Makita Corporation
Consolidated Financial Results
for the year ended March 31, 2024
(IFRS Financial Information)(English translation of "KESSAN TANSHIN"
originally issued in Japanese)

CONSOLIDATED FINANCIAL RESULTS
FOR THE YEAR ENDED MARCH 31, 2024 (Unaudited)
April 26, 2024

Makita Corporation
Stock code: 6586
URL: https://www.makita.biz/
Munetoshi Goto, President, Representative Director
1. ɻSummary operating results of the year ended March 31, 2024 (From April 1, 2023 to March 31, 2024)(1) CONSOLIDATED OPERATING RESULTS
Yen (millions)
For the the year ended
For the the year ended
March 31, 2023
March 31, 2024
(%)
(%)
3.4
741,391(3.0)
Revenue ………………………………………… 764,702(69.2)
66,169134.3
Operating profit ………………………………… 28,246(74.2)
64,017
168.0
Profit before income taxes ……………………… 23,887(82.3)
43,615
276.9
Profit …………………………………………… 11,571(81.9)
43,691
273.3
Profit attributable to owners of the parent ……… 11,705(60.8)
115,156
171.9
Comprehensive income ………………………… 42,359
YenProfit attributable toowners of the parent per share
43.11
162.13
ɻ(Basic)
ɻɻɻɻɻɻɻɻɻ(Diluted)
Ratio of profit attributable to owners of the parent
5.3%
1.5%
to total equity attributable to owners of the parent (%) ..
5.9%
2.3%
Ratio of profit before income taxes to total assets (%) ...
8.9%
3.7%
Ratio of operating profit to revenue (%) .........................
Notes:
1. Amounts of less than one million yen have been rounded.
2. The table above shows the changes in the percentage ratio of revenue, operating profit, profit before income taxes, profit,
profit attributable to owners of the parent, and comprehensive income against the corresponding period of the previous
year.

(2) SELECTED CONSOLIDATED FINANCIAL POSITION
Yen (millions)
Total assets
Total equity
Equity attributable to owners of the parent
Ratio of equity attributable to owners of theparent to total assets (%)

As of March 31, 2023
1,099,351
775,699769,247

As of March 31, 2024
1,055,808
875,206
868,156

70.0%

82.2%
Yen

Equity attributable to owners of the parent
per share ...........................................................

2,832.89

3,227.06

Note: Amounts of less than one million yen have been rounded.

English translation of "KESSAN TANSHIN" originally issued in Japanese1(2) CONSOLIDATED CASH FLOWSNet cash provided by operating activities ...............................
Net cash used in investing activities .......................................
Net cash provided by (used in) financing activities ................
Cash and cash equivalents, end of the fiscal year ...................
Note: Amount of less than one million yen have been rounded.

Yen (millions)
For the year ended
For the year ended
March 31, 2023
March 31, 2024
44,430237,086(37,680)(25,619)
80,970(191,277)
162,720
196,645

2. ࠉDividend Information
Yen (millions)

Cash dividend per share:
Interim ..........................................................
Year-end .......................................................
Total .............................................................

For the year ended
March 31, 2023

For the year ended
March 31, 2024

For the year ending
March 31, 2025
(Forecast)

10.00
11.00
21.00

10.00
47.00
57.00

20.00
(Note)(Note)Yen (millions)
15,334
5,702
Total cash dividend ...........................................
35.2%
48.7%
Dividend payout ratio (%) .................................
Ratio of total cash dividend attributable to
1.9%
0.8%
owners of the parent to total assets (%) .............
Note: While the Corporation has set forth under the Articles of Corporation of the Corporation that the record date forthe payment of dividend shall be the last day of a relevant period, at the present time, the projected amount ofdividends as of the said record date has not been determined yet. For further details, refer to “(5) Basic policy
regarding profit distribution and cash dividend for fiscal 2024 and 2025” on page 7.
3. Consolidated Financial Performance Forecast for the year ending March 31, 2025
Yen (millions)
For the year ending March 31, 2025(%)
710,000(4.2)
Revenue ....................................................................................
75,00013.3
Operating profit ........................................................................
74,000
15.6
Profit before income taxes ........................................................
51,000
16.7
Profit attributable to owners of the parent .................................
Yen
189.57
Profit attributable to owners of the parent per share (Basic) .....
Note: The table above shows the changes in the percentage ratio of revenue, operating profit, profit before income taxes
and profit attributable to owners of the parent against the previous year.

