Summary of Consolidated Financial Statements for the Year Ended December 31, 2022
(Japanese GAAP)
February 14, 2023
Listed stock exchanges: Tokyo
URL:https://www.horiba.com/int/

Company name
Listing code

HORIBA, Ltd.
6856

Representative
Contact

Atsushi Horiba, Chairman & Group CEO
Yoshihiro Morita, Department Manager, Finance and Accounting Dept.

TEL: (81)75-313-8121

Scheduled date of start of dividend payment: March 6, 2023
(Figures have been rounded down to the nearest million yen)
1. Consolidated Results for the Year Ended December 31, 2022 (January 1, 2022 - December 31, 2022)(1) Consolidated Operating Results(Percentages represent changes from the previous year)
Net Sales

Operating Income

Millions of yen
270,133
224,314

Year Ended 12/31/22
Year Ended 12/31/21

%
20.4
19.9

(Note) Comprehensive income: FY2022

Millions of yen
45,84332,04643,153 million yen

Net Income Attributableto Owners of Parent
per Share

%
43.1
62.7

(42.2%)(Reference) Equity in earnings of affiliates:

Millions of yen
46,86032,038FY2021

%
46.3
65.1

Yen
802.89502.46FY2022Millions of yen
34,072
21,311

30,343 million yen

Net Income Attributableto Owners of Parent per Share Return on Equity(Diluted)

Yen
807.06505.05

Year Ended 12/31/22
Year Ended 12/31/21

Net Income Attributableto Owners of Parent

Ordinary Income(162.0%)Ordinary Income
to Total Assets

Operating Income
to Net Sales

%
11.9
9.2

%
17.0
14.3

%
15.4
11.2

-million yen

FY2021

%
59.9
61.6

-million yen(2) Consolidated Financial Position
Total Assets

Net Assets

Millions of yen
416,742
371,585

As of 12/31/22
As of 12/31/21

Net Assets
per Share

Shareholders' Equity Ratio

Millions of yen
240,850
204,493

%
57.6
54.8

Yen
5,684.68
4,827.06(Reference) Net assets excluding subscription rights to shares and non-controlling interests:
As of 12/31/22

240,065 million yen

As of 12/31/21

203,688 million yen

Cash Flows
from Investing Activities

Cash Flows
from Financing Activities(3) Consolidated Cash Flows
Cash Flows
from Operating Activities
Millions of yen
33,96635,268Year Ended 12/31/22
Year Ended 12/31/21

Millions of yen(10,745)(14,662)

Cash and Cash Equivalents
at End of Period

Millions of yen(22,447)(4,045)

Millions of yen
138,760
133,938

2. Dividends

FY 12/2021
FY 12/2022

First
QuarterYen-

FY 12/2023 (Forecast)-

Dividend per Share
SecondThird
Year End
Quarter
Quarter
Yen
Yen
Yen
50.00
100.0065.00
180.0080.00-

175.00Total

Total Dividends(Annual)Payout Ratio(Consolidated)

Dividends
to Net Assets(Consolidated)

Yen
150.00245.00Millions of yen
6,329
10,346

%
29.7
30.4

%
3.3
4.7

255.0030.3

3. Consolidated Forecasts for the Year Ending December 31, 2023 (January 1, 2023 - December 31, 2023)(Percentages represent changes from the same period in the previous year)
Net SalesFirst Half
Full Year

Millions of yen
128,000
290,000

Operating Income
%
11.3
7.4

Millions of yen
19,00046,000%16.8
0.3

Ordinary Income
Millions of yen
18,80045,500

1

%
12.0
-2.9

Net Income Attributableto Owners of Parent
Millions of yen
17,00035,500%51.2
4.2

Net Income Attributableto Owners of Parent
per ShareYen
402.56840.63

HORIBA, Ltd. (Consolidated)

Notes(1) Changes in significant subsidiaries during the period(Changes in specified subsidiaries that caused a change in the scope of consolidation):

None(2) Changes in accounting policies, accounting estimates and retrospective restatement① Changes in accounting policies associated with revision of accounting standards: Yes② Changes in accounting policies arising from other than the above: None
③ Changes in accounting estimates: None
④ Retrospective restatement: None
(3) Number of shares outstanding (common stock)① Shares issued (including treasury stock)
December 31, 2022

42,532,752

December 31, 2021

42,532,752② Treasury stock

December 31, 2022

302,553

December 31, 2021

335,502③ Average number of outstanding shares

December 31, 2022

42,218,533

December 31, 2021

42,197,305

Note 1. This consolidated financial report is not subject to audit by certified public accountants or accounting firms.
Note 2. Appropriate use of business forecasts and other important information
The forecasts of dividend amount and business performance contained in this report have been made based on
certain future assumptions, outlooks, and plans which are available at the HORIBA Group as of February 14,
2023. However, due to risks and various uncertain factors such as future business operation policies, changes inthe economic environment in Japan and overseas, fluctuation of currency rates, it is possible that actual
performance would vary considerably from the forecasts.

