FYE2021
Operating Results(Fiscal Year ended March 31, 2021)

Munetoshi Goto
President, Representative Director

May 11, 2021

1

FYE2021 Results
Variance toFYE2020

Revenue¥ 608.3 billion+23.5%

Domestic¥ 113.0 billion+12.3%

Overseas¥ 495.3billion+26.4%

Overseas revenue ratio: 81.4%(FYE2020: 79.6%)
21

Revenue by Geographic Area
608.3

Yen in billions
600

490.6

477.3
500
400

200

Oceania
Central &SouthAmerica
Asia

283

216

213

MidEast/Africa

91727374300

293910282639

1430
2841163128
441241492.6

North
America

202Europe1009283113101

Japan

0FYE2018

FYE2019

FYE2020

FYE2021

3Foreign Exchange Rate
FYE2020

FYE2021

VarianceUSD¥ 108.70¥ 106.10

Appreciation

EUR¥ 120.81¥ 123.76

RMB¥ 15.60¥ 15.68

2.4%

2.4%

Depreciation

0.5%

Depreciation
Weighted average change for all foreign currencies:
1.7% appreciated in the value of the yen

Effect on revenue: Decrease of ¥8.7 billion
42

Revenue Growth (Local Currency Basis)
Japan
20%

Japan

15%

FYE2020
FYE202110%+ 9.3%+ 12.3%5%

0%

FYE2020
1H

FYE20212H

1H

2H5Revenue Growth (Local Currency Basis)
Europe+30.8%

Eastern Europe/ Russia

40%

FYE2020
FYE202130%+ 12.4%+ 30.5%

Western Europe

20%

FYE2020
FYE2021+ 4.3%+ 31.0%

10%0%
FYE2020
1H

FYE2021
2H

1H

2H
63

Revenue Growth (Local Currency Basis)
North America, Asia
35%

North America

30%

FYE2020 +1.9%
FYE2021 +28.8%

25%
20%
15%

Asia

10%

FYE2020 -2.8%
FYE2021 + 2.4%

5%0%-5%FYE2020
1H

FYE2021
2H

1H

2H
7

Revenue Growth (Local Currency Basis)
Central & South America, Oceania, Mid-East/Africa
Central & SouthAmerica60%

FYE2020
FYE202145%+ 3.5%+ 38.9%

30%

Oceania15%

FYE2020 + 2.4%
FYE2021 + 41.7%

0%-15%

MidEast/Africa-30%-45%
FYE2020
1H

FYE20212H

1H

2H

FYE2020 - 25.9%
FYE2021 + 18.3%
84

Outdoor Power Equipment (OPE)
Release of more than 20 new models

Cordless OPE added
to the lineup of the40Vmax series

9Lithium-ion Battery Products
Enhancement of product lineup
Pursuit ofworkability tomaximize ease ofuse

CordlessImpact Driver

Release of more than60 new models
CordlessBrad Nailer

Cordless
Demolition
HammerHigh-speed cutting& ultra-low vibration

Cordless
Toolless Multi
Tool105

Production Quantities byGeographic Area
3,959

10 thousands of units
4,000

142

3,111

3,058
105

3,000

2,872
109

107
2,488

2,000

2,013

2,179

Central &SouthAmerica
Asia
North
America

1,778Europe
119

1,000

0134

414

512

577

289

290

308

FYE2018

FYE2019

Japan102124

FYE2020906304FYE2021

11Inventories
March 31, 2020 ￥214.6 billion
March 31, 2021 ¥ 267.5 billion
Increase of Inventories¥ 52.9 billion

Breakdown:
Increase of inventories on hand¥ 36.0 billion

Increase by translation into yen¥ 16.9 billion
126Operating profit
Cost of sales
SG&A
FYE2020

FYE2021

Revenue¥ 492.6 billion¥ 608.3 billion+23.5%

Cost of Sales¥ 323.8 billion¥ 405.3 billion+25.2%

Cost of Sales Ratio

65.7%

66.6%

Up
0.9 points

SG&A Expenses¥ 104.8 billion¥ 114.6 billion

+9.3%

21.3%

18.9%

Down
2.4 points¥ 64.0 billion¥ 88.5 billion+38.1%

13.0%

14.5%

Up
1.5 points

SG&A Ratio
Operating Profit
Operating Profit Ratio

Variance

13Analysis of Operating Profit
Yen inbillions

Sales
Volume SG&A

+42.2 -11.0 Exchange
Rate-3.5 Cost Others-0.6 -2.6

88.5
64.0

FYE2020

FYE2021147

Financial Income (Expenses),Profit Before Income Taxes, Profit
Attributable to Owners of the Parent, EPS
FYE2020

FYE2021

Variance

Financial
Income(Expense)¥2.0 billion - ¥1.3 billion - ¥3.3 billion

Profit Before
Income Taxes¥66.0 billion ¥87.2 billion+ 32.1%

ProfitAttributable toOwners of theParent¥47.7 billion ¥62.0 billion+ 29.9%¥175.80

EPS¥228.41+ 29.9%
15

Capital Expenditure,
Depreciation and Amortization,
R&D Cost
Capital Expenditure (Yen in billions)
FYE2019

