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, 2024
(Based on Japanese GAAP)May 14, 2024
Company name:

KAWADA TECHNOLOGIES, INC

Stock exchange listing: Tokyo
Stock code:
3443
Representative:
Inquiries:

URL

https://www.kawada.jp/

President
Managing Director and Chief Financial

Officer
Scheduled date of ordinary general meeting of shareholders:

Kawada Tadahiro
Watanabe Satoru

TEL

03(3915)7722

June 27, 2024

Scheduled date to file Securities Report:
Scheduled date to commence dividend payments:

June 28, 2024
June 28, 2024

Preparation of supplementary material on financial results:
Holding of financial results meeting:

Yes
Yes

(for institutional investors and analysts)(Amounts less than one million yen are rounded down)
1. Consolidated financial results for the year ended March 31, 2024 (from April 1, 2023 to March 31, 2024)(1) Consolidated operating results
Net sales
Millions of yen
129,127
118,086

Year ended March 31, 2024
Year ended March 31, 2023
Note: Comprehensive income

%
9.3
13.8

Percentages indicate year-on-year changes
Profit attributable toOperating profit
Ordinary profit
owners of parent
Millions of yen% Millions of yen% Millions of yen
%
8,734
73.8
10,538
67.3
7,541
78.2
5,025
(21.6)
6,298(18.1)
4,231(18.3)

Year ended March 31, 2024

¥8,955 million [63.0%]

Year ended March 31, 2023

¥5,493 million [2.1%]

Earnings per share

Profit attributable toOrdinary profit/total Operating profit/net
owners ofassetssales
parent/equity
Yen
%
%
%
433.11
9.6
6.5
6.8
–
5.8
4.3
4.3

Diluted earnings per
share

Yen
434.06239.94

Year ended March 31, 2024
Year ended March 31, 2023

Reference: Share of profit of entities accounted for using equity method

Year ended March 31, 2024

¥1,722 million

Year ended March 31, 2023
¥1,378 million
Note: The Company conducted a stock split of common share at a ratio of 3-for-1 on April 1, 2024. “Earnings per share” and “Diluted earnings
per share” are calculated on the assumption that said splitting of shares had been made at the beginning of the previous fiscal year.
(2) Consolidated financial position
Total assets
Millions of yen
160,216
162,158

As of March 31, 2024
As of March 31, 2023
Reference: Equity

Net assets

As of March 31, 2024

Equity ratio

Millions of yen
82,341
76,697

Net assets per share
%
51.1
46.6

Yen
4,753.28
4,288.11¥81,878 million

As of March 31, 2023
¥75,615 million
Note: The Company conducted a stock split of common share at a ratio of 3-for-1 on April 1, 2024. “Net assets per share” is calculated on theassumption that said splitting of shares had been made at the beginning of the previous fiscal year.
(3) Consolidated cash flows

Year ended March 31, 2024
Year ended March 31, 2023

Cash flows fromoperating activities
Millions of yen
13,320(9,673)

Cash flows frominvesting activities
Millions of yen(2,553)(1,504)

1

Cash flows from
Cash and cash equivalents
at end of period
financing activities
Millions of yen
Millions of yen(10,337)
16,102
12,213
15,6612. Cash dividends
Annual dividends per share
1st quarter-end 2nd quarter-end 3rd quarter-end Fiscal year-end
Yen

Yen

Yen

of dividends
Total cash
Dividend payout Ratio
to net assets
dividends (Total) ratio (Consolidated) (Consolidated)