2

HORIBA, Ltd. (Consolidated)1. Qualitative Information Concerning Consolidated Results(1) Information Concerning Consolidated Operating Results(For details, see page 16-18, “4. Supplemental Information - HORIBA, Ltd. Financial Highlights for the Year Ended
December 31, 2022)

In FY2022, HORIBA, Ltd. (“the Company”) and its consolidated subsidiaries (together “the HORIBA Group” or“HORIBA” as a consolidated group) increased sales by 20.4% year-on-year to 270,133 million yen, mainly due to anincrease in sales of the Semiconductor segment. Operating income increased by 43.1% to 45,843 million yen, ordinary
income by 46.3% to 46,860 million yen and net income attributable to owners of parent (“net income”) by 59.9% to34,072 million yen.
The annual average exchange rates for 2022 were 131.62 yen against the U.S. dollar and 138.14 yen against theeuro, representing year-on-year depreciation of 19.8% against the U.S. dollar and 6.3% against the euro.
The operating results of each business segment are summarized as follows.

(Automotive Segment)
In the MCT (Mechatronics) business, sales of products for the hydrogen energy industry by HORIBA FuelCon GmbH
(Germany), which was acquired in 2018, increased. Also, sales increased in the ECT (Engineering Consultancy &Testing) business, as demand for R&D engineering of new automotive technology such as electrification expanded.
As a result, segment sales increased by 10.2% year-on-year to 67,524 million yen. On the profit side, operating lossof 667 million yen was recorded owing mainly to an increase in expenses due to expanded investments in growtharea, as well as rising purchasing prices (compared to an operating loss of 13 million yen in the previous year).

(Process & Environmental Segment)
Mainly due to demand for industrial process measurement expanded, sales of stack gas analyzers in Americas andJapan as well as water quality system in Japan and Asia increased. As a result, segment sales increased by 11.5%
year-on-year to 22,541 million yen and operating income increased by 7.9% to 2,101 million yen.

(Medical-Diagnostics Segment)
Mainly due to an increase in sales of hematology analyzers in Japan and Asia as well as clinical chemistry analyzers
and reagents in Americas, segment sales increased by 15.0% year-on-year to 29,753 million yen. On the profit side,
operating loss of 99 million yen was recorded owing mainly to an increase in rising purchasing prices, even though
the sales of reagents, which are profitable products, increased (compared to an operating income of 148 million yen
in the previous year).

(Semiconductor Segment)
Sales to semiconductor production equipment manufacturers increased significantly, in response to expansion ofsemiconductor manufacturers’ capital expenditures. As a result, segment sales increased by 31.1% year-on-year to114,075 million yen and operating income increased by 50.0% to 42,005 million yen.

(Scientific Segment)
Mainly due to the expansion of demand for products targeted for the semiconductor and life-science markets, sales ofRaman spectrometers and optical modules increased. As a result, segment sales increased by 21.0% year-on-year
to 36,239 million yen and operating income increased by 27.9% to 2,503 million yen.

3

HORIBA, Ltd. (Consolidated)(2) Information Concerning Consolidated Earnings Forecasts for FY2023
The consolidated earnings forecasts are summarized as follows.
Our assumed foreign exchange rates for FY2023 are 130 yen against the U.S. dollar (vs. 131.62 yen in FY2022) and
140 yen against the euro (vs. 138.14 yen in FY2022).
Net sales of 290,000 million yen (up 7.4% year-on-year)
In the Automotive Segment, sales of products for the hydrogen energy industry by HORIBA FuelCon GmbH (Germany)
is continuously expected to increase. The Segment also expects an increase in sales of emission measurement
systems, due to anticipation of a recovery in demand in response to the new emission gas regulations announced inEurope.
In the Semiconductor Segment, although semiconductor manufacturers’ capital expenditures will be in an adjustment
phase until the first half of FY2023, sales for the full year are expected to increase, reflecting expectations for higher
demand in the second half, along with a recovery of the semiconductor market.
In the Process & Environmental Segment, the Medical-Diagnostics Segment and the Scientific Segment, sales are
expected to increase, due to an anticipated increase in demand.
As a result, net sales are expected to increase by 19,866 million yen from FY2022 to 290,000 million yen.

Operating income of 46,000 million yen (up 0.3% year-on-year)
In the Semiconductor Segment, a decline in operating income is expected, owing to a decrease in the positive impact
from exchange rates driven by the depreciation of the yen in 2022. However, other segments are expected to increase
operating income, contributed by sales increase and other factors.
As a result, total operating income is expected to increase by 156 million yen from FY2022 to 46,000 million yen.

