (changes in specified subsidiaries resulting in thechange in scope of consolidation): None
(2) Application of special accounting for preparing quarterly consolidated financial statements: None
(3) Changes in accounting policies, changes in accounting estimates, and restatement(i) Changes in accounting policies due to revisions to accounting standards and other regulations: Yes(ii) Changes in accounting policies due to other reasons: None(iii) Changes in accounting estimates: None(iv) Restatement: None
(4) Number of issued shares (common stock)(i) Number of issued shares at term end (including treasury stock)
As of December 31, 2022

222,239,199

As of March 31, 2022

225,739,199(ii) Number of shares of treasury stock at term-end
As of December 31, 2022

17,660,220

As of March 31, 2022

17,693,673(iii) Average number of outstanding shares (cumulative from the beginning of the fiscal year)
Nine months ended December 31, 2022

205,547,654

Nine months ended December 31, 2021

208,033,288* Quarterly financial results reports are exempt from audit conducted by certified public accountants or an
audit corporation.
* Proper use of earnings forecasts, and other special matters(Caution concerning forward-looking statements)
The forward-looking statements, including earnings forecasts, contained in these materials are based on
information currently available to the Company and on certain assumptions deemed to be reasonable.
Consequently, any statements herein do not constitute assurances regarding actual results by theCompany. A number of factors could cause actual results to differ materially from expectations.
(How to access supplementary material on quarterly financial results)
The supplementary material on quarterly financial results is disclosed on the same day as this quarterly
financial results report, and it is made available on the Company’s website.

- 3 -Consolidated Financial Statements
1. Consolidated Balance Sheets(Millions of yen)
As of March 31, 2022
AssetsCurrent assets
Cash and deposits
Notes and accounts receivable - trade,and contract assets
Securities
Merchandise and finished goods
Work in process
Raw materials and supplies
Other
Allowance for doubtful accounts
Total current assets
Non-current assets
Property, plant and equipment
Buildings and structures, net
Machinery, equipment and vehicles, net
Other, net
Total property, plant and equipment
Intangible assets
Goodwill
Other
Total intangible assets
Investments and other assets
Investment securities
Other
Allowance for doubtful accounts
Total investments and other assets
Total non-current assets
Total assets-4-

As of December 31, 2022

102,049

120,417

176,556

196,730

6
78,542
19,72957,39819,381△1,453452,210132
91,751
22,436
68,067
21,449△713
520,271

99,58480,40096,399276,384

102,743
88,312
118,601
309,657

4,811
6,478
11,2904,537
7,657
12,195

171,446
17,927△607
188,765
476,440
928,651

194,675
22,015△1,922214,768
536,621
1,056,892

(Millions of yen)
As of March 31, 2022
Liabilities
Current liabilities
Notes and accounts payable - trade
Short-term borrowings
Income taxes payable
Provisions
Other
Total current liabilities
Non-current liabilities
Bonds payable
Long-term borrowings
Provisions
Retirement benefit liability
Asset retirement obligations
Other
Total non-current liabilities
Total liabilities
Net assets
Shareholders' equity
Share capital
Capital surplus
Retained earnings
Treasury shares
Total shareholders' equity
Accumulated other comprehensive income
Valuation difference on available-forsale securities
Deferred gains or losses on hedges
Foreign currency translation adjustment
Remeasurements of defined benefit plans
Total accumulated other comprehensive
incomeNon-controlling interests
Total net assets
Total liabilities and net assets-5-

