May 12,2022

Summary of Consolidated Financial Results
for the Fiscal year Ended March 31, 2022 (unaudited)
Company name:
URL:
Representative:
Contact:
Phone:
General meeting of stockholders to be held:
Statutory annual report to be presented:(Code No.3864 Tokyo Stock Exchange)
Mitsubishi Paper Mills Limited
https://www.mpm.co.jp/
Shigeharu Sanada,Director and Senior Executive Vice President
Hiroyuki Ino,General Manager, Finance & Accounting Dept.
+81-3-5600-1407
June 28,2022
Start of dividend payout:
June 28,2022(Amounts of less than one million yen are rounded down.)
1. Consolidated Financial Results for the Fiscal year Ended March 31, 2022
(April 1, 2021 to March 31, 2022)(1) Consolidated Operating Results(% indicates changes from the previous corresponding period.)
Profit attributable to
Net sales
Operating income
Ordinary income
owners of parent
Million yen

FY2021
FY2020Note: Comprehensive income%

Million yen%

181,920 12.1
(248)
162,325 (16.6)(1,770)
FY2021¥6,957 million

Million yen-

Profit per share

Diluted profit per
share

Ratio of profit toshareholders'equity

Yen

Yen

%

-

1.7
(4.1)
¥1,066 million

FY2021
24.62
FY2020(56.72)
Note: Equity in earning of affiliates

FY2021%Million yen

%

1,964
1,096
(636)
(2,532)
FY2020¥2,594 million-

Ratio of ordinary
Ratio of operating
income to total
income to net sales
assets
%

%

0.9
(0.3)
FY2020(0.1)(1.1)¥1,196 million(2) Consolidated Financial Condition
Shareholders'equity ratio

Total assets

Net assets

Million yen

Million yen

215,879
209,438

69,61362,902¥69,608 million

FY2021
FY2020Note: Shareholders' equity

FY2021

Net assets per share

%

Yen

32.2
30.0

1,565.88
1,408.45¥62,898 million

FY2020(3) Consolidated Cash Flow
Cash flows fromoperating activities

Cash flows frominvesting activities

Cash flows fromfinancing activities

Cash and cash
equivalents at end of
periodMillion yen

Million yen

Million yen

Million yen

1,698
13,014(2,557)(2,098)(6,091)(4,512)

9,047
15,701

FY2021
FY20202. Dividends

Dividend per share
End of 1Q End of 2Q End of 3Q End of FY Annual
FY2020
FY2021
FY2022(Forecast)

Total dividend(Annual)Dividend
Dividend
payout ratio
on net assets(Consolidated) (Consolidated)

Yen

Yen

Yen

Yen

Yen

Million yen

%

%

-

0.00
0.00
0.00

-

0.00
0.00
5.00

0.00
0.00
5.00

-

14.8

-

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

Operating income

Million yen

Full year

200,000%

9.9

Million yen

2,500

%

-

Profit attributable toowners of parent

Ordinary income
Million yen

3,500

%

78.2

Million yen

1,500

Earnings
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) 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(3) Total number of issued shares (common shares)
1) Total number of issued shares at the end of the period (including treasury shares):
FY202144,741,433 shares
FY202044,741,433 shares2) Total number of treasury shares at the end of the period:
FY2021
288,324 shares
FY202083,756 shares
3) Average number of shares during the period:
FY202144,543,972 shares
FY202044,658,368 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 “(3) Total number of issued shares (common shares)”.
(Reference)
1. Results for the Year Ended March 31, 2022 (April 1, 2021 to March 31, 2022)(1) Non-consolidated Operating Results(% indicates changes from the previous corresponding period.)
Net sales
Million yen

FY2021
FY2020Operating income

Ordinary income

Profit%Million yen%

Million yen%

Million yen%

95,823 10.6
86,619 (18.6)

159(3,095)

-

4,589
(735)

-

1,793
(5,818)-

Profit per share

Diluted profit
per share

Yen

Yen

40.26
(130.26)-

Total assets

Net assets

Million yen

Million yen

FY2021
FY2020(2) Non-consolidated Financial Condition

FY2021
FY2020Note: Shareholders' equity

163,109
166,702
FY202149,064
46,861¥49,064 million

Shareholders'equity ratio

Net assets per share

%

30.1
28.1
FY2020Yen

1,103.46
1,049.07¥46,861 million* This financial results report is exempt from being audited 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.