Ordinary income of 45,500 million yen (down 2.9% year-on-year)
Ordinary income is expected to incorporate a net non-operating loss of 500 million yen (compared to a net nonoperating gain of 1,016 million yen in FY2022), assuming interest expenses and some uncertain non-operating
expenses.
As a result, ordinary income is expected to decrease by 1,360 million yen from FY2022 to 45,500 million yen.

Net income of 35,500 million yen (up 4.2% year-on-year)
Approximately 6,200 million yen is expected to be recorded as an extraordinary gain in the first quarter of FY2023 due
to a sale of a part of the shares of MIRA UGV Limited (U.K.) held by HORIBA MIRA Limited (U.K.), a consolidated
subsidiary of HORIBA, to Iveco Defence Vehicles S.p.A. (Italy). In addition, assuming uncertain extraordinary losses tobe incurred, net extraordinary gain of 5,200 million yen is expected (compared to net extraordinary gain of 411 million
yen in FY2022).
As a result, net income is expected to increase by 1,427 million yen from FY2022 to 35,500 million yen.

4

HORIBA, Ltd. (Consolidated)

(3) Basic Policy for Profit Distribution and Dividends for FY2022 and FY2023
The Company’s shareholder return policy is to set the total returns to shareholders (the combined amount of dividend
payments and share buybacks) at approximately 30% of consolidated net income.
With regard to the dividends for FY2022, we have decided to pay a year-end dividend of 180 yen per share. Combinedwith the interim dividend that has been paid out, the annual dividend will be 245 yen (compared to 150 yen in FY2021).
As regards the dividend forecast for FY2023, we expect to pay an annual dividend of 255 yen per share (interim
dividend is 80 yen).
The Company will continue to focus on improving corporate value through profit growth by investing internal reservesin growth areas in an effective manner, and it will make profit returns to shareholders that are linked to consolidated
earnings.

Cautionary statement with respect to earnings forecasts
The forecasts of dividend amount and business performance contained in this report have been made based on
certain future assumptions, outlooks, and plans which are available at the HORIBA Group as of February 14, 2023.
However, due to risks and various uncertain factors such as future business operation policies, changes in theeconomic environment in Japan and overseas, fluctuation of currency rates, it is possible that actual performance
would vary considerably from the forecasts.

2. Basic policy on selection of accounting standard
The HORIBA Group prepares its consolidated financial statements in accordance with General Accepted Accounting
Principles in Japan (“JGAAP”), as it allows comparison between different periods and companies. Concerning adoptionof the International Financial Reporting Standards (IFRS), HORIBA intends to appropriately respond with due
consideration for various circumstances in Japan and abroad and expected clerical costs.

5

HORIBA, Ltd. (Consolidated)3. Consolidated Financial Statements and Notes(1) Consolidated Balance Sheets
Amount : Millions of yen
FY2021

FY2022(As of December 31, 2021)(As of December 31, 2022)

Cash and bank deposits

135,023

139,855

Trade notes and accounts receivable

59,877--

69,818Marketable securities

2,012

1,499

Merchandise and finished goods

17,864

26,447Work in process

16,513

21,415

Raw materials and supplies

18,736

27,409Other current assets

9,249

11,422

Allowance for doubtful accounts(1,232)(1,320)Total Current Assets

258,044296,547

Buildings and structures, net

45,64854,226

Machinery, equipment and vehicles, net

12,986

13,894Land

15,994

16,865Construction in progress

9,231

6,379

Other property, plant and equipment, net

4,441

4,337

Total Property, Plant and Equipment

88,302

95,702

Goodwill

966

610

Software

1,968

1,559

Leasehold interests in land

607

616

Other intangibles

881

806

Total Intangibles

4,423

3,593

12,487

10,475

387

690

Deferred tax assets

5,002

6,715

Other investments and other assets

2,979

3,063

(43)

(46)

20,81420,898113,540

120,195

371,585

416,742

AssetsCurrent Assets:

Notes and accounts receivable - trade,and contract assets

Fixed Assets:
Property, Plant and Equipment:

Intangibles:

Investments and Other Non-Current Assets:
Investment securities
Retirement benefit asset

Allowance for doubtful accounts
Total Investments and Other Non-Current Assets
Total Fixed Assets
Total Assets

6

HORIBA, Ltd. (Consolidated)Amount : Millions of yen
FY2021(As of December 31, 2021)

FY2022(As of December 31, 2022)

