Translation
Notice: This document is an excerpt translation of the original Japanese document and is only for reference purposes. In the event of any
discrepancy between this translated document and the original Japanese document, the latter shall prevail.

Summary of Consolidated Financial Results
for the Year Ended March 31, 2023
(Based on Japanese GAAP)May 15, 2023
Company name:

RIKEN CORPORATION

Stock exchange listing: Tokyo
Stock code:
6462
Representative:
Inquiries:

URL

https://www.riken.co.jp/President
General Manager of Accounting Division

Yasunori Maekawa
Takuya Ohashi

Scheduled date of ordinary general meeting of shareholders:
Scheduled date to file Securities Report:

June 23, 2023
June 26, 2023

Scheduled date to commence dividend payments:
Preparation of supplementary material on financial results:

June 26, 2023
Yes

Holding of financial results meeting:

Yes

TEL

03-3230-3911(for analysts and institutional investors)(Amounts less than one million yen are rounded down)

1. Consolidated financial results for the year ended March 31, 2023 (from April 1, 2022 to March 31, 2023)(1) Consolidated operating results
Percentages indicate year-on-year changes
Profit attributable toNet sales
Operating profit
Ordinary profit
owners of parent
Millions of yen% Millions of yen% Millions of yen% Millions of yen%
Year ended March 31, 2023
86,382
10.2
4,676(8.7)
7,374
12.9
4,318
(0.3)
Year ended March 31, 2022
78,372
12.4
5,122
87.8
6,529
51.0
4,329 130.2
Profit attributable toOrdinary profit/total Operating profit/net
owners ofassets
sales
parent/equity
Yen%%%
430.61
5.1
6.2
5.4
432.42
5.6
5.8
6.5

Diluted earnings pershare

Earnings per shareYen
431.60433.47

Year ended March 31, 2023
Year ended March 31, 2022
(2) Consolidated financial position

Total assets
As of March 31, 2023
As of March 31, 2022

Net assets

Equity ratio

Millions of yen
123,728
115,707

Millions of yen
94,98387,082

Cash flows fromoperating activities
Millions of yen
10,357
6,418

Cash flows frominvesting activities
Millions of yen(3,248)(3,819)Net assets per share%
71.5
70.1

Yen
8,810.30
8,109.98(3) Consolidated cash flows

Year ended March 31, 2023
Year ended March 31, 2022

Cash flows from
Cash and cash equivalents
at end of period
financing activities
Millions of yen
Millions of yen(1,451)
20,205(1,522)
13,886

2. Cash dividends
Annual dividends per share
1st quarter-end 2nd quarter-end 3rd quarter-end Fiscal year-end

Year ended March 31, 2022
Year ended March 31, 2023
Year ending March 31, 2024
(Forecast)of dividends
Total cash
Dividend payout Ratio
to net assets
dividends (Total) ratio (Consolidated) (Consolidated)

Total

Yen

Yen

Yen

Yen

Yen

Millions of yen%%

––

60.00
60.00

––

60.00
60.00

120.00120.00

1,200
1,202

27.7
27.8

1.5
1.4–

60.00

–––

1–

3. Forecast of consolidated financial results for the year ending March 31, 2024 (from April 1, 2023 to March 31, 2024)
Net sales
Full year

Millions of yen
101,000

Percentages indicate year-on-year changes
Profit attributable toOperating profit
Ordinary profit
Earnings per shareowners of parent% Millions of yen% Millions of yen% Millions of yen%
Yen
16.9
5,100
9.1
6,400 (13.2)
4,300(0.4)
429.76

4. Notes(1) Changes in significant subsidiaries during the year ended March 31, 2023
(changes in specified subsidiaries resulting in the change in scope of consolidation):No(2) Changes in accounting policies, changes in accounting estimates, and restatement of prior period financial statements
Changes in accounting policies due to revisions to accounting standards and other regulations:
Changes in accounting policies due to other reasons:

No
No

Changes in accounting estimates:
Restatement of prior period financial statements:

NoNo(3) Number of issued shares (common shares)
Total number of issued shares at the end of the period (including treasury shares)
As of March 31, 2023

10,688,866 shares As of March 31, 2022

10,648,466 shares

Number of treasury shares at the end of the period
As of March 31, 2023

646,482 shares As of March 31, 2022

645,730 shares

10,005,574 shares Year ended March 31, 2022

9,988,492 shares

Average number of shares during the period
Year ended March 31, 2023

2

Consolidated financial statements
Consolidated balance sheets(Millions of yen)
As of March 31, 2022

As of March 31, 2023

AssetsCurrent assets
Cash and deposits
Notes and accounts receivable - trade, and contract assets

16,20919,83023,81821,962Merchandise and finished goods
Work in process

9,927
3,342

10,5983,649

Raw materials and supplies
Other

3,277
1,077

3,738
2,611

Allowance for doubtful accounts

(37)

(57)

53,627

66,321

10,518

10,475

Machinery, equipment and vehicles, net
Land11,782
2,592

10,3292,514

Construction in progress
Other, net

1,233
1,056

1,830
985

Total property, plant and equipment

27,184

26,135

2,057

1,652

Total current assets
Non-current assets
Property, plant and equipmentBuildings and structures, net

Intangible assets
Leased assets
Other485

595

2,542

2,248

Investment securities
Deferred tax assets

23,957
1,271

23,144
1,205

Retirement benefit asset
Insurance funds

5,930
58

3,576
61

Other
Allowance for doubtful accounts

1,164
(29)

1,038
(4)

Total investments and other assets

32,35329,02262,08057,406

115,707

123,728

Total intangible assets
Investments and other assets

Total non-current assets
Total assets3

(Millions of yen)
As of March 31, 2022

As of March 31, 2023

Liabilities
Current liabilities
Notes and accounts payable - trade

8,690

9,881

Current portion of long-term loans payable
Income taxes payable

–
1,468

3,000
512

Provision for bonuses
Other

1,734
4,393

1,713
3,956

Total current liabilities

16,287

19,063

Non-current liabilities
Long-term borrowings

10,000

7,000

1,503
288

1,293
285

12532

9
1,093

12,337

9,681

28,62428,745

Shareholders' equity
Share capital

8,573

8,627

Capital surplus
Retained earnings

7,119
64,526

7,178
67,644

Treasury shares(2,894)(2,896)

Total shareholders' equity

77,32480,554

Valuation difference on available-for-sale securities
Deferred gains or losses on hedges

1,045(60)

1,908
10

Foreign currency translation adjustment
Remeasurements of defined benefit plans

622
2,189

3,474
2,529

Total accumulated other comprehensive income

3,797

7,922

97
5,863

97
6,409

Retirement benefit liability
Provision for product warranties
Provision for environmental measures
Other
Total non-current liabilities
Total liabilities
Net assets

Accumulated other comprehensive income

Share acquisition rights
Non-controlling interests
Total net assets
Total liabilities and net assets

487,082

94,983

115,707

123,728

Consolidated statements of income and consolidated statements of comprehensive income
Consolidated statements of income(Millions of yen)
Fiscal year ended
March 31, 2022