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) 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(3) Total number of issued shares (common shares)
1) Total number of issued shares at the end of the period (including treasury shares):
FY202144,741,433 shares
FY202044,741,433 shares2) Total number of treasury shares at the end of the period:
FY2021
288,324 shares
FY202083,756 shares
3) Average number of shares during the period:
FY202144,543,972 shares
FY202044,658,368 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 “(3) Total number of issued shares (common shares)”.
(Reference)
1. Results for the Year Ended March 31, 2022 (April 1, 2021 to March 31, 2022)(1) Non-consolidated Operating Results(% indicates changes from the previous corresponding period.)
Net sales
Million yen

FY2021
FY2020Operating income

Ordinary income

Profit%Million yen%

Million yen%

Million yen%

95,823 10.6
86,619 (18.6)

159(3,095)

-

4,589
(735)

-

1,793
(5,818)-

Profit per share

Diluted profit
per share

Yen

Yen

40.26
(130.26)-

Total assets

Net assets

Million yen

Million yen

FY2021
FY2020(2) Non-consolidated Financial Condition

FY2021
FY2020Note: Shareholders' equity

163,109
166,702
FY202149,064
46,861¥49,064 million

Shareholders'equity ratio

Net assets per share

%

30.1
28.1
FY2020Yen

1,103.46
1,049.07¥46,861 million* This financial results report is exempt from being audited 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. Overview of Operating Results, etc. ............................................................................................................................ 2(1) Overview of Operating Results .............................................................................................................................. 2(2) Overview of Financial Position .............................................................................................................................. 3(3) Overview of Cash Flows ........................................................................................................................................ 4(4) Future Outlook ....................................................................................................................................................... 4(5) Basic Policy for Dividends and Dividends for the Fiscal Year under Review and the Next Fiscal Year ................ 4
2. Basic Policy for the Selection of Accounting Standards .............................................................................................. 4
3. Consolidated Financial Statements .............................................................................................................................. 5(1) Consolidated Balance Sheet ................................................................................................................................... 5(2) Consolidated Statements of Income and Comprehensive Income .......................................................................... 7(3) Consolidated Statements of Cash Flows................................................................................................................. 9―1―

1. Overview of Operating Results, etc.
(1) Overview of Operating Results
During the fiscal year ended March 31, 2022, economic activity appeared to recover to a certain degree as progress was made in thebalancing of quarantines and the economy to prevent COVID-19 infections. On the other hand, logistics disruptions due to theshortage of marine shipping containers and various materials and delivery delays remained unresolved, and energy and material
prices soared due to increased geopolitical risks related to Russia and Ukraine.
In the environment that surrounds the Mitsubishi Paper Mills Group, demand recovered mainly due to the easing of restrictions on
outings and events. However, the Group was significantly impacted by the sharp increase in the prices of fuels such as crude oil, coaland natural gas, and rising product delivery costs.
In these circumstances, the Group worked to improve productivity by expanding and reducing production systems in line with thedemand trends in each business and, in term of sales, strived to revise product prices and expand sales of new products.
Regarding the New Mid-Term Management Plan (April 2019 - March 2022), which has entered its final year, the Group is vigorously
working on the following three fundamental policies and proceeding with the basic principles of “fortification and diversification of
the business foundation on its new stage.”(i) Establish a sound business foundation through alliance with Oji Group(ii) Reconstruct and strengthen our existing businesses(iii) Diversify our business foundation by forming new pillars of earnings.
In the alliance with the Oji Group, the Company has transformed its business portfolio and strengthened its management base throughcapital and business alliances, including the transfer of the pressboard business at its Shirakawa Site to Oji F-Tex Co., Ltd. in October
2021.
Consolidated net sales for the fiscal year under review increased to 181,920 million yen (up 12.1% year on year).
On the profit front, despite the impact of soaring raw materials and fuel prices, consolidated operating loss was 248 million yen(compared with an operating loss of 1,770 million yen in the previous fiscal year), and consolidated ordinary income was 1,964
million yen (compared with an ordinary loss of 636 million yen in the previous fiscal year) due to the recovery of production andsales volumes as well as the reduction of costs including fixed costs. Profit attributable to owners of parent was 1,096 million yen.
Operating results by segment are as follows:(Million yen)
Net sales
Fiscal year
ended March
31, 2021

Fiscal year
ended March
31, 2022

Paper and Pulp

125,340

Imaging Media

25,182

Reportable Specialty Materials
Segments Warehouse andTransportation
Total

Operating income (loss)
Change (%)

Fiscal year
ended March
31, 2021

Fiscal year
ended March
31, 2022

135,986

8.5(1,299)(3,421)32,29628.2(2,128)837‒

15,144

18,134

19.7

1,506

2,121

40.8

7,550

7,822

3.6

149

231

55.3

Change (%)‒

173,217

194,239

12.1(1,771)(230)‒

Others

5,630

7,020

24.7

47

75

60.7

Total

178,848201,260

12.5(1,724)(154)‒

Adjustment (Note)(16,523)(19,339)

(45)

(93)

Total

162,325

181,920(1,770)(248)(Note) Adjustment is mainly related to internal transactions.