Total

Yen

Yen

Millions of yen%%

Year ended March 31, 2023–––
210.00210.00
1,234
29.2
1.7
Year ended March 31, 2024–––
393.00393.00
2,256
30.2
2.9
Year ending March 31, 2025
37.8
–
–
–
90.00
90.00
(Forecast)
Note: The Company conducted a stock split of common share at a ratio of 3-for-1 on April 1, 2024. The amounts shown for the dividends for the
fiscal year ended March 31, 2023 and the fiscal year ended March 31, 2024 are the actual dividend amounts before the share split.
3. Forecast of consolidated financial results for the year ending March 31, 2025 (from April 1, 2024 to March 31, 2025)
Percentages indicate year-on-year changes
Profit attributable to
Net sales
Operating profit
Ordinary profit
Earnings per shareowners of parent
Millions of yen% Millions of yen% Millions of yen% Millions of yen%
Yen
Full year
128,000(0.9)
5,800 (33.6)
6,000 (43.1)
4,100 (45.6)
238.02
Note: The Company conducted a stock split of common share at a ratio of 3-for-1 on April 1, 2024. “Earnings per share” in the consolidated
financial results forecast for the year ending March 31, 2025 account for the impact of the stock split.
4. Notes(1) Changes in significant subsidiaries during the year ended March 31, 2024
(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, 2024

17,784,210 shares As of March 31, 2023

17,752,110 shares

Number of treasury shares at the end of the period
As of March 31, 2024

558,549 shares As of March 31, 2023

118,350 shares

17,375,068 shares Year ended March 31, 2023

17,635,524 shares

Average number of shares during the period
Year ended March 31, 2024

Note: The Company conducted a stock split of common share at a ratio of 3-for-1 on April 1, 2024. “Total number of issued shares at the end of
the period,” “Number of treasury shares at the end of the period,” and “Average number of shares during the period” are calculated on theassumption that said splitting of shares had been made at the beginning of the previous fiscal year.

2Reference: Summary of non-consolidated financial results
1. Non-consolidated financial results for the year ended March 31, 2024 (from April 1, 2023 to March 31, 2024)(1) Non-consolidated operating results
Percentages indicate year-on-year changes
Net salesYear ended March 31, 2024
Year ended March 31, 2023

Millions of yen
1,752
2,078

Operating profit% Millions of yen(15.7)
294
(7.2)
698

Earnings per share% Millions of yen(57.8)
256(24.7)
682

Profit% Millions of yen(62.5)
535(25.4)
917%(41.7)(9.9)

Diluted earnings per share

Yen
30.80
52.04

Year ended March 31, 2024
Year ended March 31, 2023

Ordinary profit

Yen
30.73
–

Note: The Company conducted a stock split of common share at a ratio of 3-for-1 on April 1, 2024. “Earnings per share” and “Diluted earnings
per share” are calculated on the assumption that said splitting of shares had been made at the beginning of the previous fiscal year.
(2) Non-consolidated financial position
Total assets
As of March 31, 2024
As of March 31, 2023
Reference: Equity

Net assets

Millions of yen
24,66026,050
As of March 31, 2024
As of March 31, 2023

Equity ratio

Millions of yen
24,04425,552

Net assets per share
%
97.5
98.1

Yen
1,395.75
1,448.96¥24,042 million¥25,550 million

Note: The Company conducted a stock split of common share at a ratio of 3-for-1 on April 1, 2024. “Net assets per share” is calculated on theassumption that said splitting of shares had been made at the beginning of the previous fiscal year.
* Financial results reports are exempt from audit conducted by certified public accountants or an audit corporation.
* Proper use of forecasts of financial results, and other special matters
Forward-looking statements, including the consolidated forecasts stated in these materials, are based on information currently available to theCompany and certain assumptions deemed reasonable. Consequently, any statements herein do not constitute assurances regarding actual resultsby the Company. Results may differ materially from the consolidated forecasts due to various factors.
We are scheduled to hold a financial results presentation meeting for institutional investors and analysts. The materials on financial results to be
used at and the video of the meeting will be available on our website promptly after the meeting.