Fiscal year ended
March 31, 2023

Net sales
Cost of sales

78,37260,92786,382
69,138Gross profit

17,444

17,244

2,014
42

2,171
70

13

7

819

772

3,557

3,550

92
938
4,844

56
993
4,945

12,322

12,567

5,122

4,676

408
868
95
112
24–
192

540
1,428
66
160
8600
205

1,702

3,010

106
140
49

111–
201

295

312

6,529

7,374

535
1330–

548

30

58
61–
–

69
539
145
116

120

871

Profit before income taxes

6,957

6,533

Income taxes - current
Income taxes - deferred

2,183
150

1,571
162

Total income taxes

2,334

1,734

Profit

4,623

4,799

Selling, general and administrative expenses
Freight and packing costs
Sales commission
Provision for retirement benefits for directors (and otherofficers)
Provision for bonuses
Remuneration, salaries and allowances for directors (and otherofficers)
Retirement benefit expenses
Research and development expenses
Other
Total selling, general and administrative expenses
Operating profit
Non-operating income
Interest and dividend income
Share of profit of entities accounted for using equity method
Foreign exchange gains
Dividend income of life insurance
Subsidy income
Insurance claim income
Other
Total non-operating income
Non-operating expenses
Interest expenses
Loss on disposal of non-current assets
Other
Total non-operating expenses
Ordinary profit
Extraordinary income
Gain on sale of non-current assets
Gain on sale of investment securities
Total extraordinary incomeExtraordinary losses
Loss on retirement of non-current assets
Impairment losses
System failure response costs
Loss on sale of investment securities
Total extraordinary losses

Profit attributable to non-controlling interests
Profit attributable to owners of parent

5293

481

4,329

4,318

Consolidated statements of comprehensive income(Millions of yen)

ProfitOther comprehensive income

Fiscal year ended

Fiscal year ended

March 31, 2022

March 31, 2023
4,623

4,799

Valuation difference on available-for-sale securities
Deferred gains or losses on hedges

561(44)81066Foreign currency translation adjustment
Remeasurements of defined benefit plans, net of tax

2,461(210)

2,334
324

707

809

3,476

4,345

8,099

9,145

7,317

8,443

782

701

Share of other comprehensive income of entities accounted
for using equity method
Total other comprehensive income
Comprehensive income
Comprehensive income attributable toComprehensive income attributable to owners of parent
Comprehensive income attributable to non-controllinginterests

6Consolidated statements of changes in equity
Fiscal year ended March 31, 2022
(Millions of yen)
Shareholders' equityShare capital
Balance at beginning ofperiod

Capital surplus

8,573

Retained earnings

7,119

Total shareholders'equityTreasury shares

61,411(3,074)74,030Changes during period
Dividends of surplus(1,148)(1,148)

Profit attributable toowners of parent

4,329

4,329

Purchase of treasury
shares
Disposal of treasury
shares

(67)

(2)

(2)

181

114

Change in ownershipinterest of parent due totransactions with noncontrolling interests
Net changes in items
other than shareholders'equityTotal changes during period
Balance at end of period

––

3,114

179

3,2948,573

7,119

64,526(2,894)

77,324

Accumulated other comprehensive income
Valuationdifference on
available-forsale securities
Balance at beginning ofperiod

501

Deferred
gains orlosses onhedges(12)

Foreigncurrencytranslation
adjustment

Remeasurementsof defined
benefit plans(2,066)

2,351

Total
accumulated
othercomprehensive
income774

Shareacquisitionrights

Noncontrollinginterests

Total net assets

120

5,217

80,142

Changes during period
Dividends of surplus(1,148)

Profit attributable toowners of parent

4,329

Purchase of treasury
shares(2)

Disposal of treasury
shares114

Change in ownershipinterest of parent due totransactions with noncontrolling interests
Net changes in items
other than shareholders'equity544(48)

2,689(162)

3,023

(23)

645

3,645

Total changes during period

544

(48)

2,689

(162)

3,023

(23)

645

6,940

1,045

(60)

622

2,189

3,797

97

5,863

87,082

Balance at end of period7

Fiscal year ended March 31, 2023
(Millions of yen)
Shareholders' equity
Share capital
Balance at beginning ofperiod

Capital surplus

Retained earnings

8,573

7,119

5353

Total shareholders'equity

Treasury shares

64,526(2,894)

77,324

Changes during period
Issuance of new shares

107

Dividends of surplus(1,200)(1,200)

Profit attributable toowners of parent

4,318

4,318

Purchase of treasury
shares
Disposal of treasury
shares(0)Change in ownershipinterest of parent due totransactions with noncontrolling interests

(1)