23.9

Major capital investment in FYE 2021
Japan : Distribution warehouse(Okazaki,Saitama)
China Plant : Additional factory

44.4

FYE2020

49.9

FYE2021

Depreciation and Amortization

R&D Cost (Yen in billions)(Yen in billions)

FYE2019
FYE2020
FYE2021

11.3
12.1
13.9

FYE2019

11.3

FYE2020

11.6

FYE202112.8
168

Makita’s Commitments• To become a manufacturer of cordlessproducts (to meet environmental needs)• Expansion of sales/service and logistics
sites• Enhancement of corporate governance17

Makita’s Commitments ESG
To become a manufacturer of cordless products
Power Tools

Outdoor Power Equipment

Cleaning Products

Field Equipment

189

Makita’s Commitments ESG

19

Makita’s Commitments ESG
To become a manufacturer of cordless products
Growth by solving social issues

Focus on cordless OPE= Shift from engine-powered
products to cordless products

Contribute significantly
to achieving adecarbonizedsociety
Portable Power Pack
Large capacity/long
operation
2010

Makita’s Commitments ESG
Expansion of sales/service and logistics sites
List of new sites (including logistics)
AreaCityJapan

Okazaki Plant New Distribution Building
5 Sales Offices including Isahaya(Nagasaki)* 2 new Sales Offices opened in April
2021

EuropeHamburg (Germany)
Lyon (France)

North America

Reno (America)

Asia

Yilan, Tainan, etc. (Taiwan)
Guwahati (India)

Central &South America
Oceania

Sao Paulo (Brazil)

Okazaki Plant
New Distribution Building

Townsville (Australia)
Wellington (New Zealand)

21

Makita’s Commitments ESG
Expansion of sales/service and logistics sites
Quickly offer products
and services that areindispensable for
affluent communitiesand daily lives

Our products usedat the construction
site of a temporary
medical facility“Close contact with customers
and geographical regions”
Contribute to achieving a sustainable society
in different parts of the world
2211

Makita’s Commitments ESG
Enhancement of corporate governance
December 2020

Establishment of Nomination andCompensation Committee
After the shareholders meeting in June 2021 (planned)

 Transition to a Company with an Audit
and Supervisory Committee Ratio of outside directors: 1/3
Strengthen the structure to become a“Strong Company”
23

Forecast of Financial Results
Dividend

Revenue Forecast
Analysis of Operating Profit (Forecast)Financial Forecast
Production Plan
Cash Dividends

2412

FYE2022 Revenue Forecast
Variance to FYE2021

Revenue¥610.0 billion+ 0.3%

Domestic¥114.0 billion+ 0.8%

Overseas¥496.0 billion+ 0.1%

Overseas revenue ratio: 81.3% (FYE2021: 81.4%)
Assumed foreign exchange rates
US$Euro

RMB

¥105

¥125

¥16.2
25

Analysis of Operating Profit(Forecast)
Yen inbillions

OthersSales
Volume+0.1

88.5

Cost+5.8 -5.9
SG&A-4.1 ExchangeRate-1.483.0

FYE2021

FYE2022 (Forecast)
26

13

FYE2022 Financial Forecast
FYE2021
Operating profit ¥88.5 billion

FYE2022Variance¥83.0 billion- 6.2%

Profit before
income taxes¥87.2 billion ¥82.3 billion- 5.6%

Profit attributable toowners of the parent¥62.0 billion ¥59.0 billion- 4.9%

EPS¥228.41¥217.29- 4.9%

FYE2022 Capital Expenditures, Depreciation, R&D Cost
Capital Expenditures

Depreciation

R&D Cost¥75.0 billion¥16.2 billion¥14.5 billion
27

Production Plan
4,400

10 thousandsof units

3,959

4,000

170
142

2,872
3,000Asia
107

2,760
2,488

2,000NorthAmerica

1,778

1,000102577
3080
FYE2020

Central& SouthAmerica

FYE2021119110906

1,050

304

310EuropeJapanFYE2022 (Forecast)2814

Cash Dividends
Dividend Policy

Dividend Payout Ratio: 30% or greater
FYE2021

Profit attributable toowners of the parent

FYE2022(Forecast)¥62.0 billion¥59.0 billion¥228.41¥217.29――

Annual Cash Dividend PerShare

69 yen（Note）

Interim Dividend

10 yen

10 yenYear-end Dividend

59 yen（Note）

30.2%

30% or greater

EPS
Special Circumstance

Payout Ratio

Note: In April 2022, the Board of Directors plans to propose a dividend equivalent to at least 30% ofprofit attributable to owners of the parent.
29

FORWARD-LOOKING STATEMENTS
This document contains forward-looking statements based on Makita's own
projections and estimates. The power tools market, where Makita is mainly active,
is subject to the effects of rapid shifts in economic conditions, demand for housing,currency exchange rates, changes in competitiveness, and other factors. Due tothe risks and uncertainties involved, actual results could differ substantially fromthe content of these statements. Therefore, these statements should not beinterpreted as representation that such objectives will be achieved.

https://www.makita.biz/

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