Note : This document has been translated from a part of the Japanese original for reference purposes only. In theevent of any discrepancy between this translated document and the Japanese original, the original shall prevail.

November 14,2022

Summary of Consolidated Financial Results for theSecond Quarter of the Year Ending March 2023 (unaudited)
Company name:
URL:
Representative:
Contact:
Phone:(Code No.3864 Tokyo Stock Exchange)
Mitsubishi Paper Mills Limited
https://www.mpm.co.jp/
Ryuichi Kisaka, President and Chief Executive Officer
Hiroyuki Ino,General Manager, Finance & Accounting Dept.
+81-3-5600-1407(Amounts of less than one million yen are rounded down.)
1. Results for the Second Quarter of the Year Ending March 31, 2023 (April 1, 2022 -September 30, 2022)(1) Consolidated Operating Results(% indicates changes from the previous corresponding period.)
Profit attributable toNet sales
Operating income
Ordinary income
owners of parent
Million yen

First Half of FY2022
First Half of FY2021
Note: Comprehensive income%

Million yen

100,364 16.9
85,874
9.2
First Half of FY2022
First Half of FY2021%

Million yen(435)288¥(707) million¥1,921 million

Profit per share

Diluted profit pershare%

Million yen%

1,504 103.2
740-(288)
256-YenYen(6.51)
5.74-Total assets

Net assets

Million yen

Million yen%

68,807
69,613¥68,789 million¥69,608 million

30.4
32.2

First Half of FY2022
First Half of FY2021(2) Consolidated Financial Condition

First Half of FY2022
Year ended March 2022
Note: Shareholders' equity

226,622
215,879
First Half of FY2022
FY2021

Shareholders'equity ratio

2. Dividends
End of 1Q

End of 2Q

Dividend per share
End of 3Q

End of FYYenYenYen

Yen

Yen

0.00

0.00

5.00

5.00

FY20210.00
FY20220.00
FY2022(Forecast)
Note : Revision to the forecast for dividends announced most recently … None

Annual

3. Consolidated Financial Results Forecast for the Fiscal Year Ending March 31, 2023
(April 1, 2022 to March 31, 2023)(% indicates changes from the previous corresponding period.)
Net sales
Million yen

Operating income%

Million yen

Profit attributable toowners of parent

Ordinary income%Million yen

Full year
215,000 18.2
2,500
3,500
78.2
Note : Revision to the financial results forecast announced most recently … Yes%

Million yen

1,500Earnings
per share%

36.8

Yen

33.74

4. Notes(1) Changes in significant subsidiaries during the period under review(changes in specified subsidiaries resulting in changes in scope of consolidation):
New: - (Company name);
Excluded: - (Company name)

None(2) Accounting policies adopted specially for the preparation of quarterly consolidated financial statements: None
(3) Changes in accounting policies, changes in accounting estimates and retrospective restatement
1) Changes in accounting policies due to the revision of accounting standards:
Yes2) Changes in accounting policies other than 1) above:None3) Changes in accounting estimates:
Yes
4) Retrospective restatement:None(4) Total number of issued shares (common shares)
1) Total number of issued shares at the end of the period (including treasury shares):First Half of FY2022
44,741,433 shares
FY202144,741,433 shares2) Total number of treasury shares at the end of the period:First Half of FY2022
633,122 shares
FY2021
288,324 shares
3) Average number of shares during the period:First Half of FY2022
44,386,646 sharesFirst Half of FY2021
44,621,736 shares
Notes： The Company has adopted a BIP (Board Incentive Plan) trust, assuming the number of shares held by thetrust are included in the number of treasury stock of “(4) Total number of issued shares (common shares)”.
* This quarterly financial results report is exempt from quarterly review by Certified Public Accountants or an Audit Firm.
* Explanation of the proper use of financial results forecast and other notes
The earnings forecasts and other forward-looking statements herein are based on information currently
acquired by the Company and certain assumptions assessed to be reasonable. Actual results may differ
significantly from these forecasts due to a wide range of factors.