(1)

00

55

Net changes in items
other than shareholders'equityTotal changes during period
Balance at end of period

53

59

3,118

(1)

3,229

8,627

7,178

67,644(2,896)80,554

Accumulated other comprehensive income
Valuationdifference on
available-forsale securities
Balance at beginning of
period

1,045

Deferred
gains orlosses onhedges(60)

Foreigncurrencytranslation
adjustment

Remeasurementsof defined
benefit plans

622

2,189

Total
accumulated
othercomprehensive
income3,797

Share
acquisitionrights

Noncontrollinginterests

Total net assets

97

5,863

87,082

Changes during period
Issuance of new shares

107

Dividends of surplus(1,200)

Profit attributable toowners of parent

4,318

Purchase of treasury
shares(1)

Disposal of treasury
shares0Change in ownershipinterest of parent due totransactions with noncontrolling interests

5Net changes in items
other than shareholders'equityTotal changes during period
Balance at end of period

862

71

2,851

339

4,125862

71

1,908

10

2,851

339

4,125

–

546

7,900

3,474

2,529

7,922

97

6,409

94,983

8546

4,671

Consolidated statements of cash flows(Millions of yen)

Cash flows from operating activities
Profit before income taxes

Fiscal year ended

Fiscal year ended

March 31, 2022

March 31, 2023
6,957

6,533

Depreciation
Impairment losses

5,03561

4,799539

Share of loss (profit) of entities accounted for using equity
method(868)(1,428)

Increase (decrease) in retirement benefit liability
Decrease (increase) in retirement benefit asset

(53)
(163)

(248)
2,353

Increase (decrease) in allowance for doubtful accounts
Increase (decrease) in provision for product warranties

(2)
(13)

(7)
(3)

Subsidy income
Insurance claim income

(24)
–(8)
(600)

Interest and dividend income
Interest expenses(408)
106(540)
111

Loss (gain) on sale of investment securities
Loss on retirement of non-current assets

(13)
58

116
69

System failure response costs
Loss (gain) on sale of non-current assets–(535)

145(30)

Decrease (increase) in trade receivables and contract assets
Decrease (increase) in inventories

1,063(1,407)(1,667)(716)

Increase (decrease) in trade payables
Other, net(1,245)(1,726)692(1,658)Subtotal

6,820

8,449

Proceeds from subsidy income
Proceeds from insurance income

24–

8600

Interest and dividends received
Interest paid

965
(108)

4,438(111)

Income taxes paid
system failure response costs paid

(1,283)–(2,883)(145)

Net cash provided by (used in) operating activities

6,418

10,357

Cash flows from investing activities
Net decrease (increase) in time deposits(1,661)(598)(2,411)702(2,659)31

Purchase of intangible assets
Purchase of investment securities

(79)
(174)

(253)
(26)

Proceeds from sale and redemption of investment securities
Loan advances

15(478)223(581)

Proceeds from collection of loans receivable
Other payments

353
(115)

611
(23)

30

26

(3,819)(3,248)Purchase of property, plant and equipment
Proceeds from sale of property, plant and equipment

Other proceeds
Net cash provided by (used in) investing activities

9

(Millions of yen)
Fiscal year ended

Fiscal year ended

March 31, 2022

March 31, 2023

Cash flows from financing activities
Proceeds from long-term borrowings

7,000

–

Repayments of long-term borrowings
Repayments of lease liabilities(7,000)
(242)

–
(90)

Purchase of treasury shares
Proceeds from disposal of treasury shares

(2)
0(1)
0Dividends paid
Dividends paid to non-controlling interests(1,148)(128)(1,200)(158)

Net cash provided by (used in) financing activities(1,522)(1,451)

Effect of exchange rate change on cash and cash equivalents

694661

Net increase (decrease) in cash and cash equivalents

1,771

6,319

Cash and cash equivalents at beginning of period

12,114

13,886

Cash and cash equivalents at end of period

13,886

20,20510