As of December 31, 2022

92,38738,925
11,997
6,488
49,170198,969

107,31342,372
4,125
4,313
79,019237,145

20,00046,621
3,284
6,252
5,216
17,41898,794
297,763

20,00082,648
2,582
6,406
5,263
31,854
148,755
385,901

41,97034,339492,455△21,525547,239

41,97033,907
516,861△23,837
568,902

11,376

9,444

△326
9,861
614

312
26,486△188

21,52636,054

62,121
630,887928,651

66,034670,991
1,056,892

2. Consolidated Statements of Income(Millions of yen)
Nine months ended
December 31, 2021
Net sales
Cost of sales
Gross profit
Selling, general and administrative expenses
Operating profit
Non-operating income
Interest income
Dividend income
Share of profit of entities accounted forusing equity method
Other
Total non-operating income
Non-operating expenses
Interest expenses
Personnel expenses for seconded employees
Other
Total non-operating expenses
Ordinary profit
Extraordinary income
Gain on sale of investment securities
Gain on recovery of money transfer scam at
subsidiary
Reversal of provision for loss on businessof subsidiaries and associates
Insurance claim income
Gain on step acquisitions
Total extraordinary income
Extraordinary losses
Loss on valuation of shares of subsidiaries
and associates
Loss on disposal of non-current assets
Provision for land maintenance expenses
Provision of allowance for doubtful accounts
Impairment losses
Provision for loss on business of
subsidiaries and associates
loss compensation
Fire Loss
Total extraordinary losses
Profit before income taxes
Income taxes
ProfitProfit attributable to non-controllinginterests
Profit attributable to owners of parent-6-

Nine months ended
December 31, 2022

525,297
401,056
124,241
79,35244,888599,322463,745
135,577
90,17645,400

253
3,058

582
2,870

10,976

14,385

3,191
17,480

5,082
22,921

614
1,051
2,390
4,056
58,312

1,247
1,380
1,914
4,542
63,779

777

1,380

－

182

－

112

2,616
796
4,190

－
－
1,675

－

755

－
－
860
4,983

505
273
250
113

255

－

228
128
6,457
56,045
13,38842,657－－
1,896
63,55814,71848,839

3,306

4,319

39,35044,519(Consolidated Statements of Comprehensive Income)(Millions of yen)
Nine months ended
December 31, 2021
ProfitOther comprehensive income
Valuation difference on available-for-salesecurities
Deferred gains or losses on hedges
Foreign currency translation adjustment
Remeasurements of defined benefit plans, netof taxShare of other comprehensive income ofentities accounted for using equity method
Total other comprehensive income
Comprehensive income
Comprehensive income attributable toComprehensive income attributable to ownersof parent
Comprehensive income attributable to noncontrolling interests-7-

Nine months ended
December 31, 2022

42,657

48,839△1,526△1,881

6
3,835

145
11,852

△194

△380

2,528

8,717

4,648
47,306

18,45367,292

43,10559,047

4,201

8,245

Qualitative Information
Consolidated Business Results for This Period
Overview of Results(Billions of yen)

Apr. 1-Dec. 31,

Apr. 1-Dec. 31,

2021

2022

Net sales

525.2

599.3

74.0

Operating profit

44.8

45.4

0.5

Equity in earnings of affiliates

10.9

Change14.3

3.4

Ordinary profit

58.3

63.7

5.4

Profit attributable to owners of parent

39.3

44.5

5.1

During the first nine months of the fiscal year ending March 31, 2023 (April 1, 2022 – December 31, 2022), theglobal economy was affected by the prolongation of Russia’s invasion of Ukraine which, in turn, led to surges inprices of raw materials, fuels and other items. Around the world, countries have thus been stricken with steep
inflation, prompting the financial authorities of the United States, EU members and other nations to lean heavily
toward monetary tightening. However, economies are now considered to be at risk of a downturn due to theresulting hikes in interest rates and, therefore, confront the growing likelihood of a further slowdown in global
growth. Moreover, the shift in monetary policies led to foreign exchange rate fluctuations while, in China, there
were profound repercussions from resurgences of the novel coronavirus. Taking these and other factors into
account, the outlook for the operating environment remains unclear.
Against this backdrop, the MGC Group has promoted a medium-term management plan launched in April 2021.
In line with this plan, the Group aims to shift to a profit structure resilient to changes in the business environment.
To this end, the Group is striving to:•“Further strengthen competitively advantageous (“differentiating”) businesses,”•“Accelerate creation and development of new businesses,” and•“Reevaluate and rebuild unprofitable businesses.”
These efforts will help push ahead with business portfolio reforms. In addition, the Group is countering surges in
raw material and fuel prices and transportation costs by revising sales prices upward to align with an overall
increase in costs. By doing so, the Group is endeavoring to maintain and enhance its earnings power.

