Consolidated Financial Statements for the Fiscal Year Ended March 31, 2024
<Under Japanese GAAP>May 8, 2024

These financial statements have been prepared for reference only in accordance with accounting principles and practices generally accepted in Japan.

NAGASE & CO., LTD.
Stock exchange listing: Tokyo (Prime Market)
Code number:8012
URL (https://www.nagase.co.jp/english/)Representative:
Hiroyuki Ueshima, Representative Director and President
Contact:
Kazuhiro Hanba, Executive Officer, General Manager, Corporate Management Department
TEL:+81-3-3665-3103
Annual general meeting of stockholders: June 21, 2024
Start of distribution of dividends (scheduled): June 24, 2024
Securities report filing (scheduled): June 24, 2024
Supplementary documents: Yes
Investors' meeting: Yes(Note: Amounts have been rounded down to the nearest million yen.)

1. Consolidated Results for the Fiscal Year Ended March 31, 2024
(April 1, 2023 to March 31, 2024)(1) Consolidated Operating Results
Net sales
Millions of yen

900,149
912,896

FYE March 2024
FYE March 2023
(Note) Comprehensive income(% = year-on-year change)

Gross profit
%

-1.4
17.0

Millions of yen

164,719
155,410

Operating income
%

6.0
11.4

Millions of yen%

30,61833,371-8.2-5.4

Profit attributable toowners of the parent

Ordinary income
Millions of yen%

30,591
32,528-6.0-10.9

Millions of yen

22,402
23,625

%

-5.2
-8.9

FYE March 2024: ¥46,335 million (22.0%)
FYE March 2023: ¥37,994 million (32.8%)

Earnings per share

Earnings per share(diluted)

Yen

Yen

194.96199.54FYE March 2024
FYE March 2023
(Reference)Equity in earnings of affiliates−−

FYE March 2024:
FYE March 2023:

Ordinary income/total assets

Return on equity

Operatingincome/net sales

%

%

%

5.9

3.9

3.4

6.6

4.3

3.7

¥568 million¥318 million(2) Consolidated Financial Position
Total assets
Millions of yen

792,336
762,688

FYE March 2024
FYE March 2023
(Reference) Equity capital

Shareholders’equity ratio

Net assets
Millions of yen

401,315
378,388

Net assets per share
%

Yen

49.7
48.2

3,463.84
3,139.26

FYE March 2024: ¥394,064 million
FYE March 2023: ¥367,675 million(3) Consolidated Cash FlowsFYE March 2024
FYE March 2023

Cash flows from operating
activities

Cash flows from investing
activities

Cash flows from financing
activities

Cash and cash equivalents,
end of the year

Millions of yen

Millions of yen

Millions of yen

Millions of yen

72,9599,414(11,627)(8,031)(48,046)(17,247)

59,18540,331

2. Dividends
Total dividends
paid(full fiscal year)

Annual Dividends per Share
1Q
FYE March 2023
FYE March 2024
FYE March 2025 (forecast)

2Q

Fiscalyear end

3Q

Payout ratio(consolidated)

Dividends/
net assets(consolidated)

Annual

Yen

Yen

Yen

Yen

Yen

Millions of yen

%

%

−
−
−

30.00
40.00
40.00

−
−
−

40.00
40.00
45.00

70.00
80.00
85.00

8,245
9,147

34.9
40.8
33.0

2.3
2.4

3. Consolidated Earnings Forecast for the Fiscal Year Ending March 31, 2025
(April 1, 2024 to March 31, 2025)(% = year-on-year change)

Net sales
Full fiscal year

Gross profit

Operating income

Ordinary income

Profit attributable to Earnings pershareowners of the parent

Millions of yen%

Millions of yen%

Millions of yen%

Millions of yen%

Millions of yen%

Yen

940,000

4.4

180,000

9.3

36,50019.2

35,20015.1

28,00025.0254.30* Notes(1) Changes in major subsidiaries during the period (changes in specified subsidiaries accompanying changes in the scope of
consolidation): No
New: ― (Company name:)
Excluded: ― (Company name:)(2) Changes in accounting policies, changes in accounting estimates, and restatement of prior period financial statements after
error correctionsi.
Changes in accordance with revisions to accounting and other standards: Yes
ii. Changes in items other than (i) above: Yesiii. Changes in accounting estimates: No
iv. Restatement of prior period financial statements after error corrections: No(4) Number of shares issued and outstanding (common stock)i.
Number of shares issued and outstanding as of the fiscal period end (including treasury stock)
March 31, 2024
117,908,285 shares March 31, 2023
117,908,285 shares
ii.

iii.