Contents of Attachments
1. Qualitative Information on Quarterly Financial Results for the Period under Review ................................................. 2(1) Explanation of Operations Results ......................................................................................................................... 2(2) Explanation of Financial Position........................................................................................................................... 3(3) Explanation of Consolidated Financial Results Forecast and Other Forward-looking Information ....................... 4
2. Consolidated Financial Statements and Primary Notes ................................................................................................ 5(1) Consolidated Balance Sheets .................................................................................................................................. 5(2) Consolidated Statements of Income and Comprehensive Income .......................................................................... 7―1―

1. Qualitative Information on Quarterly Financial Results for the Period under Review(1) Explanation of Operations Results
Forward-looking statements supplied below are forecasts Mitsubishi Paper Mills Limited and its consolidated subsidiaries (the“Group”) made as of the last day of the period under review.
(1) State of Operating Results
In the first half of FY2022, economic activities continued to recover to a certain extent, assisted by efforts to prevent COVID-19’s
spread consistent with those activities. Meanwhile, uncertainties remained high over matters such as prolongation of the situation in
Ukraine and steep rises in raw material and fuel prices, as well as exchange rate fluctuations that may result from the rapid
depreciation of the yen.
Sharp rises in the prices of fuels, such as crude oil, coal, and natural gas, affected the Group significantly while the environment
surrounding the Group indicated a recovery in demand.
Under these circumstances, the Group worked to improve productivity by maintaining production systems in line with demand trends
in each business and, in term of sales, strived to revise product prices and expand sales of new products.
The Group also began executing the Mid-Term Management Plan (FY2022 to FY2024) in the ongoing fiscal year, adopting “Creationof a New Mitsubishi Paper Mills Group” as a slogan.
The basic policy of the Mid-Term Management Plan (FY2022 to FY2024) is as follows.
(i) Strengthen our revenue base through selection and concentration strategies and expansion of new business(ii) Contribution to a green society(iii) Organizational change to improve sustainability
On August 5, 2022, we have resolved to withdraw from the business at the Flensburg Mill of MPE, in line with the policies of our
Med-Term Management Plan. We will continue to promote organizational rationalization as a measure to improve profitability.
As a result, consolidated net sales amounted to 100,364 million yen (up 16.9% year on year) in the first six months under review due
to revision of product prices in response to a steep rise in the prices of raw materials and fuel.
The consolidated operating loss came to 435 million yen (compared with operating profit of 288 million yen in the first six monthsof the previous fiscal year), and consolidated ordinary profit reached 1,504 million yen (compared with consolidated ordinary profitof 740 million yen in the first six months of the previous fiscal year) due in part to foreign exchange gains, and a loss attributable toowners of parent of 288 million yen primarily due to extra retirement payments, reflecting the strong effects of steep raw materialand fuel price increases, despite the cost-cutting effects produced by product price revisions, fixed cost reduction, carbon intensity
improvement and the like.
Operating results by segment are as follows:
In the first three months, the Company changed reportable segments to match its internal organization. Specifically, the Company
added the warehouse and transportation business to the paper and pulp business to create the paper materials business segment andset up the functional materials business segment by integrating the imaging media business with the specialty materials business.
(Million yen)
Net sales

Paper materials
Reportable Functional
Segments materials
Total

First Half of
FY2021First Half of
FY2022

67,527

Operating income (loss)
Change (%)

First Half of
FY2021First Half of
FY2022

79,48217.7(1,276)(2,270)‒24,16728,909

19.6

1,666

1,876

12.6

Change (%)

91,695

108,391

18.2

389

(393)

‒

Others

2,953

2,991

1.3

152

‒

Total

94,648111,382

17.7‒

Adjustment (Note)(8,774)(11,018)

Total

85,874

100,364(Note) Adjustment is mainly related to internal transactions.

―2―16.9

390(340)

(101)

(95)