3Consolidated financial statements
Consolidated balance sheets(Millions of yen)
As of March 31, 2023

As of March 31, 2024

AssetsCurrent assets
Cash and deposits
Notes receivable, accounts receivable from completed
construction contracts and other
Costs on construction contracts in progress
Other inventories
Other
Allowance for doubtful accounts

15,746

16,18869,20665,557

120

138

1,254
6,634

1,247
3,274

(6)

(5)

92,956

86,40023,621

24,479Machinery, vehicles, tools, furniture and fixtures
Aircraft

24,722
4,963

25,926
5,190

Land
Leased assets

14,957
3,991

14,956
4,001

Construction in progress
Accumulated depreciation

308(45,522)344(47,023)

Total property, plant and equipment

27,042

27,875

1,177

1,248

Investment securities
Shares of subsidiaries and associates

3,496
35,522

3,542
37,699Deferred tax assets
Other

1,220
757

2,675
791

Allowance for doubtful accounts

(15)

(15)

Total investments and other assets

40,981

44,692

69,20173,816

162,158

160,216

Total current assets
Non-current assets
Property, plant and equipment
Buildings and structures

Intangible assets
Investments and other assets

Total non-current assets
Total assets

4

(Millions of yen)
As of March 31, 2023

As of March 31, 2024

Liabilities
Current liabilities
Notes payable, accounts payable for construction contracts
and other
Short-term borrowings

29,211

20,947

20,3809,750

Current portion of long-term borrowings
Current portion of bonds payable

3,998
680

4,425
960

Lease liabilities
Income taxes payable

578
1,104

572
3,618

Advances received on construction contracts in progress
Unearned revenue

4,631
1,951

5,818
2,399

Provision for bonuses
Provision for warranties for completed construction

2,061
67

2,261
65

Provision for loss on construction contracts
Other

1,777
2,898

1,674
6,631

Total current liabilities

69,341

59,126

Non-current liabilities
Bonds payable

1,910

2,250

Long-term borrowings
Lease liabilities

6,892
2,341

9,754
2,241

Deferred tax liabilities
Deferred tax liabilities for land revaluation

120
1,474

137
1,474

647

725

2,440
132

1,921
133

73
86

54
56

16,11918,74885,46077,874

Provision for retirement benefits for directors (and otherofficers)
Retirement benefit liability
Asset retirement obligations
Negative goodwill
Other
Total non-current liabilities
Total liabilities
Net assets
Shareholders' equity
Share capital

5,288

5,311

Capital surplus
Retained earnings

10,77855,247

10,54861,555

Treasury shares(140)(1,050)71,17376,365

Valuation difference on available-for-sale securities
Revaluation reserve for land

2,070
976

2,407
976

Foreign currency translation adjustment
Remeasurements of defined benefit plans

1,163
230

1,530
598

Total accumulated other comprehensive income

4,441

5,513

1
1,079

1
462

Total shareholders' equity
Accumulated other comprehensive income

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

576,697

82,341

162,158

160,216

Consolidated statements of income and consolidated statements of comprehensive income
Consolidated statements of income(Millions of yen)
Fiscal year ended
March 31, 2023

Fiscal year ended
March 31, 2024

Net sales

118,086

129,127

Cost of sales

102,459

109,028

Gross profit

15,62620,098Selling, general and administrative expenses

10,60011,364

Operating profit

5,025

8,734

Non-operating income
Interest and dividend income
Rental income
Amortization of negative goodwill
Share of profit of entities accounted for using equity method
Subsidy income
Other

71

83

144
20

152
20

1,378
424

1,722
786

126

111

2,167

2,877

Interest expenses
Rental expenses

315
466

400
505

Other

111

166

Total non-operating income
Non-operating expenses

Total non-operating expenses
Ordinary profit
Extraordinary income
Subsidy income
Total extraordinary income
Extraordinary losses
Loss on extinguishment of tie-in shares

893

1,072

6,298

10,538

1

21

1

21

329

–

Impairment losses
Loss on tax purpose reduction entry of non-current assets

20
1

0
20

Loss on valuation of investment securities
Loss on valuation of shares of subsidiaries and associates