Number of treasury stock as of the fiscal period end
March 31, 2024
4,143,115 shares

March 31, 2023

786,718 shares

Average number of shares during the period
March 31, 2024
114,911,971 shares

March 31, 2023

118,398,261 shares* These consolidated financial statements are not subject to audit by an independent audit corporation* Cautionary Statement with Respect to Forecasts of Consolidated Business Results
The earnings forecasts presented in this document are based upon currently available information and assumptions deemed rational.
A variety of factors could cause actual results to differ materially from forecasts.

NAGASE & CO., LTD. (8012)
Consolidated Financial Statements (Summary) for the Fiscal Year Ended March 31, 2024

Consolidated Financial Statements(1) Consolidated Balance Sheets(Millions of yen)

ASSETS
Current assets
Cash and time deposits
Notes and accounts receivable
Merchandise and finished goods
Work in process
Raw materials and supplies
Other
Less allowance for doubtful accounts
Total current assets
Non-current assets
Property, plant and equipment
Buildings and structures
Accumulated depreciation
Buildings and structures (net)
Machinery, equipment and vehicles
Accumulated depreciation
Machinery, equipment and vehicles (net)
Land
Other
Accumulated depreciation
Other (net)Total property, plant and equipment
Intangible fixed assets
Goodwill
Technology-based assets
Other
Total intangible fixed assets
Investments and other assets
Investments in securities
Long-term loans receivable
Retirement benefit asset
Deferred tax assets
Other
Less allowance for doubtful accounts
Total investments and other assets
Total non-current assets
Total assets

Prior Consolidated Fiscal Year
(March 31, 2023)

Current Consolidated Fiscal Year
(March 31, 2024)

40,897302,105
152,504
2,446
14,77018,429(1,021)
530,132

59,410321,126
131,137
2,594
14,25914,881(940)
542,470

64,095(37,018)
27,07665,005(47,686)
17,31818,83942,415(23,585)
18,82982,06463,432(36,734)
26,69767,471(50,883)
16,58820,221
50,107(26,222)
23,88487,39229,004
4,337
35,58768,92827,884
2,761
38,70369,34969,743
17
2,645
3,857
5,475
(176)
81,562
232,556
762,688

76,225
326
6,217
4,596
5,935
(177)
93,123249,865
792,336NAGASE & CO., LTD. (8012)
Consolidated Financial Statements (Summary) for the Fiscal Year Ended March 31, 2024

(Millions of yen)
Prior Consolidated Fiscal Year
(March 31, 2023)
LIABILITIESCurrent liabilities
Notes and accounts payable
Short-term loans
Current portion of long-term loans
Commercial paper
Current portion of bonds
Accrued income taxes
Accrued bonuses for employees
Accrued bonuses for directors
Other
Total current liabilities
Long-term liabilities
Bonds
Long-term loans
Lease liabilities
Deferred tax liabilities
Retirement benefit liability
Provision for directors’ stock benefit
Other
Total long-term liabilities
Total liabilities
NET ASSETS
Shareholders’ equity
Common stock
Capital surplus
Retained earnings
Less treasury stock, at cost
Total shareholders’ equity
Accumulated other comprehensive income
Net unrealized holding gain on securities
Deferred gain on hedges
Translation adjustments
Remeasurements of defined benefit plans
Total accumulated other comprehensive income
Non-controlling interests
Total net assets
Total liabilities and net assets

Current Consolidated Fiscal Year
(March 31, 2024)