English translation of "KESSAN TANSHIN" originally issued in Japanese24. ɻOther(1) Changes in important subsidiaries during the year (Changes in specified subsidiaries accompanied by changes inscope of consolidation during the year): None
(2)

Changes in accounting policies and accounting estimates:
1. Changes in accounting policies required by IFRS: Yes
2. Changes in accounting policies other than 1: None
3. Changes in accounting estimate: None

(3) Number of shares outstanding (common stock)
1. Number of shares issued (including treasury shares): As of March 31, 2024:
As of March 31, 2023:
2. Number of treasury shares:
As of March 31, 2024:
As of March 31, 2023:
3. Average number of shares outstanding:
For the year ended March 31, 2024:
For the year ended March 31, 2023:

280,017,520
280,017,520
10,993,621
8,475,674
269,484,912
271,539,104

Makita’s earnings releases (KESSAN TANSHIN) are not subject to an audit.
Explanation regarding proper use of business forecasts, and other significant matters
The financial forecast given above is based on information as available at the present time, and includes potential
risks and uncertainties. As a consequence of the factors above and other, actual results may vary from the forecasts
provided above. Regarding the assumptions for the forecasts and other matters, refer to “SUPPLEMENTINFORMATION (CONSOLIDATED)”, “1. Overview of operating results”, “(4) Outlook for the fiscal year ending
March 31, 2025” on page 6.

English translation of "KESSAN TANSHIN" originally issued in Japanese

3




SUPPLEMENT INFORMATION (CONSOLIDATED)
1. Overview of operating results(1) Overview of operating results of the year
Looking at the international economic situation during the fiscal year under review, economic growth slowed
worldwide, with housing investment remaining sluggish due to persistently high interest rates while monetary tightening
policies were implemented in various countries to control inflation. In addition, Russia’s invasion of Ukraine and unrest in
the Middle East could lead to further price increases and economic downturns, and the outlook continues to remain
uncertain.
In this situation, the Makita Group has focused on expanding its lineup of cordless products, including power tools
and outdoor power equipment in the durable high-power, long-life “40Vmax Lithium-ion Battery” (XGT) series, and has
introduced new products in new categories, such as robotic lawnmowers and cordless sweepers.
With respect to production, we worked to eliminate waste and reduce costs in all manufacturing processes and to
expand initiatives at individual plants to other plants, thereby improving the efficiency of the Group as a whole.
We also work to increase the level of the community-based and customer-oriented service framework in order tofurther strengthen trusting relationships with customers around the world. We strive to deepen and develop the market
centered on “40Vmax Lithium-ion Battery” series.

For the fiscal year, sales fell in many areas and consolidated revenue came to 741,391 million yen, down 3.0% year
over year. This was because of weak demand for housing due to monetary tightening in overseas market and restrained
investment in the building and construction markets. In terms of profit, operating profit increased by 134.3% year on year
to 66,169 million yen (operating profit ratio: 8.9%) driven by an improvement in the cost ratio due to the impact of
reduction of transportation cost and foreign exchange rates. Profit before income taxes increased by 168.0% to 64,017
million yen (profit before income taxes ratio: 8.6%) and profit attributable to owners of the parent increased by 273.3% to43,691 million yen (ratio of profit attributable to owners of the parent: 5.9%).
Revenue by region are as follows:
Makita's consolidated revenue by geographic area is based on the customer’s location for the periods presented.
Accordingly, it differs from “Segment Information” on page 15.
In Japan, although the demand environment continues to stagnate, public facility-related construction demandremained comparatively strong, and as a result of striving for the expansion of sales of outdoor power equipment, mainlyfor professionals, sales were 123,222 million yen, an increase of 0.2% year on year.
In Europe, while the construction market remains lackluster due to high interest rates and demand is still weak, thedeprecation of the yen against local currencies contributed to revenue increasing by 2.1% to 356,491 million.
In North America, although consumer spending overall remained comparatively strong, housing-related demand was
sluggish as the high interest rate environment continued, and sales decreased, centered mainly on home improvement stores,
ending at 93,677 million yen, a decrease of 21.3% year on year.
In Asia, demand for tools generally remained weak due to the continued slump in the real estate market in China andother countries. As a result, sales fell 13.4% year on year to 46,133 million yen.
In Central and South America, despite the challenging demand environment, we made efforts to expand sales of the
40Vmax series, which we are focusing on in various countries, and sales were up 5.2% year on year to 49,697 million yen
due to the depreciation of the yen against local currencies.
In Oceania, consumption remains stagnant due to continuing inflation and high interest rates, and housing investment
trended at a low level, resulting in sales of 56,340 million yen, a decrease of 3.8% year on year.
In the Middle East and Africa, although there were variations depending on the country, demand for construction andarchitecture remained steady overall, and sales were up 8.9% year on year to 15,831 million yen.