Trade notes and accounts payable

29,54636,945

Short-term loans payable

25,107

12,351

Accounts payable-other

16,407

19,443

Accrued income taxes

7,632

9,133

Advances received

14,308-Contract liabilities-

24,632

Accrued bonuses to employees

1,137

2,003

Reserve for product warranty

2,630

2,799

Other current liabilities

5,368

4,920

Total Current Liabilities

102,139

112,229

Corporate bonds

30,00030,000Long-term loans payable

25,077

24,854

Deferred tax liabilities

1,731

1,270

Retirement benefit liability

2,107

1,547

Other non-current liabilities

6,036

5,990

Total Non-Current Liabilities

64,953

63,663167,092

175,892

Common stock

12,011

12,011

Capital surplus

18,624

18,684Retained earnings

166,892

194,000(1,323)(1,193)

196,204

223,502

Net unrealized holding gains or losses on securities

5,664

4,257

Foreign currency translation adjustments

1,889

12,156

Remeasurements of defined benefit plans

(69)

148

7,484

16,562

Subscription Rights to Shares

791

769

Non-Controlling Interests

12

15

204,493

240,850

371,585

416,742

Liabilities
Current Liabilities:

Non-Current Liabilities:

Total Liabilities
Net Assets
Shareholders' Equity

Treasury stock
Total Shareholders' Equity
Accumulated Other Comprehensive Income

Total Accumulated Other Comprehensive Income

Total Net Assets
Total Liabilities and Net Assets

7

HORIBA, Ltd. (Consolidated)(2) Consolidated Statements of Income and Consolidated Comprehensive Income Statements(Consolidated Statements of Income)Amount : Millions of yen
FY2021(For the Year Ended
December 31, 2021)

FY2022(For the Year Ended
December 31, 2022)

Net Sales

224,314270,133

Cost of Sales

131,091

153,459

Gross Income

93,222

116,674

Selling, General and Administrative Expenses

61,17570,830Operating Income

32,04645,843

Interest income

182

585

Dividend income

206

264

-

211

Subsidy income

96

277

Other

364

498

Total Non-Operating Income

850

1,836

Interest expenses

516

657

Foreign exchange losses

245

-

Other

97

162

Total Non-Operating Expenses

859

820

32,03846,860Gain on sales of fixed assets

42

519

Gain on sales of investment securities

6

25

148

-

-

1

196

546

Loss on sales of fixed assets

16

1

Loss on disposal of fixed assets

205

132

1,526

-

Loss on sale of investment securities

20

0

Business restructuring expenses

260-

Total Extraordinary Losses

2,031

134

Income before Income Taxes

30,20447,272

Income taxes (current)

9,171

14,652

Income taxes (deferred)(280)(1,452)

Total Income Taxes

8,891

13,19921,312

34,0720(0)21,311

34,072

Non-Operating Income

Foreign exchange gains

Non-Operating Expenses

Ordinary Income
Extraordinary Gain

Gain on bargain purchase
Gain on reversal of share acquisition rights
Total Extraordinary Gain
Extraordinary Losses

Impairment losses

Net Income
Profit (loss) attributable to non-controlling interests
Net Income Attributable to Owners of Parent

8

HORIBA, Ltd. (Consolidated)

(Consolidated Statements of Comprehensive Income)Amount : Millions of yen
FY2021(For the Year Ended
December 31, 2021)

FY2022(For the Year Ended
December 31, 2022)

21,312

34,072

1,301(1,407)(6)-

Foreign currency translation adjustments

7,730

10,269Remeasurements of defined benefit plans

5

218

9,031

9,081

30,34343,15330,341

43,151

2

2

Net Income
Other Comprehensive Income
Net unrealized holding gains or losses on securities
Deferred gains or losses on hedges

Total Other Comprehensive Income
Comprehensive Income(Breakdown of comprehensive income)Comprehensive income attributable to owners of parent
Comprehensive income attributable to non-controlling interests

9

HORIBA, Ltd. (Consolidated)

(3) Consolidated Statements of Changes in Net Assets
FY2021 (For the Year Ended December 31, 2021)
Amount : Millions of yen
Shareholders' Equity
Common Stock

Capital Surplus

12,011

18,599Beginning Balance

Retained
Earnings

Treasury Stock

Total
Shareholders'Equity(1,323)

179,509150,222

Changes during the Period
Dividend from Earnings(4,641)(4,641)Net Income Attributableto Owners of Parent

21,311

21,311

Purchase of Treasury Stock
Disposal of Treasury Stock(0)

Capital Increase ofConsolidated Subsidiaries

(1)

(1)

0

0

25

25

OthersTotal Changes
during the Period-

25

16,670(0)

16,694Ending Balance

12,011

18,624

166,892(1,323)

196,204

Accumulated Other Comprehensive Income
Net
Remeasure
Unrealized Deferred
Subscription
NonTotal
Holding
ForeignGains-mentsControlling
Rights
Accumulated
Gains
Currency
orofInterests
to Shares
Other
DefinedorTranslation
LossesComprehensive
Benefit
LossesAdjustmentsonIncomePlans
onHedgesSecurities