288(435)‒

(Paper materials business)
In Japan, the sales volume fell below the previous fiscal year’s level. However, the sales value increased given the positive effects
of price revisions. Both sales volume and value also increased in exports.
The selling price of commercial pulp was revised according to a steep rise in the international market prices. For domestic
customers, demand for a change to domestic pulp increased, and both sales volume and value increased.
At European subsidiaries, while sales volume decreased year on year, selling prices were revised in response to sharp rises in theprices of raw materials and fuel such as natural gas and pulp, which resulted in higher sales value.
However, the above price revisions could not compensate for the rises in raw materials and fuel prices, and the paper materials
business resulted in an increase in sales and a decrease in profit.
The Company announced price revisions of printing and communication paper and white paperboard in June and wrapping paperin August this year and has implemented the revisions since then. However, the prices of raw materials and fuel subsequently
remained high, and the situation was aggravated by the continuous depreciation of the yen, resulting in an increase in manufacturing
cost larger than the increase in prices. Consequently, the Company announced another revision of product prices in October.
Regarding commercial pulp, the Company will work to launch and expand the production and sales of bleached kraft pulp thatexclusively uses home-grown conifers as a raw material at Kitakami site. while focusing on expanding the sales volume for exports,taking foreign exchange trends into consideration.
In addition, the Company is implementing the optimization of production system in line with trends in demand and streamliningof brands and continues its efforts, such as an increase in the product lines of new materials of craft paper and barrier paper withan aim to convert the product portfolio and stabilize revenue at an early stage.
European subsidiaries will also implement further revisions of product prices and continue to work on cost reduction by rebuilding
production systems with an aim to ensure stable revenue.
(Functional materials business)
In functional materials business, sales rose steadily for water treatment membrane supporting bodies and tape base paper, etc.
However, sales fell year on year for filters, decorative laminate base paper, backing paper for wallpaper. Sales of electronics-related
products for overseas markets of battery separators and electronic industrial materials significantly increased year on year. We are
expanding the melt-blown non-woven fabrics lineup, including for use in high-performance non-woven masks, and proposing
unique products to local governments, etc. while utilizing designs and websites in alcohol disinfectants. Sales of imaging mediarelated products grew by recovery of decreased demand due to the prevention of the spread of COVID-19.
Consequently, functional materials business achieved growth in both sales and profit by price revisions and sales expansion ofgrowth products, despite the impact of sharp rises in the prices of raw materials and fuel.
In the functional nonwoven fabric-related business, which is a priority area of the medium-term management plan, in addition to
the acquisition of new users of water treatment membrane supports accurately grasping overseas water business demand and theirdevelopment for special membrane, the Company will continue to focus on the expansion of sales of heat-resistant nonwoven
fabrics, melt-blown nonwoven fabrics, etc. And, in electronics-related products, we also will continue to focus on the expansionof sales of battery separators for automobiles, energy saving, telecommunication equipment and electronic industrial materials
including special dry film resist, and tape base paper performing well.
In the imaging media-related products, the Company continues to focus on expanding sales for exports by taking advantage ofdepreciation of the yen and improve its production system for products with declining demand, and so strives to grow revenue.

(2) Explanation of Financial Position
Assets at the end of the first half of FY2022 under review amounted to 226,622 million yen, up 10,743 million yen from the end of
the previous fiscal year, mainly due to increases in accounts receivable - trade and inventories.
Total liabilities came to 157,815 million yen, up 11,549 million yen from the end of the previous fiscal year, chiefly attributable to a
growth in notes and accounts payable - trade and commercial papers.
Net assets decreased 806 million yen from the end of the previous fiscal year to 68,807 million yen, mainly reflecting a decrease invaluation difference on available-for-sale securities.
The equity ratio was 30.4%, down 1.8 percentage points from the end of the previous fiscal year.

―3―(3) Explanation of Consolidated Financial Results Forecast and Other Forward-looking Information
In light of recent performance trends, the Company has revised the consolidated financial results forecast that it announced on May
12, 2022, for the fiscal year ending March 31, 2023, as follows.
Revisions to consolidated financial results forecasts for the current fiscal year (April 1, 2022, to March 31, 2023)
Profit attributable
Net sales

Operating profit

Ordinary profit

to owners ofEarnings
per share

parentMillion yen

Million yen

Million yen

Million yen

Yen

200,000

2,500

3,500

1,500

33.74

Revised forecasts (B)215,000

2,500

3,500

1,500

33.74

Change (B-A)＋15,000－－－－＋7.5－－－－

181,920

(248)

1,964

1,096

24.62

Previously
announced forecasts (A)Change (%)(Reference) Results ofFY Mar. 31, 2022

(Reason for revision)
With regards to sales, we have increased the initial sales forecast by 15,000 million yen to 215,000 million yen, due to the revisionof sales prices in each business due to the impact of soaring raw material and fuel prices.
In terms of profit, there is no change from the initial forecast, as the increase in sales will correspond to the surge in raw materialand fuel prices.