English translation of "KESSAN TANSHIN" originally issued in Japanese4(Initiatives toward carbon neutrality)
The impact of climate change on society, such as frequent wind and flood disasters, is becoming more serious, andcompanies are playing an increasingly important role in realizing a decarbonized society. We have identified contributing
to a decarbonized society as a material issue that should be prioritized and are stepping up our efforts. Therefore, theGroup is currently working on the realization of a decarbonized society by focusing on cordless outdoor power equipmentthat does not emit exhaust gases during use as the next pillar of our future business in addition to power tools. In addition,with the goal of reducing our greenhouse gas (GHG) emissions, we have set targets for reducing GHG emissions fromour business activities (Scope 1 and 2) by 50% by FY2030 from the FY2020 level and to net zero by FY2040 andreducing GHG emissions from the entire supply chain (Scope 3) to net zero by FY2050.
During the fiscal year ended March 2024, solar panels were installed at the part of Head office and Okazaki plant inJapan and at Estonia branch, and we promoted the use of renewable energy.
We will continue to work on the use of renewable energy and energy conservation in our business activities to achieve
GHG emission reduction targets.
(2) Overview of financial position for the fiscal year ended March 31, 2024
Total assets as of the end of the year decreased by 43,543 million yen to 1,055,808 million yen compared to the balance
as of March 31, 2023. This decrease was mainly due to the decrease in “Inventories”.
Total liabilities decreased by 143,050 million yen to 180,602 million yen compared to the balance as of March 31, 2023.
This decrease was mainly due to the decrease in “Borrowings.”
Total equity increased by 99,507 million yen to 875,206 million yen compared to the balance as of March 31, 2023.
This increase was mainly due to exchange gain or loss recognized in “Exchange differences on translating foreign
operations” included in the “Other components of equity”.

(3) Overview of cash flow situation for the fiscal year ended March 31, 2024
Total cash and cash equivalents amounted to 196,645 million yen, increased by 33,925 million yen compared to the endof the previous year.
Net cash provided by operating activities amounted to 237,086 million yen (44,430 million yen in the previous year)
due to a decrease in inventories.
Net cash used in investing activities decreased to 25,619 million yen (37,680 million yen in the previous year) due toacquisition of fixed assets.
Consequently, free cash flows (the sum of cash flows from operating activities and investing activities) amounted to211,467 million yen (6,750 million yen in the previous year).
Net cash used in financing activities amounted to 191,277 million yen (net cash provided by financing activities
amounted to 80,970 million yen in the previous year) due to the repayment of short-term borrowings and so on.

English translation of "KESSAN TANSHIN" originally issued in Japanese5(4) Outlook for the fiscal year ending March 31, 2025
In the future, the Makita Group expects that the prospect for the global economy will continue to be uncertain.
Meanwhile, the Group believes that demand for environmental and human friendly tools that contribute to the solutionof social issues, such as the labor shortage and environment conservation by increased efficiency of works, will continue
to increase further both in emerging and developed countries.
To cope with these assumed conditions, Makita will:࣭ Strengthen its R&D and product development capabilities, mainly for the technologies of motors and technologies
IRUGLVFKDUJHFKDUJHRIEDWWHULHVWRWDNHWKHLQLWLDWLYHLQFRUGOHVVSURGXFWVPDUNHW࣭ Next to power tools, we will work to develop and market products, mainly cordless outdoor power equipment
and cleaning products, as the mainstay of future business.
࣭ Work to strengthen a multipolar production and procurement system that is not overly dependent on any specificcountry, region, or supplier.
࣭ Strive to raise its brand power by promoting the establishment of a sales and after-sales service network to offer
community-based and fine-tuned response to needs of customers around the world.
On the basis of these factors, the Group will strive to maintain a solid presence in the industry and contribute toachieve a sustainable society as a global supplier of a comprehensive range of tools for creating comfortable homes andliving environments.
(Consolidated Financial Performance Forecast for the Year Ending March 31, 2025)
Although the strengthening of Makita’s profit structure has advanced due to the elimination of waste in internal workand the reduction of inventories, which we have focused on since this term, the severe demand environment will continue
in the fiscal year ending March 2025 too, such as the stagnation of housing investment in various regions including
Europe, and it is also difficult to predict demand trends in North America.
Based on these assumptions, the consolidated results for the fiscal year ending March 2025 are estimated below.
Yen (millions)
For the year ending
March 31, 2025
Revenue ..............................................................................................................
Operating profit ..................................................................................................
Profit before income taxes..................................................................................
Profit attributable to owners of the parent..........................................................