As a result, the MGC Group’s net sales increased due mainly to the impact of foreign exchange fluctuations andupwardly revised sales prices aligned with higher raw material and fuel prices, along with the recent inclusion of aSouth Korea-based polyacetal sales company into the scope of consolidation.
Furthermore, operating profit was virtually unchanged from the same period of the previous fiscal year, despite
surges in raw material and fuel prices and transportation costs, along with sluggish demand for electronic materials
and other negative factors, thanks primarily to the depreciation of the yen and robust polyacetal sales.

-8-Despite downturns in methanol market prices, ordinary profit increased due primarily to an increase in equity inearnings of affiliates in step with the reversal of deferred tax liabilities at an overseas methanol producing company.
Operating results by segment are as described below.

Results by Business Segment
Basic Chemicals(Billions of yen)

Apr. 1-Dec. 31,

Apr. 1-Dec. 31,

2021

2022

Net sales

312.6

360.2

47.5

Operating profit

23.5

18.9

(4.5)

Ordinary profit

28.8

29.0

0.1

ChangeThe methanol business saw increases in both net sales and earnings thanks to the depreciation of the yen, an
increase in equity in earnings of affiliates and other positive factors, despite somewhat lower market prices
compared with the same period of the previous fiscal year.
Methanol and ammonia-based chemicals posted a decrease in earnings due to deterioration in neopentyl glycol
market prices, despite progress in profitability adjustments offsetting the negative impact of higher raw material
and fuel prices.
High-performance products posted a decrease in earnings due mainly to a temporary failure of production
equipment for meta-xylenediamine (MXDA) and the resulting decrease in sales volume, despite the higher sales
volume of aromatic aldehydes.
Xylene separators and derivatives saw a decrease in earnings due mainly to rises in raw material and fuel prices,and resulting deterioration in the profitability of purified isophthalic acid (PIA).
Foamed plastics posted a decrease in earnings due mainly to rises in raw material and fuel prices outpacing thetiming of product price revisions.

Specialty Chemicals(Billions of yen)

Apr. 1-Dec. 31,

Apr. 1-Dec. 31,

2021

2022

Net sales

212.4

239.0

26.5

Operating profit

24.4

28.4

4.0

Ordinary profit

31.2

33.5

2.2

ChangeInorganic chemicals posted a decrease in earnings despite growth in the sales volume of chemicals for use in
semiconductor manufacturing, due mainly to rises in transportation costs and prices for raw materials and fuel.
Engineering plastics saw increases in net sales and earnings, despite lower sales volumes of polycarbonates andpolycarbonate sheet films, thanks to constantly robust sales of polyacetal as well as the inclusion of a South Korea-9-

based polyacetal sales company into the scope of consolidation.
Optical materials posted earnings on par with the same period of the previous fiscal year amid stagnant demand
for smartphones, a primary application of optical polymers, even though earnings escaped the negative impact of
inventory adjustments carried out by customers in the prior fiscal year.
Electronic materials saw decreases in net sales and earnings. This reflected such factors as declining demand forgeneral-purpose materials for use in PC-related devices and home appliances, which constitute a part of BT
materials for IC plastic packaging, the core product category for electronic materials. Other negative factors
included third-quarter stagnation in demand for highly functional materials for use in smartphones and memory
devices.
Earnings from oxygen absorbers such as AGELESSTM remained on par with the same period of the previous
fiscal year despite the ongoing robustness of overseas sales—which were buoyed by the depreciation of the yen—especially in the food packaging field, due to rises in raw material prices and transportation costs.

- 10 -