―2―

12.1

‒

(Paper and pulp business)
In the domestic market, both sales volume and value increased mainly in printing paper, compared with the previous year when
demand had declined, affected significantly by the COVID-19 pandemic. Both sales volume and value increased in exports as well.
In terms of production, the Company continued production systems in line with demand trends.
In commercial pulp, both sales volume and value increased due to soaring market prices caused by worldwide delays in physicaldistribution, damage from heavy rains in North America, and other factors.
Both sales volume and value increased in European subsidiaries.
On the other hand, soaring raw materials and fuel prices significantly impacted costs in Japan and Europe.
As a result of the above, sales grew while income decreased in the paper and pulp business.
While the future of the COVID-19 pandemic remains uncertain, the degree of recovery of paper demand has been clearly different
depending on type and application. In this environment, the Company has revised the product prices of printing paper,communication paper and white paperboard in the second half, but prices of raw materials and fuels currently remain higher than
expected mainly due to the impact of the situation in Ukraine.
In these circumstances, the Company will aim to transform its product portfolio and quickly stabilize revenue by strongly
promoting the expansion of the paper materials product lineup including pulp, kraft paper, functional paperboard and barricote®
paper that will contribute to the reduction of plastic, in addition to the optimization of production systems in line with demand
trends, continued efforts to optimize inventory levels and deeper alliances with the Oji Group as self-support efforts.

(Imaging media business)
In regions where the infection situation has calmed due to progress in COVID-19 vaccination and other factors, restrictions on
travel and event activities have been eased, and demand for photosensitive materials and inkjet paper, mainly for image output
applications, recovered in both domestic and overseas markets. In growth areas, both sales and income increased due to progressin the development of new business-use inkjet paper and electronics-related products.
The Company will work to increase its earnings strength in Japan and overseas by seeking new sales in growth areas while
responding flexibly to market trends in countries around the world, in addition to strengthening the foundation for existing
businesses through the continuous review of production systems.

(Specialty materials business)
Water treatment membrane supports and battery separators performed solidly due to increasing demand. Demand for decorative
laminate base paper and tape base paper also continued to be robust and exceeded the level of the previous year. In this segment,
both sales and income increased due to the effect of cost reductions through increased production, in addition to the effect of higher
sales.
The Company will continue to focus on the expansion of sales of battery separators, heat-resistant non-woven fabrics, tape basepaper and newly launched melt-blown non-woven fabrics, in addition to the acquisition of new users of water treatment membrane
supports and their development for membrane bio-reactor (MBR) applications.

(2) Overview of Financial Position
Assets at the end of the consolidated fiscal year under review amounted to 215,879 million yen, up 6,440 million yen from the endof the previous consolidated fiscal year, due to increases in notes and accounts receivable - trade and net defined benefit assets, etc.,
despite decreases in cash and deposits and property, plant and equipment.
Total liabilities amounted to 146,265 million yen, a 270 million yen decrease from the end of the previous fiscal year, mainly due toreduction of interest-bearing debt, despite an increase in notes and accounts payable - trade.
Net assets increased 6,711 million yen from the end of the previous fiscal year, to 69,613 million mainly due to the posting of profit
attributable to owners of parent and an increase in remeasurements of defined benefit plans.

―3―(3) Overview of Cash Flows
Cash and cash equivalents at the end of the fiscal year totaled 9,047 million yen, a decrease of 6,654 million yen from the end of theprevious fiscal year.
(Cash flows from operating activities)
Cash generated from operating activities amounted to 1,591 million yen, a decrease of 11,422 million yen year on year. Major inflows
were depreciation of 8,489 million yen and a 6,083 million yen increase in notes and accounts payable - trade, while a major outflow
was a 12,551 million yen increase in notes and accounts receivable - trade mainly due to a decrease in the amount of securitizedreceivables.
(Cash flow from investing activities)
Cash used in investing activities stood at 2,451 million yen, an increase of 352 million yen year on year. A major outflow was thepurchase of property, plant and equipment and intangible assets of 6,148 million yen. A major inflow was proceeds from sales ofinvestment securities of 2,759 million yen.
(Cash flows from financing activities)
Cash used in financing activities totaled 6,091 million yen, an increase of 1,578 million year on year. This was mainly due torepayments of commercial paper and loans payable.