710,000
75,00074,00051,000[Preconditions]
The above forecast is based on the assumption of exchange rates of 145 yen to the U.S. dollar, 155 yen to the euro and20.0 yen to the renminbi.
[Reference]
The actual exchange rate for the year ended March 31, 2024 was 144.59 yen to the U.S. dollar, 156.75 yen to the euro
and 20.13 yen to the renminbi.

FORWARD-LOOKING STATEMENTS
This document contains forward-looking statements based on assumptions, judgments, and beliefs in light of theinformation currently available to it and includes potential risks and uncertainties. As a consequence of the factors above
and other, actual results may vary materially from the forecast provided. Therefore, these statements should not beinterpreted as representation where such objectives will be achieved.

English translation of "KESSAN TANSHIN" originally issued in Japanese6(5) Basic policy regarding profit distribution and cash dividend for the fiscal 2024 and 2025
Makita's basic policy on the distribution of profits is to maintain the total return ratio at 35% or greater, with a lower
limit on annual cash dividends of 20 yen per share. However, in the event special circumstances arise, computation of theamount of dividends will be based on profit attributable to owners of the parent per share after certain adjustments. Of these,
we will consider purchasing of treasury shares in view of stock price level and free cash flow and so on, in order to increase
shareholder returns through the implementation of a flexible capital policy and improvement of capital efficiency.
We intend to use retained earnings to invest in environmental initiatives, which will become increasingly important, andto expand our business globally, while maintaining a financial structure that can withstand any changes in the businessenvironment.
Our forecast for dividends is as followsFor the year ended
March 31, 2024
(Result)

For the year ending
March 31, 2025
(Forecast)

Cash dividend per share:
Interim ............................................................................

10.00 yen

Year-end .........................................................................

47.00 yen (Note)

20.00 yen
(Note)(Note)
57.00 yen (Note)
Total................................................................................
Note: At a meeting of the Board of Directors to be held in April 2025, in accordance with the basic policy on profit

distribution described above, the amount of dividends will be determined so that the total return ratio is at least 35%,
and the decision will be submitted to the General Meeting of Shareholders to be held the following June. However,
if certain special circumstances arise, computation of the amount of dividends will be based on profit attributable toowners of the parent after certain adjustments.

English translation of "KESSAN TANSHIN" originally issued in Japanese7(6) Measures to realize management that is conscious of capital costs and the stock price<Analysis of the current situation>
While Makita’s cost of equity is estimated to be around 6 to 8%, ROE, an indicator of capital profitability, generally
trended at around 8 to 10% above that level until the fiscal year ended March 2022. However, in the fiscal year ended
March 2023, ROE decreased to 1.5% because of factors including decreases in sales quantities due to rapid changes in the
demand environment and the impact of excessive inventories. For the fiscal year ended March 2024, ROE remains lower
than the cost of equity at 5.3%.
The stock price has declined since September 2021, when stay-at-home demand caused by COVID-19 pandemic lost
momentum and the expansion of results slowed in association with that. Currently, the stock price continues to trend at
pre-COVID-19 levels. Although its PBR continues at a level above 1x, it is trending downwards in association with thesluggish growth of the stock price.

Unit

FYE2019

FYE2020

FYE2021

FYE2022

FYE2023

FYE2024

Revenuemillion yen

490,578492,617608,331739,260

764,702741,391

Operating profit

million yen

78,30564,046

88,46491,72828,246

66,169Operating profit ratio

%

16.0

13.0

14.5

12.4

3.7

8.9

ROE

%

9.9

8.3

10.1

9.2

1.5

5.3

Year-end stock price

yen

3,855

3,315

4,745

3,935

3,280

4,270

PBR

times

1.8

1.6

2.0

1.4

1.2

1.3

<Policy and targets for improvement>
Makita will expand equity spread by reducing the cost of equity while improving the situation where ROE falls below
the cost of equity at an early date and maintaining conditions allowing it to achieve 8 to 10%, the level prior to the fiscal
year ended March 2022.
<Matters to be addressed>
Based on the policy and targets above, we will work on the following matters.
ձ