Beginning Balance

4,363

6

(5,839)(75)(1,545)

697

6

Total
Net
Assets178,669

Changes during the Period
Dividend from Earnings(4,641)Net Income Attributableto Owners of Parent

21,311

Purchase of Treasury Stock(1)

Disposal of Treasury Stock0

Capital Increase ofConsolidated Subsidiaries

25

Others

1,301

(6)

7,728

5

9,029

93

6

9,129

Total Changes
during the Period

1,301

(6)

7,728

5

9,029

93

6

25,823Ending Balance

5,664

-

1,889

(69)

7,484

791

12

204,493

10

HORIBA, Ltd. (Consolidated)

FY2022 (For the Year Ended December 31, 2022)
Amount : Millions of yen
Shareholders' Equity

Beginning BalanceCommon Stock

Capital Surplus

12,011

18,624Retained
Earnings

Treasury Stock

Total
Shareholders'Equity(1,323)

196,204

166,892

Changes during the Period
Dividend from Earnings(6,964)(6,964)Net Income Attributableto Owners of Parent

34,072

34,072

Disposal of Treasury Stock

2

17

20

Restricted StockRemuneration

57

112

170

OthersTotal Changes
during the Period-

60

27,108130

27,298Ending Balance

12,011

18,684

194,000(1,193)

223,502

Accumulated Other Comprehensive Income

Beginning BalanceNet
Unrealized
Holding
GainsorLosseson
Securities

Foreign
Currency
Translation
Adjustments

Remeasure-mentsofDefinedBenefit
Plans

5,664

1,889

(69)

Subscription
Total
Rights
Accumulated
to Shares
Other
Comprehensive
Income7,484

791

NonControlling
Interests

12

Total
Net
Assets

204,493

Changes during the Period
Dividend from Earnings(6,964)Net Income Attributableto Owners of Parent

34,072

Disposal of Treasury Stock20

Restricted StockRemuneration

170

Others(1,407)

10,266

218

9,078

(21)

2

9,058

Total Changes
during the Period(1,407)

10,266

218

9,078

(21)

2

36,356

Ending Balance

4,257

12,156

148

16,562769

15240,850

11

HORIBA, Ltd. (Consolidated)

(4) Consolidated Statements of Cash Flows
Amount : Millions of yen
FY2021(For the Year Ended
December 31, 2021)

FY2022(For the Year Ended
December 31, 2022)

Income before income taxes

30,20447,272

Depreciation expenses

10,063

10,911

Impairment losses

1,526

-

Amortization of goodwill

377

437

Increase (decrease) in allowance for doubtful accounts

9326

Gain on bargain purchase

(148)

-

Increase (decrease) in net defined benefit liability

(186)

(711)

Interest and dividend income

(388)

(849)

Interest expenses

516

657

Foreign exchange losses (gains)

(80)

152

Loss (gain) on sales of fixed assets

(25)

(518)

Loss on disposal of fixed assets

205

132

Loss (gain) on sales of investment securities

14

(24)

Business restructuring expenses

260-(6,139)--(6,159)Decrease (increase) in inventories(1,161)(18,809)

Increase (decrease) in trade notes and accounts payable

7,976

5,867

Other, net(1,439)8,732

Subtotal

41,66947,117

Interest and dividend received

408

769

Interest paid

(481)

(680)

Income taxes (paid) refund(6,327)(13,240)

Net Cash Provided by (Used in) Operating Activities

35,26833,966

Cash Flows from Operating Activities:

Decrease (increase) in trade notes and accounts receivable
Decrease (increase) in notes and accounts receivable - trade, andcontract assets

12

HORIBA, Ltd. (Consolidated)Amount : Millions of yen
FY2021(For the Year Ended
December 31, 2021)

FY2022(For the Year Ended
December 31, 2022)

Increase in time deposits(1,735)(3,135)Decrease in time deposits

1,225

3,261

Payments for purchase of marketable securities(2,000)(2,000)

Proceeds from sales or redemption of marketable securities

1,917

2,500

(12,195)(11,639)

Proceeds from sales of property, plant and equipment

129

797

Payments for purchase of intangibles

(377)

(444)

Payments for purchase of investment securities

(30)

(36)

Proceeds from sales or redemption of investment securities

11

52

Payments of loans receivable

(219)

(4)

Collection of loans receivable

166

78

(1,144)

-

(408)

(173)

(14,662)(10,745)

Net increase (decrease) in short-term borrowings

(431)

1,869

Proceeds from long-term borrowings

2,666

83

Repayments of long-term debt

(388)

(15,958)

Repayments on finance lease obligations(1,252)(1,482)

Net decrease (increase) of treasury stock(1)