140,438
66,117
1,056
38,000
2,913
6,985
371
30,321
286,203156,352
50,731
6,946
37,00010,000
5,195
7,569
251
28,628302,675

30,00032,697
9,763
10,36013,19765
2,012
98,097384,300

20,00027,533
12,492
13,567
12,34560
2,345
88,345391,021

9,699
10,636290,279(1,550)309,064

9,699
9,348
303,328(9,543)
312,832

28,928(7)30,414(726)
58,61010,713378,388762,688

33,763
119
44,846
2,503
81,232
7,250
401,315
792,336NAGASE & CO., LTD. (8012)
Consolidated Financial Statements (Summary) for the Fiscal Year Ended March 31, 2024

(2) Consolidated Statements of Income and Consolidated Statements of Comprehensive Income(Consolidated Statements of Income)(Millions of yen)
Prior Consolidated Fiscal Year
(April 1, 2022 March 31, 2023)
Net sales
Cost of sales
Gross profit
Selling, general and administrative expenses
Selling expenses
Employee salaries and allowances
Provision for accrued bonuses for employees
Provision for accrued bonuses for directors
Depreciation and amortization other than amortizationof goodwill
Retirement benefit expenses
Allowance for doubtful accounts
Amortization of goodwill
Other
Total selling, general and administrative expenses
Operating income
Non-operating income
Interest income
Dividend income
Rent income
Foreign exchange gains
Equity in earnings of affiliates
Other
Total non-operating income
Non-operating expenses
Interest expenses
Other
Total non-operating expenses
Ordinary income
Extraordinary gains
Gain on sales of non-current assets
Gain on sales of investment securities
Gain on sales of shares of subsidiaries and affiliates
Gain on sales of investments in capital of subsidiaries
and affiliates
Gain on change in equity
Subsidy income
Other
Total extraordinary gains
Extraordinary losses
Loss on sales of non-current assets
Loss on disposal of non-current assets
Loss on impairment of fixed assets
Loss on sales of investment securities
Loss on valuation of investment securities
Loss on sales of shares of subsidiaries and affiliates
Other
Total extraordinary losses
Income before income taxes
Income taxes - current
Income taxes - deferred
Total income taxes
Profit for the period
Profit attributable to non-controlling interests
Profit attributable to owners of the parent

Current Consolidated Fiscal Year
(April 1, 2023 March 31, 2024)

912,896
757,486
155,410900,149
735,430
164,719

22,95338,8394,421
396

22,43343,704
4,447
270

7,554

9,231

1,443
333
2,545
43,550122,038
33,371

2,275
282
2,627
48,827
134,100
30,618

197
1,537
243
12
318
656
2,967

610
1,553
248
635
568
705
4,321

3,211
598
3,810
32,528

3,744
604
4,348
30,591

144
6,587
52

83
5,591
-

147

-

449
25
7,406

512
46
6,234

87
998
2,838
7
2,120
466
277
6,797
33,137
9,621
(694)
8,927
24,210584
23,625

41
1,422
2,276
21
135
263
4,160
32,665
10,627(815)
9,812
22,853450
22,402

NAGASE & CO., LTD. (8012)
Consolidated Financial Statements (Summary) for the Fiscal Year Ended March 31, 2024

(Consolidated Statements of Comprehensive Income)(Millions of yen)
Prior Consolidated Fiscal Year
(April 1, 2022 March 31, 2023)
Profit for the period
Other comprehensive income
Net unrealized holding (loss) gain on securities
Deferred (loss) gain on hedges
Translation adjustments
Remeasurements of defined benefit plans
Share of other comprehensive income of affiliates
accounted for by the equity method
Total other comprehensive income
Comprehensive income
Comprehensive income attributable to:Shareholders of the parent
Non-controlling interests

Current Consolidated Fiscal Year
(April 1, 2023 March 31, 2024)

24,21022,853(2,794)(186)
16,852
(564)

4,827
126
14,738
3,229

477

560

13,78437,99423,482
46,33536,8381,156

45,024
1,310

NAGASE & CO., LTD. (8012)
Consolidated Financial Statements (Summary) for the Fiscal Year Ended March 31, 2024