Improvement of ROE
࣭ Improvement of profit margin and capital efficiency by achieving inventory reduction targets
࣭ Thorough implementation of cost reductions by improving work efficiency and eliminating waste in all divisions
࣭ Strengthening of profitability by differentiation from other companies through the expansion of our lineup ofhigh value-added products for professionals centered on 40Vmax batteries and the provision of high quality
after-sales services using our meticulous network of bases

ղ

Reduction of cost of equity
࣭ Formulation and execution of business strategies able to respond appropriately to changes in the environment࣭ Promotion of sustainability management and human capital management
࣭ Promotion of investor understanding through IR activities

2. Basic Rationale for Selection of Accounting Standards
Makita has voluntarily adopted International Financial Reporting Standards (IFRS) from the fiscal year ended March
31, 2019 in order to improve global comparability in financial market.
English translation of "KESSAN TANSHIN" originally issued in Japanese83. ɻConsolidated Financial Statements (Unaudited)(1) Consolidated Statement of Financial Position
Yen (millions)
As of March 31, 2023
Composition ratio

As of March 31, 2024
Composition ratio

ASSETS
CURRENT ASSETS:
Cash and cash equivalents…………………………

162,720

196,645

Trade and other receivables………………………

110,884

116,267

Inventories…………………………………………

453,752

345,491

Other financial assets………………………………

6,970

18,561Other current assets…………………………………

19,113

16,671

Total current assets………………………………

753,43968.5%

693,635

65.7%

NON-CURRENT ASSETS:
Property, plant and equipment, at cost……………

265,638

277,248

Goodwill and intangible assets……………………

10,427

10,206

Other financial assets………………………………

36,607

37,835Retirement benefit assets……………………………

12,157

14,968Deferred tax assets…………………………………

17,901

19,670

Other non-current assets……………………………

3,182

2,246

Total non-current assets…………………………

345,91231.5%

362,173

34.3%

Total assets………………………………………………

1,099,351

100.0%

1,055,808

100.0%English translation of "KESSAN TANSHIN" originally issued in Japanese

9Yen (millions)
As of March 31, 2023
Composition ratio

As of March 31, 2024
Composition ratio

LIABILITIES AND EQUITY
LIABILITIESCURRENT LIABILITIES:
Trade and other payables…………………………

41,76749,987

Borrowings…………………………………………

186,390

19,891Other financial liabilities…………………………

7,504

6,067

Income taxes payable………………………………

3,757

9,113

Provisions…………………………………………

4,623

5,113

Other current liabilities……………………………

47,55255,304

Total current liabilities……………………………

291,593

26.5%

145,475

13.8%

NON-CURRENT LIABILITIES:
Retirement benefit liabilities………………………

2,830

3,269

Other financial liabilities…………………………

14,835

17,150

Provisions…………………………………………

1,618

1,960

Deferred tax liabilities……………………………

12,576

12,546

Other non-current liabilities………………………

200

202

Total non-current liabilities………………………

32,0592.9%35,127

3.3%

Total liabilities……………………………………………

323,652

29.4%

180,602

17.1%

EQUITY
Share Capital………………………………………

23,80523,805

Capital Surplus……………………………………

45,60645,607Retained earnings…………………………………

629,314669,359

Treasury shares……………………………………

(11,528)(21,501)

Other components of equity………………………

82,050150,886

Total equity attributable to owners of the parent…………

769,24770.0%

868,156

82.2%

NON-CONTROLLING INTEREST……………………

6,452

0.6%

7,050

0.7%

Total equity………………………………………………

775,69970.6%

875,206

82.9%

Total liabilities and equity………………………………

1,099,351

100.0%

1,055,808

100.0%English translation of "KESSAN TANSHIN" originally issued in Japanese10

(2) Consolidated Statements of Profit or Loss and Consolidated Statements of Comprehensive Income
Consolidated Statements of Profit or Loss
Yen (millions)
For the year ended
For the year ended
March 31, 2023
March 31, 2024
Ratio to revenue

Ratio to revenue

100.0%

741,391

100.0%

Cost of sales…………………………………………………(575,954) (75.3%)(517,446)(69.8%)GROSS PROFIT…………………………………………… 188,748

24.7%

223,945

30.2%

Selling, general, administrative and others, net…………… (160,502) (21.0%)(157,776)(21.3%)