0

Cash dividends paid

(4,637)(6,959)Net Cash Provided by (Used in) Financing Activities(4,045)(22,447)

Effect of Exchange Rate Changes on Cash and Cash Equivalents

3,221

4,049

Net Increase (Decrease) in Cash and Cash Equivalents

19,782

4,822

Cash and Cash Equivalents at Beginning of Period

114,156

133,938

Cash and Cash Equivalents at End of Period

133,938

138,760

Cash Flows from Investing Activities:

Payments for purchase of property, plant and equipment

Purchase of shares of subsidiaries and associates
Other, net
Net Cash Provided by (Used in) Investing Activities
Cash Flows from Financing Activities:

13

HORIBA, Ltd. (Consolidated)

(5) Notes to Consolidated Financial Statements
Change in accounting policies(Application of Accounting Standard for Revenue Recognition, etc.)
The Company has applied the “Accounting Standard for Revenue Recognition” (ASBJ Statement No. 29, March
31,2020; hereinafter “Accounting Standard for Revenue Recognition”), etc. from the beginning of FY2022.
Accordingly, revenue is recognized at the time of transfer of control over promised goods or services to the customer
in the amount expected to be received in return for the goods or services.
The application of the Accounting Standard for Revenue Recognition, etc. is subject to the transitional treatment
provisions in Article 84, but there is no impact on the balance of retained earnings at the beginning of FY2022.
There is no impact on the operating results due to the application of Accounting Standard for Revenue Recognition,etc..
Due to the application of the Accounting Standard for Revenue Recognition, etc., “Trade notes and accounts
receivable” presented under “Current Assets” in the consolidated balance sheets for the previous fiscal year, is
included in “Notes and accounts receivable - trade, and contract assets” instead, and “Advances received” presented
under “Current Liabilities” in the consolidated balance sheets for the previous fiscal year, is included in “Contract
liabilities” instead, from FY2022. Furthermore, “Decrease (increase) in trade notes and accounts receivable”
presented under “Cash Flows from Operating Activities” in the consolidated statements of cash flows for the previous
fiscal year, is included in “Decrease (increase) in notes and accounts receivable – trade , and contract assets”
instead, from FY2022.
In accordance with the transition provisions in Article 89-2 of the Accounting Standard for Revenue Recognition, theCompany has not reclassified financial statements for the previous fiscal year by using the new presentation method.
(Application of “Accounting Standard for Fair Value Measurement,” etc.)
The Company has applied the “Accounting Standard for Fair Value Measurement” (ASBJ Statement No. 30, July 4,
2019; hereinafter “Accounting Standard for Fair Value Measurement”), etc. from the beginning of FY2022.
The Company has prospectively applied new accounting policies based on the Accounting Standard for Fair Value
Measurement, etc. in accordance with the transition provisions in Article 19 of Accounting Standard for Fair Value
Measurement and Article 44-2 of “Accounting Standard for Financial Instruments” (ASBJ Statement No.10, July 4,2019). There is no impact of these changes on the consolidated financial statements for FY2022.
Additional information(Application of tax effect accounting for transition from consolidated taxation system to group tax sharing
system)The Company and its domestic consolidated subsidiaries will make the transition from the consolidated taxation
system to the group tax sharing system from FY2023.
With regard to the transition to group tax sharing system established in the “Act for Partial Amendment of the Income
Tax Act, etc.” (Act No. 8 of 2020) and items for which the non-consolidated taxation system has been reviewed in linewith the transition to the group tax sharing system, the Company and its domestic consolidated subsidiaries
calculated the amounts of deferred tax assets and deferred tax liabilities in accordance with the provisions of the tax
act before the amendment based on the treatment of Paragraph 3 of the “Practical Solution on the Treatment of Tax
Effect Accounting for the Transition from the Consolidated Taxation System to the Group Tax Sharing System” (ASBJ
Practical Issues Tax Force No. 39, March 31, 2020), instead of applying the provision of Paragraph 44 of the“Implementation Guidance on Tax Effect Accounting” (ASBJ Guidance No. 28, February 16, 2018).
From the beginning of FY2023, the Company and its domestic consolidated subsidiaries will apply the “Practical
Solution on the Accounting and Disclosure Under the Group Tax Sharing System” (ASBJ Practical Issues Tax Force
No. 42, August 12, 2021) specifying the handling of accounting and disclosure of corporate tax, local corporate tax
and tax effect accounting when applying the group tax sharing system.