15
–

15
28

366

64

Profit before income taxes

Total extraordinary losses

5,933

10,495

Income taxes - current
Income taxes - deferred

1,392
108

4,068
(1,453)

Total income taxes

1,501

2,614

Profit

4,432

7,880

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

6

201

338

4,231

7,541

Consolidated statements of comprehensive income(Millions of yen)

ProfitOther comprehensive income

Fiscal year ended

Fiscal year ended

March 31, 2023

March 31, 2024
4,432

7,880

Valuation difference on available-for-sale securities
Remeasurements of defined benefit plans, net of tax

806
(292)

53
299

Share of other comprehensive income of entities accounted
for using equity method

547

722

1,060

1,074

5,493

8,955

5,289

8,613

204

341

Total other comprehensive income
Comprehensive income
Comprehensive income attributable toComprehensive income attributable to owners of parent
Comprehensive income attributable to non-controllinginterests

7

Consolidated statements of changes in equity
Fiscal year ended March 31, 2023
(Millions of yen)
Shareholders' equity
Share capital
Balance at beginning of period

Capital surplus

Retained earnings

5,285

10,7693

3

Total shareholders'equityTreasury shares

51,605(44)

67,616

Changes during period
Issuance of new shares - exerciseof share acquisition rights

6

Dividends of surplus

(590)

(590)

Profit attributable to owners ofparent

4,231

4,231

0

0

Reversal of revaluation reserve for
land
Purchase of treasury shares

(212)

(212)

Disposal of treasury shares

1

88

90

Decrease (Increase) due topurchase of treasury shares fromconsolidated subsidiaries

3

28

31

Net changes in items other thanshareholders' equity
Total changes during period
Balance at end of period

3

8

3,641

(96)

3,557

5,288

10,77855,247(140)

71,173

Accumulated other comprehensive income
Valuationdifference on Revaluation
available-for- reserve for
sale
land
securities
Balance at beginning of period

1,251

977

Foreigncurrencytranslation
adjustment
620

Total
Remeasurements

accumulatedof definedotherbenefit planscomprehensive

Shareacquisitionrights

Noncontrollinginterests

Total net
assets1

918

71,921income536

3,384

Changes during period
Issuance of new shares - exerciseof share acquisition rights

6

Dividends of surplus(590)

Profit attributable to owners ofparent4,231

Reversal of revaluation reserve forland

0

Purchase of treasury shares(212)

Disposal of treasury shares

90

Decrease (Increase) due topurchase of treasury shares fromconsolidated subsidiaries

31

Net changes in items other thanshareholders' equity
Total changes during period
Balance at end of period

819

(0)

543

(305)

1,057

(0)

161

1,218

819

(0)

543

(305)

1,057

(0)

161

4,775

2,070

976

1,163

230

4,441

1

1,079

76,697

8

Fiscal year ended March 31, 2024
(Millions of yen)
Shareholders' equity
Share capital
Balance at beginning of period

Capital surplus

Retained earnings

5,288

10,77822

22

Total shareholders'equityTreasury shares

55,247(140)

71,173

Changes during period
Issuance of new shares - exerciseof share acquisition rights

45

Dividends of surplus(1,234)(1,234)

Profit attributable to owners ofparent

7,541

7,541

0

0

Reversal of revaluation reserve for
land
Purchase of treasury shares
Disposal of treasury shares(1,003)(1,003)

94

149

55

Change in ownership interest ofparent due to transactions with
non-controlling interests

(307)

(307)

Net changes in items other thanshareholders' equity
Total changes during period
Balance at end of period

22

(229)

6,307

(909)

5,191

5,311

10,54861,555(1,050)76,365

Accumulated other comprehensive income
Valuationdifference on Revaluation
available-for- reserve for
sale
land
securities
Balance at beginning of period

2,070

976

Foreigncurrencytranslation
adjustment
1,163

Total
Remeasurements

accumulatedof definedotherbenefit planscomprehensive

Shareacquisitionrights

Noncontrollinginterests

Total net
assets1

1,079

76,697

income230

4,441

Changes during period
Issuance of new shares - exerciseof share acquisition rights