66,1698.9%

REVENUE………………………………………………… 764,702

OPERATING PROFIT……………………………………… 28,246

3.7%

Financial income……………………………………………

3,316

4,643

Financial expenses…………………………………………

(7,675)(6,795)PROFIT BEFORE INCOME TAXES……………………… 23,887

3.1%

64,017

Income tax expenses………………………………………… (12,316)
PROFIT……………………………………………………… 11,571

8.6%(20,402)
1.5%

43,615

5.9%

Owners of the parent………………………………………… 11,705

1.5%

43,691

5.9%

(134)

(0.0%)(76)(0.0%)

Profit attributable to:Non-controlling interests……………………………………
Consolidated Statements of Comprehensive Income
Yen (millions)
For the year ended
March 31, 2023

For the year ended
March 31, 2024

11,571

43,615110

5,883

Remeasurement of defined benefit plans ……………………

1,212

1,955

Total of items that will not be reclassified to profit (loss)……

1,322

7,838

Exchange differences on translating foreign operations……

29,466

63,703

Total of items that may be reclassified to profit (loss)………

29,466

63,703

Total other comprehensive income (loss), net of tax…………

30,78871,541COMPREHENSIVE INCOME………………………………

42,359115,156

Owners of the parent…………………………………………

42,093

114,558

Non-controlling interests……………………………………

266

598

PROFIT……………………………..…………………………
OTHER COMPREHENSIVE INCOME (LOSS), NET OF TAX

Items that will not be reclassified to profit (loss)
Equity financial goods measured at fair value
through other comprehensive income (loss)………………

Items that may be reclassified to profit or loss

Comprehensive income attributable to:English translation of "KESSAN TANSHIN" originally issued in Japanese11

(3) Consolidated Statement of Changes in Equity
Yen (millions)
For the year ended March 31, 2023
Equity attributable to owners of the parent

Balance at April 1, 2022

SharecapitalCapitalSurplusRetainedearnings

TreasurysharesOther
componentsof equity

23,80545,585640,577(11,540)

47,917

Profit for the period

Comprehensive income
Inflation adjustments--

Dividends paid

11,705(3,197)

-

Total

Total
equity746,3446,186

752,530

11,705(134)

11,571

30,38830,388400

30,78830,3883,524

42,093327

266

42,359327

11,705

Other comprehensive income

NonControllinginterest(19,550)(19,550)(19,550)

Purchase of treasury shares

(1)

(1)

(1)

Disposal of treasury shares

0

0

0

13

34

34

221

-

-

Share-based paymenttransaction

21

Transfer from othercomponents of equity toretained earnings(221)

Total amounts of transactions
with owners
Balance at March 31, 2023-

21

(19,771)12

221(19,517)-(19,517)23,80545,606629,314(11,528)

82,050769,2476,452

775,699

Yen (millions)
For the year ended March 31, 2024
Equity attributable to owners of the parent

Balance at April 1, 2023

Total
equityCapitalSurplusRetainedearnings

TreasurysharesOther
componentsof equity

23,80545,606629,314(11,528)

82,050769,247
43,691(76)

43,61570,86770,867674

71,541

70,867

114,558598

115,156

Profit for the period

43,691Other comprehensive income
Comprehensive income

NonControllinginterest

Sharecapital--Dividends paid

43,691-

6,452

775,699(5,677)(5,677)(10,002)(10,002)(10,002)(5,677)Purchase of treasury shares

Total

Disposal of treasury shares

0

0

0

0

Share-based paymenttransaction

1

29

30

30

(2,031)--

Transfer from othercomponents of equity toretained earnings
Total amounts of transactions
with owners
Balance at March 31, 2024

2,031
-

1

(3,646)(9,973)(2,031)(15,649)-(15,649)

23,80545,607669,359(21,501)

150,886

868,156

7,050

875,206

English translation of "KESSAN TANSHIN" originally issued in Japanese12(4) Consolidated Statements of Cash Flows
Yen (millions)
For the year ended
For the year ended
March 31, 2023
March 31, 2024
CASH FLOWS FROM OPERATING ACTIVITIES:Profit……………………………………………………………………

11,571

43,615

Depreciation and amortization…………………………………………

25,88928,925

Income tax expenses……………………………………………………

12,316

20,402Financial income and expenses…………………………………………

4,359

2,152

Loss (gain) on sales and retirement of property, plant and equipment…

438

(456)

Decrease (increase) in trade and other receivables………………………

12,4884,940

Decrease (increase) in inventories………………………………………

48,571

151,378

Increase (decrease) in trade and other payables…………………………

(27,155)