(4) Future Outlook
The consolidated results forecasts for the fiscal year ending March 31, 2023 are net sales of 200,000 million yen, operating incomeof 2,500 million yen, ordinary income of 3,500 million yen, and profit attributable to owners of parent of 1,500 million yen.
The consolidated results forecasts above are based on assumed exchange rates of 125 yen to the U.S. dollar and 135 yen to the euro.
The forecasts are based on the information currently available to the Company and include risks and uncertainties. Please note that
actual results may be different due to various factors such as subsequent changes in business environment.

(5) Basic Policy for Dividends and Dividends for the Fiscal Year under Review and the Next Fiscal Year
The Company’s basic policy regarding dividends of surplus and the like is to regard the distribution of profits to shareholders as a
key management issue and maintain stable dividends while comprehensively considering business performance in each businessyear and internal reserves necessary to prepare for future management initiatives.
As a result of a comprehensive review of recent performance trends, the Company regrets to inform its shareholders that it has
decided not to pay a year-end dividend for the current fiscal year.
For the next fiscal year, the Company plans to pay a year-end dividend of 5 yen per share under the basic policy above.

2. Basic Policy for the Selection of Accounting Standards
Taking into account the comparability of consolidated financial statements between periods and companies, the Group intends to prepare
consolidated financial statements in accordance with Japanese standards in the foreseeable future.
The Group’s policy is to take appropriate actions in consideration of future trends regarding the adoption of IFRS by other domestic
companies.

―4―

Consolidated Financial Statements(1) Consolidated Balance Sheets(Million yen)

AssetsCurrent assets
Cash and deposits
Notes and accounts receivable - trade
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
Land
Leased assets, net
Construction in progress
Other, net
Total property, plant and equipment
Intangible assets
Other
Total intangible assets
Investments and other assets
Investment securities
Long-term loans receivable
Net defined benefit asset
Deferred tax assets
Other
Allowance for doubtful accounts
Total investments and other assets
Total non-current assets
Total assets

FY2020

FY2021Mar 31,2021

Mar 31,2022

15,701―5―

9,047

28,797

－

－

7,724

－

33,87923,43323,446

6,758

6,487

10,23010,857

4,123

3,969

(430)

(130)

88,614

95,282

22,814

21,335

41,137

37,694

21,61921,276

1,411

1,156

465

1,638

1,485

1,489

88,934

84,590

1,590

1,864

1,590

1,864

20,231

19,868

1,665

1,215

4,687

10,662

2,548

1,384

1,240

1,081

(74)

(70)

30,29834,141

120,823

120,596

209,438

215,879

(Million yen)

Liabilities
Current liabilities
Notes and accounts payable - trade
Electronically recorded obligations
Short-term loans payable
Commercial paper
Lease obligations
Accrued expenses
Income taxes payable
Contract liabilities
Other
Total current liabilities
Non-current liabilities
Long-term loans payable
Lease obligations
Deferred tax liabilities
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

FY2020

FY2021Mar 31,2021

Mar 31,2022

18,577―6―

24,617

3,137

3,541

59,15056,433

7,000

6,000

360

380

6,129

6,728

361

475

－

500

5,825

4,043

100,542

102,720

31,772

29,960

794

586

469

694

－

24

54

69

9,664

9,277

884

885

2,352

2,048

45,99343,545

146,535

146,265

36,561

36,561

8,555

6,488

10,967

13,962

(152)

(228)

55,93256,784

3,942

4,688

910

952

2,112

7,182

6,965

12,8244

562,902

69,613

209,438

215,879

(2) Consolidated Statements of Income and Comprehensive Income
Consolidated Statements of Income(Million yen)
FY2020