14

HORIBA, Ltd. (Consolidated)Material Subsequent Events(Sale of partial subsidiary’s shares)
On February 1, 2023, HORIBA MIRA Limited (U.K.) (hereinafter MIRA), a consolidated subsidiary of the Company,
sold part of the shares of MIRA UGV Limited (U.K.) (hereinafter UGV) owned by MIRA to Iveco Defence Vehicles
S.p.A. (Italy) (hereinafter IDV). As a result, UGV is no longer a consolidated subsidiary and has become an equitymethod affiliate.
1. Outline of the share transfer(1) Name of the acquiring entity
Iveco Defence Vehicles S.p.A (Italy)(2) Reason for the share transfer
MIRA has provided Unmanned Ground Vehicle development engineering services for the defense industry. Taking
a comprehensive view of the future prospects of the entire HORIBA Group, HORIBA decided to transfer part of theshares of UGV to IDV, in order to concentrate management resources of the Automotive Segment on field ofconsumer vehicles such as passenger cars and heavy-duty vehicles.
2. Date of the share transfer
February 1, 2023
3.Name, line of business, and scale of business of the subsidiary
Name: MIRA UGV Limited
Line of business: Unmanned Ground Vehicle (UGV) development engineering services for the defense industry
Scale of business: 1,327 million yen in sales for FY2022
4.Equity ownership before and after the transfer(1) Equity ownership before the transfer: 100%(2) Equity ownership after the transfer: 20%
5.Impact on profit and loss
Approximately 6,200 million yen of impact on profit and loss related to the share transfer such as the difference
between the book value stated on the consolidated financial statement and the transferred amount is expected to berecorded as an extraordinary gain for the first quarter of FY2023.
6.Reportable segment that includes the consolidated subsidiary to be transferred
Automotive Segment

15

HORIBA, Ltd. (Consolidated)4. Supplemental Information
HORIBA, Ltd. Financial Highlights for the Year Ended December 31, 2022
1. Consolidated Financial Results

Amount : Millions of yen

12/2021
Results

12/2022
Results

12/2023
Forecasts

Full Year

Full Year

AmountNet Sales

224,314270,133

Operating Income

32,046

Operating Income Ratio

14.3%

Ratio

+45,819

45,843+13,796

17.0%

+2.7P

32,03846,860+14,822

Ordinary Income Ratio

14.3%

17.3%

+3.0P

Net Income Attributableto Owners of Parent

21,311

34,072+12,760

Ordinary Income

Changes

12/2023
Forecasts

Changes

Full Year

Amount

1st Half

Amount+20.4%

290,000+19,866

128,000+13,034+43.1%

46,000+156

19,000+2,739

15.9%

-1.1P

14.8%

+0.7P

45,500-1,36018,800+2,015

15.7%

-1.6P

14.7%

+0.1P

35,500+1,427

17,000+5,759Changes+46.3%+59.9%Net Income Ratio

9.5%

12.6%

+3.1P

12.2%

-0.4P

13.3%

+3.5P

US$
Euro

109.90129.91131.62138.14+21.72130.00140.00-1.62

130.00140.00

+6.86

+8.23

+1.86

2. Consolidated Segment Results
Net Sales+5.61

Amount : Millions of yen

12/2021
Results

12/2022
Results

Full Year

Full Year

ChangesAmountRatio

12/2023
Forecasts
Full Year

Changes

12/2023
Forecasts

ChangesAmount

1st Half

AmountAutomotive

61,24967,524+6,274+10.2%

79,000+11,475

30,000+4,311

Process&Environmental

20,21722,541+2,324+11.5%

25,000+2,45811,000+808

Medical-Diagnostics

25,88229,753+3,870+15.0%

31,000+1,24615,000+1,326

Semiconductor

87,004

114,075+27,070+31.1%

115,000+924

54,000+4,578

Scientific

29,95836,239+6,280+21.0%

40,000+3,76018,000+2,010Total

224,314270,133+45,819+20.4%

290,000+19,866

128,000+13,034

12/2021
Results

12/2022
Results

Full Year

Full Year

Operating Income

Automotive

ChangesAmountRatio

12/2023
Forecasts

Changes

12/2023
Forecasts

Changes

Full Year

Amount

1st Half

Amount

(13)

(667)

-654

-

500

+1,167(1,500)+262

Process&Environmental

1,947

2,101

+153

+7.9%

2,500

+398

1,000

+361

Medical-Diagnostics

148

(99)