4,661

Increase (decrease) in retirement benefit assets and liabilities…………

(197)

(768)

Decrease (increase) in guarantee deposits………………………………

5,993

3,744

Other……………………………………………………………………

(17,932)(8,799)Subtotal………………………………………………………………

76,341

249,794

Dividends received………………………………………………………

731

680

Interest received…………………………………………………………

2,591

3,747

Interest paid………………………………………………………………

(2,140)(1,680)

Income taxes paid………………………………………………………

(33,093)(15,455)

Cash flows from operating activities………………………………

44,430237,086

Purchase of non-current assets…………………………………………

(39,088)(17,851)

Proceeds from sales of non-current assets………………………………

933

1,691

Purchase of investments…………………………………………………

(0)

(10)

Proceeds from sales and redemption of investments……………………

803

151

Payments into time deposits……………………………………………

(4,749)(12,973)

Proceeds from withdrawal of time deposits……………………………

3,496

3,832

Other……………………………………………………………………

925

(459)

Cash flows from investing activities………………………………

(37,680)(25,619)

Net increase (decrease) in short-term borrowings………………………

104,874(171,379)

Purchase and sales of treasury shares, net………………………………

(1)(10,002)

Cash dividends paid……………………………………………………

(19,550)(5,677)

Repayment of lease liabilities……………………………………………

(4,376)(4,228)Other……………………………………………………………………

23

9

Cash flows from financing activities………………………………
EFFECT OF EXCHANGE RATE CHANGES ON CASH AND
CASH EQUIVALENTS………………………………………………

80,970(191,277)

3,943

13,735NET CHANGE IN CASH AND CASH EQUIVALENTS……………

91,66333,925

CASH AND CASH EQUIVALENTS, BEGINNING OF YEAR………

71,057

162,720

CASH AND CASH EQUIVALENTS, END OF YEAR………………

162,720

196,645

CASH FLOWS FROM INVESTING ACTIVITIES:CASH FLOWS FROM FINANCING ACTIVITIES:English translation of "KESSAN TANSHIN" originally issued in Japanese13

(5) Notes to Consolidated Financial Statements
Notes on the assumptions for a going concern: None
Changes in accounting policy:
The Group has applied the following standards and interpretations from the current fiscal year as follows:
Fiscal year in which
Time of compulsory
it applies to the
Overview
application (fiscal year
IFRS
Title
Group
starting after that)
Disclosure of income taxes arising fromtax laws enacted or substantially enacted
to introduce the Pillar Two Model Rules
Fiscal year ended
IAS 12 Income Taxes
January 1, 2023
published by the Organization for
March 2024
Economic Cooperation and Development(OECD).
The application of the standard, etc. has no material impact on the consolidated financialstatements.

English translation of "KESSAN TANSHIN" originally issued in Japanese14

Segment Information
Yen (millions)
For the year ended March 31, 2023
North
Asia
Total
Other
America

Eliminations

Consolidated

764,702

Japan

EuropeRevenue:
Externalcustomers .......... 146,364
Inter-segment .... 268,723

351,252
11,810121,685
3,449

34,477
301,409653,778585,391

110,924444(585,835)

䚷Total .......... 415,087

363,062

125,134

335,886

1,239,169

111,368(585,835)

764,702(2,119)

9,088

(912)

33,02839,0852,318(13,157)

28,246

Eliminations

Consolidated

741,391

Operating profit (loss).

#

Yen (millions)
For the year ended March 31, 2024
North
Asia
Total
Other
AmericaJapan

EuropeRevenue:
Externalcustomers .......... 141,766Inter-segment .... 179,477

359,348
11,726

96,111
4,184

32,592
207,617629,817403,004

111,574294(403,298)

䚷Total .......... 321,243

371,074

100,295

240,209

1,032,821

111,868(403,298)

741,391

Operating profit (loss). 19,006

17,830(126)

17,25653,966

5,470

6,733

66,169

Revenue by product categories

Finished goods........................................................
Parts, repairs and accessories .................................
Total revenue.......................................................

Yen (millions)
For the year ended
For the year ended
March 31, 2023
March 31, 2024
Composition ratio
Composition ratio
614,840
80.4%
584,976 78.9%
149,86219.6%
156,415 21.1%
764,702100.0%
741,391 100.0%

Increase(Decrease)(4.9%)
4.4%(3.0%)

Information per share
Yen

Equity attributable to owners of the parent per share ...