FY2021

Apr '20 - Mar '21

Net sales
Cost of sales
Gross profit
Selling, general and administrative expenses
Operating 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
Loss for ship lease
Other
Total non-operating expenses
Ordinary income(loss)
Extraordinary income
Gain on disposal of non-current assets
Gain on sales of investment securities
Gain on sale of businesses
Reversal of allowance for doubtful accounts for
subsidiaries and affiliates
Other
Total extraordinary income
Extraordinary losses
Loss on disposal of non-current assets
Impairment loss
Loss on valuation of investment securities
Extra retirement payments
Loss on valuation of shares of subsidiaries and associates
Provision of allowance for doubtful accounts for
subsidiaries and associates
Other
Total extraordinary losses
Profit (loss) before income taxes
Income taxes
Profit (loss)
Profit attributable to non-controlling interests
Profit (loss) attributable to owners of parent―7―

Apr '21 - Mar '22

162,325

181,920

139,740

156,151

22,58425,76824,35526,017(1,770)

(248)

36

30

505

531

1,196

1,066

263

1,038

489

436

2,492

3,104

733

581

259

116

365

192

1,359

891

(636)

1,964

15

53

567

1,394

－

840

－

285

140

430

723

3,004

489

402

987

1,317

－

779

44

433

222

395

285

－

35

85

2,065

3,414

(1,977)

1,554

554

455

(2,532)

1,098

0

2

(2,532)

1,096

Consolidated Statements of Comprehensive Income(Million yen)
FY2020

FY2021

Apr '20 - Mar '21

Profit (loss)
Other comprehensive income
Valuation difference on available-for-sale securities
Foreign currency translation adjustment
Remeasurements 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―

Apr '21 - Mar '22(2,532)

1,098

2,739

745

(146)

40

2,574

5,070

(40)

2

5,126

5,858

2,594

6,957

2,592

6,954

1

2

(3) Consolidated Statements of Cash Flow
(Million yen)

Cash flows from operating activities
Profit (loss) before income taxes
Depreciation
Impairment loss
Decrease (increase) in net defined benefit asset
Increase (decrease) in net defined benefit liability
Increase (decrease) in provision for directors' retirement
benefits
Increase (decrease) in provision for share awards
Interest and dividend income
Share of loss (profit) of entities accounted for using equity
methodForeign exchange losses (gains)
Interest expense
Loss (gain) on sales of short-term and long-term investment
securities
Loss (gain) on valuation of investment securities
Loss (gain) on disposal of non-current assets
Loss (gain) on sale of businesses
Decrease (increase) in notes and accounts receivable - trade
Decrease (increase) in inventories
Increase (decrease) in notes and accounts payable - trade
Other, net
Subtotal
Subsidies received
Payments for loss on disaster
Interest and dividend income received
Interest expenses paid
Income taxes paid
Net cash provided by (used in) operating activities
Cash flows from investing activities
Purchase of property, plant and equipment and intangible
assetsProceeds from sales of property, plant and equipment andintangible assets
Purchase of investment securities
Proceeds from sales of investment securities
Payments of loans receivableCollection of loans receivable
Proceeds from sale of businesses
Other, net
Net cash provided by (used in) investing activities―9―

FY2020

FY2021

Apr '20 - Mar '21

Apr '21 - Mar '22(1,977)

1,554

9,031

8,489

987

1,317

(625)

281

519

218

3

14

－

24

(542)

(562)

(1,196)(1,066)

(259)

(509)

733

581

(551)

(1,394)

－

779

473

349

－

(840)

2,470

(12,551)

8,175

96

(4,193)

6,083

582

(694)

13,631

2,174

300

200

(8)

－

771

562

(742)

(584)

(937)

(652)

13,014

1,698(3,931)(6,255)

164

116

(19)

(11)

897

2,759

(0)

(0)

450

743

－

840

339

(750)

(2,098)(2,557)

(Million yen)

Cash flows from financing activities
Net increase (decrease) in short-term loans payable
Net increase (decrease) in commercial paper
Proceeds from long-term loans payable
Repayments of long-term loans payable
Repayments of lease obligations
Dividends paid
Purchase of treasury shares
Proceeds from sales of treasury shares
Dividends paid to non-controlling interests
Net cash provided by (used in) financing activities
Effect of exchange rate change on cash and cash equivalents
Net increase (decrease) in cash and cash equivalents
Cash and cash equivalents at beginning of period
Cash and cash equivalents at end of period―10―

FY2020

FY2021

Apr '20 - Mar '21

Apr '21 - Mar '22(3,853)

(416)

3,000

(1,000)12,5809,800(15,663)(13,998)

(350)

(398)

(223)

－

(0)

(75)

－

0

(0)

(1)

(4,512)(6,091)

37

296

6,440

(6,654)9,260

15,701

15,701

9,047