45

Dividends of surplus(1,234)

Profit attributable to owners ofparent7,541

Reversal of revaluation reserve forland

0

Purchase of treasury shares(1,003)

Disposal of treasury shares

149

Change in ownership interest ofparent due to transactions with
non-controlling interests(307)

Net changes in items other thanshareholders' equity
Total changes during period
Balance at end of period

336

(0)

366

368

1,071

(0)

(617)

452

336

(0)

366

368

1,071

(0)

(617)

5,644

2,407

976

1,530

598

5,513

1

462

82,341

9

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, 2023

March 31, 2024
5,933

10,495

2,874
20

2,903
0

Amortization of negative goodwill
Increase (decrease) in allowance for doubtful accounts

(19)
0

(19)
(0)

Increase (decrease) in provision for bonuses
Increase (decrease) in provision for warranties for completed

(291)

199

(117)

(1)

(292)

(103)

(24)

77

7

(9)

Increase (decrease) in retirement benefit liability
Interest and dividend income

(183)
(71)

(205)
(83)

Interest expenses
Share of loss (profit) of entities accounted for using equity

315

400

(1,378)(1,722)

Depreciation
Impairment losses

construction
Increase (decrease) in provision for loss on construction
contracts
Increase (decrease) in provision for retirement benefits for
directors (and other officers)
Increase (decrease) in other provisions

methodLoss (gain) on valuation of investment securities

15

16

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

(32)
21

(15)
24

Loss on tax purpose reduction entry of non-current assets
Insurance claim income

1
(99)

20
(5)

(584)
(20,421)

(983)
3,649

69

(17)

Decrease (increase) in inventories
Increase (decrease) in trade payables(333)
10,317

7(8,263)

Increase (decrease) in advances received on construction
contracts in progress

1,112

1,187

Increase (decrease) in accrued consumption taxes
Other, net(2,664)(2,356)975
5,028

Subtotal(8,183)

13,554

(75)
99

(0)
5

Subsidies received
Income taxes paid

609
(2,125)878(1,116)

Net cash provided by (used in) operating activities(9,673)

13,320Subsidy income
Decrease (increase) in trade receivables
Decrease (increase) in costs on construction contracts inprogress

Compensation paid for damage
Proceeds from insurance income10(Millions of yen)

Cash flows from investing activities
Payments into time deposits

Fiscal year ended

Fiscal year ended

March 31, 2023

March 31, 2024
(11)

(11)

13
(1,358)10(2,260)

48
(523)

11
(596)

Purchase of investment securities
Loan advances

(8)
–

(5)
(1)

Proceeds from collection of loans receivable
Interest and dividends received

1
305

0
316

Other, net

28

(17)

(1,504)(2,553)

Net increase (decrease) in short-term borrowings
Proceeds from long-term borrowings

14,663
3,020(10,630)
7,770

Repayments of long-term borrowings
Proceeds from issuance of bonds(4,815)
1,677(4,481)
1,382

Redemption of bonds
Interest paid

(590)
(322)

(780)
(389)

Repayments of lease liabilities
Dividends paid

(574)
(587)

(586)
(1,228)Proceeds from withdrawal of time deposits
Purchase of property, plant and equipment
Proceeds from sale of property, plant and equipment
Purchase of intangible assets

Net cash provided by (used in) investing activities
Cash flows from financing activities

Other, net
Net cash provided by (used in) financing activities
Effect of exchange rate change on cash and cash equivalents(257)(1,394)

12,213(10,337)

7

10

Net increase (decrease) in cash and cash equivalents

1,042

440

Cash and cash equivalents at beginning of period

13,674

15,661

944–

15,661

16,102

Increase in cash and cash equivalents resulting from merger withunconsolidated subsidiaries
Cash and cash equivalents at end of period11