As ofMarch 31, 2023
2,832.89

As ofMarch 31, 2024
3,227.06
Yen

For the year ended
March 31, 2023

For the year ended
March 31, 2024

Profit attributable to owners of the parent per share
43.11
162.13(Basic) ..........................................................................
Notes:
1. Profit attributable to owners of the parent per share (Basic) is calculated on the basis of the average number of shares
outstanding during the year. Average number of shares outstanding is as follows:
For the year ended March 31, 2023: 271,539,104
For the year ended March 31, 2024: 269,484,912

2. The amount of profit attributable to owners of the parent per share diluted are not shown as diluted shares do
not exist.
Significant Subsequent Events: None

English translation of "KESSAN TANSHIN" originally issued in Japanese15

4. ɻSUPPORT DOCUMENTATION (CONSOLIDATED)(1) Consolidated Financial Results and Forecast
Yen (millions)
For the year ended
For the year ended
March 31, 2023
March 31, 2024
(%)

(%)

3.4
REVENUE…………………………………………………… 764,702
4.2
Domestic………………………………………………… 122,9783.3
Overseas………………………………………………… 641,724(69.2)
Operating profit……………………………………………… 28,246(74.2)
Profit before income taxes…………………………………… 23,887(81.9)
Profit attributable to owners of the parent…………………… 11,705
43.11
Profit attributable to owners of the parent per share (Yen)……
18,804
Number of Employees…………………………………………

741,391(3.0)
123,2220.2
618,169(3.7)
66,169134.3
64,017168.0
43,691
273.3
162.13
17,669Yen (millions)
For the year ending
March 31, 2025
(Forecast)(%)

REVENUE…………………………………………………………………
Domestic…………………………………………………………………
Overseas…………………………………………………………………
Operating profit………………………………………………………………
Profit before income taxes……………………………………………………
Profit attributable to owners of the parent……………………………………
Profit attributable to owners of the parent per share (Yen)…………………
Number of Employees………………………………………………………

710,000
124,000
586,000
75,00074,00051,000189.57

(4.2)
0.6
(5.2)
13.3
15.6
16.7
-

Notes:
1. Please refer to 1. Overview of operating results (4) “Outlook for the fiscal year ending March 31, 2025” on page 6.
2. The table above shows the changes in the percentage ratio of revenue, operating profit, profit before income taxes, andprofit attributable to owners of the parent compared to the corresponding period of the previous year.

English translation of "KESSAN TANSHIN" originally issued in Japanese16

(2) Consolidated Revenue by Geographic Area
Yen (millions)
For the year ended
For the year ended
March 31, 2023
March 31, 2024(%)

Japan ………………………………………… 122,978Europe ………………………………………… 348,994
North America ………………………………… 119,064
Asia …………………………………………… 53,276
Central and South America …………………… 47,256
58,593
Oceania ………………………………………
The Middle East and Africa …………………… 14,541
Total …………………………………………… 764,702

(%)

0.2
123,2222.1
356,491
93,677 (21.3)
46,133 (13.4)
5.2
49,69756,340 (3.8)
8.9
15,831
741,391 (3.0)

4.2
(1.0)
6.1
8.3
13.1
13.6
4.2
3.4

Notes:
1. The table above sets forth Makita's consolidated revenue by geographic area based on the customer’s location for theperiods presented. Accordingly, it differs from “Segment Information” on page 15.
2. The table shows the changes in the percentage ratio of revenue compared to the previous year.

(3) Exchange Rates
Yen
For the year ended
March 31, 2023

For the year ended
March 31, 2024

135.50140.9919.75

144.59156.75
20.13

USD/JPY …………………………………
EUR/JPY …………………………………
RMB/JPY …………………………………

For the year ending
March 31, 2025
(Forecast)
145
155
20.0

(4) Production Ratio (unit basis)

Domestic ………………………………………
Overseas ………………………………………

For the year ended
March 31, 2023

For the year ended
March 31, 2024

Composition ratio

Composition ratio

7.9%
92.1%

8.3%
91.7%

(5) Consolidated Capital Expenditures, Depreciation and Amortization, and R&D costs
Yen (millions)
For the year ending
For the year ended
For the year ended
March 31, 2025
March 31, 2023
March 31, 2024
(Forecast)
39,08817,851
29,000Capital expenditures ………………………
21,72524,75425,000Depreciation and amortization ……………
14,903
14,314
15,500R&D costs ………………………………

English translation of "KESSAN TANSHIN" originally issued in Japanese17