―4―

Consolidated Financial Statements(1) Consolidated Balance Sheets(Million yen)First Half /FY2022
Sep 30,2022

FY2021Mar 31,2022

AssetsCurrent assets
Cash and deposits
Notes receivable - trade
Accounts receivable - trade
Merchandise and finished goods
Work in process
Raw materials and supplies
Other
Allowance for doubtful accounts
Total current assets
Non-current assets
Property, plant and equipment
Buildings and structures, net
Machinery, equipment and vehicles, net
LandConstruction in progress
Other, net
Total property, plant and equipment
Intangible assets
Other
Total intangible assets
Investments and other assets
Investment securities
Other
Allowance for doubtful accounts
Total investments and other assets
Total non-current assets
Total assets

―5―

9,047
7,724
33,87923,446
6,487
10,8573,969(130)
95,2826,211
8,464
38,531
25,8306,214
17,481
5,256(149)
107,839

21,33537,694
21,276
1,638
2,646
84,59020,56136,333
20,793
2,725
2,499
82,913

1,864
1,864

2,293
2,293

19,86814,343(70)
34,141
120,596
215,879

19,30814,332(65)
33,575
118,782
226,622

(Million yen)First Half /FY2022
Sep 30,2022

FY2021Mar 31,2022

Liabilities
Current liabilitiesNotes and accounts payable - trade
Electronically recorded obligations
Short-term loans payable
Commercial paper
Income taxes payable
Other
Total current liabilities
Non-current liabilities
Long-term loans payable
Provision for share awards
Provision for directors' retirement benefits
Net defined benefit liability
Asset retirement obligations
Other
Total non-current liabilities
Total liabilities
Net assets
Shareholders’ equity
Capital stock
Capital surplus
Retained earnings
Treasury shares
Total shareholders’ equity
Accumulated other comprehensive income
Valuation difference on available-for-sale securities
Foreign currency translation adjustment
Remeasurements of defined benefit plans
Total accumulated other comprehensive income
Non-controlling interests
Total net assets
Total liabilities and net assets―6―

24,617
3,541
56,4336,000
475
11,652
102,720

29,2294,180
58,83410,000321
11,595
114,162

29,960
24
69
9,277
885
3,329
43,545
146,265

29,187
40
43
9,814
885
3,681
43,653
157,815

36,561
6,488
13,962(228)
56,78436,561
6,524
13,640(329)
56,397

4,688
952
7,182
12,824
5
69,613215,879

4,073
1,485
6,833
12,39217
68,807
226,622

(2) Consolidated Statements of Income and Comprehensive Income
Consolidated Statements of Income(Million yen)First Half /FY2021
Apr '21 - Sep '21

Net sales
Cost of sales
Gross profit
Selling, general and administrative expenses
Operating income(loss)
Non-operating income
Interest income
Dividend income
Share of profit of entities accounted for using equity
methodForeign exchange gains
Other
Total non-operating income
Non-operating expenses
Interest expenses
Other
Total non-operating expenses
Ordinary incomeExtraordinary income
Gain on disposal of non-current assets
Subsidy income
Gain on sales of investment securities
Other
Total extraordinary income
Extraordinary losses
Loss on disposal of non-current assets
Loss on tax purpose reduction entry of non-current assets
Extra retirement payments
Loss on valuation of investment securities
Other
Total extraordinary losses
Profit before income taxes
Income taxes
Profit (loss)
Profit attributable to non-controlling interests
Profit (loss) attributable to owners of parent―7―

85,874
72,913
12,961
12,672
288

First Half /FY2022Apr '22 - Sep '22
100,364
87,391
12,973
13,409(435)

14
312

11
327

391

363

37
167
923

1,309
295
2,307

302
169
472
740

288
78
367
1,504

48－
687
128
864

8
347－
4
359

199－
77
598
198
1,074
529
254
275
19
256

226
329
482－
7
1,045
818
1,093(275)
13(288)

Consolidated quarterly statements of comprehensive income(Million yen)First Half /FY2021
Apr '21 - Sep '21

Profit (loss)
Other comprehensive income
Valuation difference on available-for-sale securities
Foreign currency translation adjustmentRemeasurements of defined benefit plans, net of tax
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―8―

First Half /FY2022
Apr '22 - Sep '22275

(275)

1,295
332
17(616)
545
(349)

1(11)

1,646
1,921(432)
(707)

1,902

(720)

1913