-248

-

500

+599

Semiconductor

28,00642,005+13,999+50.0%

38,500-3,50518,000+1,219Scientific

1,957

2,503

+546

+27.9%

4,000+1,496

1,500

+734

Total

32,04645,843+13,796+43.1%

46,000+156

19,000+2,739

16

-

+162

HORIBA, Ltd. (Consolidated)3. Consolidated Segment Sales by Destination

Automotive

12/2021
Results

12/2022
Results

Full Year

Full Year61,24967,524

Japan

17,365

16,555

Amount : Millions of yen
Changes

12/2023
Forecasts

Changes

Full Year

AmountAmountRatio+6,274+10.2%

79,000

-809

-4.7%

16,500-55-9.5%+11,475

Asia

15,842

14,339-1,502

20,700+6,360Americas

6,475

8,110

+1,634+25.2%

10,400+2,289Europe21,56628,518+6,951+32.2%

31,400+2,881

Process&Environmental

20,21722,541+2,324+11.5%

25,000+2,458Japan

10,286

10,861

+574

+5.6%

11,800

+938

Asia

5,046

5,585

+538

+10.7%

6,300

+714

Americas

2,281

3,002

+721

+31.6%

3,000-2Europe

2,603

3,092

+489

+18.8%

3,900

+807

25,88229,753+3,870+15.0%

31,000+1,246

Japan

5,243

6,363

+1,120+21.4%

6,700

+336

Medical-Diagnostics

Asia

5,714

7,102

+1,388+24.3%

7,500

+397

Americas

5,816

6,517

+701

+12.1%

8,100+1,582Europe

9,108

9,769

+660

+7.3%

8,700

-1,069

Semiconductor

87,004

114,075+27,070+31.1%

115,000

+924

Japan

26,83332,469+5,635+21.0%

35,000+2,530Asia

44,85759,509+14,651+32.7%

61,000+1,490Americas

9,813

15,269+5,456+55.6%

13,000-2,269Europe

5,500

6,827

+1,327+24.1%

6,000

-827

29,95836,239+6,280+21.0%

40,000+3,760

Japan

6,686

7,117

+431

+6.5%

9,000

+1,882

Asia

8,057

11,935+3,878+48.1%

13,900+1,964

Americas

8,992

10,460+1,468+16.3%

9,700

-760

Europe

6,223

6,725

+501

+8.1%

7,400

+674

224,314270,133+45,819+20.4%

290,000+19,866

Japan

66,41473,367+6,953+10.5%

79,000+5,632

Asia

79,517

98,472+18,954+23.8%

109,400+10,927

Americas33,37943,360+9,981+29.9%

44,200+839

Europe45,00254,933+9,930+22.1%

57,400+2,466

Scientific

Total

17

HORIBA, Ltd. (Consolidated)5. Consolidated Financial Results (Quarterly Comparison)

Amount : Millions of yen

12/2021 Results

Net Sales
Operating Income
Operating Income Ratio

Ordinary Income
Ordinary Income Ratio

Net Income Attributableto Owners of Parent
Net Income Ratio

12/2022 Results

1Q

2Q

3Q

4Q

1Q

2Q

3Q

48,582

52,734

52,63970,35655,51059,45470,15685,012

5,936

7,133

6,789

12,187

8,605

7,654

12,311

17,271

12.2%

13.5%

12.9%

17.3%

15.5%

12.9%

17.5%

20.3%

5,885

7,161

6,820

12,169

8,743

8,041

12,723

17,351

12.1%

13.6%

13.0%

17.3%

15.8%

13.5%

18.1%

20.4%

3,900

4,844

4,976

7,590

5,721

5,518

9,461

13,370

8.0%

9.2%

9.5%

10.8%

10.3%

9.3%

13.5%

15.7%

6. Consolidated Segment Results (Quarterly Comparison)
Net Sales

4Q

Amount : Millions of yen

12/2021 Results

12/2022 Results

1Q

2Q

3Q

4Q

1Q

2Q

3Q

4Q

Automotive

12,153

12,77012,38823,937

13,67512,013

15,632

26,203

Process&Environmental

5,224

4,816

4,527

5,649

4,788

5,403

5,233

7,116

Medical-Diagnostics

6,302

6,593

6,226

6,759

6,650

7,022

7,914

8,165

Semiconductor

18,441

21,602

22,64024,32122,22527,19531,99432,659Scientific

6,461

6,951

6,857

9,688

8,169

7,819

9,380

10,868

Total

48,582

52,734

52,63970,35655,51059,45470,15685,012

1Q

2Q

3Q

4Q

1Q

2Q

3Q

Operating Income

12/2021 Results

12/2022 Results
4Q

Automotive

(424)

(763)

(747)

1,921

133

(1,895)(1,530)2,624

Process&Environmental

699

414

180

652

453

184

343

1,119

Medical-Diagnostics

164

162

(242)

63

154

(316)

140

(77)

Semiconductor

5,257

7,093

7,370

8,284

7,180

9,600

12,46812,757

Scientific

239

224

228

1,265

683

82

890

848

Total

5,936

7,133

6,789

12,187

8,605

7,654

12,311

17,271

Contact
IR・ESG, Corporate Planning Office, Finance and Legal Division, HORIBA, Ltd.
2, Miyanohigashi-cho, Kisshoin, Minami-ku, Kyoto 601-8510, Japan
E-mail: ir-info@horiba.com

18

HORIBA, Ltd. (Consolidated)