(3) Consolidated Statements of Changes in Shareholders’ Equity
Prior Consolidated Fiscal Year (April 1, 2022 - March 31, 2023)(Millions of yen)
Shareholders’ equity
Common stock
Balance, beginning of period

Capital surplus

9,699

Retained earnings

10,639Less treasury stock, atcost

280,015

Total shareholders’equity(1,534)

298,820

ChangesCash dividends(7,150)(7,150)

Profit attributable to ownersof the parent

23,62523,625Purchase of treasury stock
Cancellation of treasury
stock(5,645)(5,662)(5,662)5,645-

Equity transactions with
non-controlling interests

(0)

(0)

Changes in scope of
consolidation

(3)

(3)

Changes in scope of equity
affiliates

(330)

(330)

Changes in fiscal year-end
of consolidated subsidiaries

(234)

(234)

Changes other thanshareholders’ equity
accounts (net)Total changes
Balance, end of period-(3)10,264(16)

10,244

9,699

10,636290,279(1,550)309,064

Accumulated other comprehensive income

Balance, beginning of period

Net unrealized
holding gain on
securities

Deferred gain
on hedges

31,732

178

Translation
adjustments
13,690Remeasurementsof defined benefit
plans

(161)

Total
Non-controlling
Total net assets
accumulated
interests
othercomprehensive
income45,441

10,830355,092

ChangesCash dividends(7,150)

Profit attributable to ownersof the parent

23,625Purchase of treasury stock(5,662)

Cancellation of treasury
stock

-

Equity transactions with
non-controlling interests(0)

Changes in scope of
consolidation(3)

Changes in scope of equity
affiliates(330)

Changes in fiscal year-end
of consolidated subsidiaries(234)

Changes other thanshareholders’ equity
accounts (net)(2,804)(186)

16,723(564)

13,169(117)

13,051

Total changes(2,804)(186)

16,723(564)

13,169(117)

23,295

Balance, end of period

28,928(7)30,414(726)

58,61010,713378,388

NAGASE & CO., LTD. (8012)
Consolidated Financial Statements (Summary) for the Fiscal Year Ended March 31, 2024

Current Consolidated Fiscal Year (April 1, 2023 - March 31, 2024)(Millions of yen)
Shareholders’ equity
Common stock
Balance, beginning of period

Capital surplus

9,699

Retained earnings

10,636

Less treasury stock, at
cost

290,279

Cumulative effects of changes
in accounting policies

Total shareholders’equity(1,550)309,064(72)

Restated balance

9,699

10,636(72)

290,207(1,550)308,992

ChangesCash dividends(9,281)(9,281)

Profit attributable to ownersof the parent

22,402

22,402

Purchase of treasury stock
Cancellation of treasury
stock
Equity transactions with
non-controlling interests(8,001)(8,001)7

7(1,287)(1,287)

Changes other thanshareholders’ equity
accounts (net)Total changes
Balance, end of period-(1,287)

13,121(7,993)

3,840

9,699

9,348

303,328(9,543)

312,832

Accumulated other comprehensive income

Balance, beginning of period

Net unrealized
holding gain on
securities

Deferred gain
on hedges

28,928(7)Translation
adjustments
30,414Remeasurementsof defined benefit
plans

(726)

Total
Non-controlling
Total net assets
accumulated
interests
othercomprehensive
income58,61010,713Cumulative effects of changes
in accounting policies
Restated balance

378,388(72)

28,928(7)30,414(726)

58,61010,713378,315

ChangesCash dividends(9,281)

Profit attributable to ownersof the parent

22,402

Purchase of treasury stock(8,001)

Cancellation of treasury
stock

7

Equity transactions with
non-controlling interests(1,287)

Changes other thanshareholders’ equity
accounts (net)

4,834

126

14,431

3,229

22,622(3,462)

19,159Total changes

4,834

126

14,431

3,229

22,622(3,462)

22,999Balance, end of period

33,763

119

44,846

2,503

81,232

7,250

401,315

NAGASE & CO., LTD. (8012)
Consolidated Financial Statements (Summary) for the Fiscal Year Ended March 31, 2024

(4) Consolidated Statements of Cash Flows(Millions of yen)
Current Consolidated
Fiscal Year
(April 1, 2023 March 31, 2024)

Prior Consolidated
Fiscal Year
(April 1, 2022 March 31, 2023)
Operating Activities
Income before income taxes
Depreciation and amortization other than amortization of
goodwill
Loss on impairment of fixed assets
Amortization of goodwill
Subsidy income
Share of gain of entities accounted for using equity method
Gain on change in equity(Decrease) increase in retirement benefit liability(Increase) decrease in retirement benefit asset
Interest and dividend income
Interest expenses
Exchange gain, net
Gain on sales of investment securities, investments in capital,
shares of subsidiaries and affiliates, and investments in capital ofsubsidiaries and affiliates, net
Loss on valuation of investment securities, investments in capital,
shares of subsidiaries and affiliates, and investments in capital ofsubsidiaries and affiliates, net
Increase in notes and accounts receivable(Increase) decrease in inventories(Decrease) increase in notes and accounts payable
Other
SubtotalInterest and dividends received
Interest paid
Proceeds from subsidy income
Income taxes paid
Net cash provided by operating activities
Investing activities
Purchases of property, plant and equipment
Proceeds from sales of property, plant and equipment
Purchases of intangible fixed assets included in other assets
Purchases of investments in securities
Proceeds from sales of investments in securities
Purchases of investments in capital
Proceeds from sales of investments in capital
Purchases of shares of subsidiaries resulting in change in scope of
consolidation
Proceeds from sales of shares of subsidiaries resulting in changeof scope of consolidation
Increase in short-term loans receivable included in other current
assets, net
Decrease in time deposits, net
Proceeds from subsidy income
Other
Net cash used in investing activities

33,13732,665

12,377

13,998

2,838
2,545
(25)
(318)
(449)
(609)
(55)
(1,734)
3,211
(891)

2,276
2,627
(512)
(568)
3,775
495
(2,164)
3,744(1,652)(6,312)(5,570)

2,120

135

(5,171)(1,275)(13,584)(1,462)
24,341
2,418(3,058)(14,286)
9,414(7,373)31,6268,844
188
82,5372,589(3,865)512(8,814)
72,959(12,029)
540(4,888)
(437)
7,474
178

(14,019)585(3,735)
(623)
7,154
(205)
-

-

(244)

2,040

-

(623)

(316)

337
25
(650)
(8,031)378(601)(11,627)

NAGASE & CO., LTD. (8012)
Consolidated Financial Statements (Summary) for the Fiscal Year Ended March 31, 2024

(Millions of yen)
Current Consolidated
Fiscal Year
(April 1, 2023 March 31, 2024)

Prior Consolidated
Fiscal Year
(April 1, 2022 March 31, 2023)
Financing activities
Decrease in short-term loans, net
Increase (decrease) in commercial paper, net
Proceeds from long-term loans
Repayments of long-term loans
Proceeds from issuance of bonds
Redemption of bonds
Purchase of treasury stock
Cash dividends paid
Cash dividends paid to non-controlling interests
Payments for purchases of shares of subsidiaries not resulting inchange in scope of consolidation
Other
Net cash used in financing activities
Effects of exchange rate changes on cash and cash equivalents
Net (decrease) increase in cash and cash equivalents
Cash and cash equivalents at beginning of the year
Decrease in cash and cash equivalents resulting from changes in fiscal
year-end of consolidated subsidiaries
Cash and cash equivalents, at end of the period(11,961)
13,0005,000(8,623)
10,000(10,000)(5,662)(7,150)(1,133)(22,408)(1,000)1,000(1,055)(8,001)(9,281)(603)-(6,025)(716)(17,247)
3,064(12,800)
53,336(670)(48,046)
5,569
18,85440,331(204)-

40,331

59,185