SHIKOKU CHEMICALS CORPORATION

Stock Code：4099
July 28, 2020

Summary of Consolidated Financial Results
for the Three Months Ended June 30, 2020
[under Japanese GAAP](Amounts less than one million yen are rounded down)

1．Consolidated financial results for the three months ended June 30, 2020
(from April 1, 2020 to June 30, 2020)(1) Consolidated operating results（Millions of yen, except per share amounts; Percentages indicate year-on-year changes ）Three months ended
Three months ended
June 30, 2020
June 30, 2019%%
Net sales
11,592(9.6)
12,823
3.7
Operating income
1,262(27.0)
1,729
11.6
Ordinary income
1,441(19.2)
1,782(4.5)
Net income attributable to owners of the946(21.8)
1,209(2.0)
ParentBasic earnings per share (Yen)
16.82
20.71
Diluted earnings per share (Yen)
Note: Comprehensive income
1,868 million yen [552.8%]
286 million yen [（59.8%）](2) Consolidated financial position

Total assets
Total equity
Ratio of equity attributable to owners of the Parent
Reference: Equity attributable to owners of the Parent

June 30, 2020

(Millions of yen)March 31, 2020

97,33771,222
72.4%
70,425 million yen

100,896
71,64770.2%
70,839 million yen

2．Dividends
Year ending
March 31, 2021
(Forecast)Year ending
March 31, 2021

Year ended
March 31, 2020

Annual cash dividends per share (Yen)
1st quarter end
2nd quarter end
12.00
3rd quarter end
Fiscal year end
12.00
Total
24.00
Note: Revisions to the cash dividends forecasts most recently announced: None

12.00
12.00
24.00

3．Forecast of consolidated operating results for the year ending March 31, 2021
(from April 1, 2020 to March 31, 2021)（Millions of yen, except per share amounts; Percentages indicate year-on-year changes ）Six months ending
Year ending
September 30, 2020
March 31, 2021%%
Net sales
48,000(6.9)
Operating income
6,300 (19.7)
Ordinary income
6,600 (17.7)
Net income attributable to owners of the Parent
4,600 (18.0)
Basic earnings per share (Yen)82.82
Note: Revisions to the consolidated operating results forecasts most recently announced: YesSHIKOKU CHEMICALS CORPORATION

Stock Code：4099
July 28, 2020
4．Others
Number of issued shares outstanding at the end of the periods(ordinary shares)

Number of issued shares including treasury shares
Number of treasury shares

June 30, 2020
55,877,263 shares
337,995 shares

March 31, 2020
58,948,063 shares
1,900,015 shares

Average number of shares outstanding during the period

Three months ended
June 30, 2020
56,293,678 shares

Three months ended
June 30, 201958,420,299 shares

Explanation regarding the appropriate use of forecast of operating results and other special items
Forward-looking statements such as earnings forecasts and other projections contained in this report are
based on information currently available and certain assumptions judged by management to be reasonable,and do not constitute guarantees of future performance. Actual results may differ materially fromexpectations due to various factors.

Consolidated Financial Statements
Consolidated Balance Sheets
AssetsࠉCurrent assets
ࠉࠉCash and deposits
ࠉࠉNotes and accounts receivable - trade
ࠉࠉElectronically recorded monetary claims - operating
ࠉࠉSecurities
ࠉࠉMerchandise and finished goods
ࠉࠉWork in process
ࠉࠉRaw materials and supplies
ࠉࠉOther
ࠉࠉAllowance for doubtful accounts
ࠉࠉTotal current assets
ࠉNon-current assets
ࠉࠉProperty, plant and equipment
ࠉࠉࠉBuildings and structures, net
ࠉࠉࠉMachinery, equipment and vehicles, net
ࠉࠉࠉLandࠉࠉࠉConstruction in progress
ࠉࠉࠉOther, net
ࠉࠉࠉTotal property, plant and equipment
ࠉࠉIntangible assets
ࠉࠉInvestments and other assets
ࠉࠉࠉInvestment securities
ࠉࠉࠉDeferred tax assets
ࠉࠉࠉOtherࠉࠉࠉAllowance for doubtful accounts
ࠉࠉࠉTotal investments and other assets
ࠉࠉTotal non-current assets
ࠉTotal assets
Liabilities
ࠉCurrent liabilities
ࠉࠉNotes and accounts payable - trade
ࠉࠉElectronically recorded obligations - operating
ࠉࠉShort-term borrowings
ࠉࠉCurrent portion of long-term borrowings
ࠉࠉIncome taxes payable
ࠉࠉOtherࠉࠉTotal current liabilities
ࠉNon-current liabilities
ࠉࠉLong-term borrowings
ࠉࠉDeferred tax liabilities
ࠉࠉDeferred tax liabilities for land revaluation
ࠉࠉProvision for retirement benefits for directors (and other officers
ࠉࠉRetirement benefit liability
ࠉࠉAsset retirement obligations
ࠉࠉProvision for share-based remuneration
ࠉࠉOtherࠉࠉTotal non-current liabilities
ࠉTotal liabilities

1

March 31, 2020

(Millions of yen)
June 30, 2020

26,607
13,0572,095
11,000
6,912
47
3,100
283
ᇞ0
63,10323,888
11,496
1,949
10,995
6,905
38
2,911
329
ᇞ058,514

5,148
3,929
8,849
736
651
19,315
143

5,071
3,677
8,849
1,233
595
19,427128

16,6071,159570
ᇞ318,33337,792
100,896

17,955745
569
ᇞ319,26638,822
97,337

6,530
415
2,730
693
1,356
6,022
17,747

5,521
407
2,530
500
501
4,317
13,778

7,157
1
1,111
88
2,201
379
23
537
11,50029,248

8,008
6
1,111
64
2,207
379
22
536
12,336
26,115

Consolidated Financial Statements
Consolidated Balance Sheets
Net assets
ࠉShareholders' equity
ࠉࠉShare capitalࠉࠉCapital surplus
ࠉࠉRetained earnings
ࠉࠉTreasury shares
ࠉࠉTotal shareholders' equity
ࠉAccumulated other comprehensive income
ࠉࠉValuation difference on available-for-sale securities
ࠉࠉDeferred gains or losses on hedges
ࠉࠉRevaluation reserve for landࠉࠉForeign currency translation adjustment
ࠉࠉRemeasurements of defined benefit plans
ࠉࠉTotal accumulated other comprehensive income
ࠉNon-controlling interests
ࠉTotal net assets
Total liabilities and net assets

2

March 31, 2020

(Millions of yen)
June 30, 2020

6,867
5,815
56,063
ᇞ2,18366,5636,867
5,740
52,985
ᇞ375
65,2181,972
ᇞ42,533
ᇞ109
ᇞ115
4,276808
71,647
100,8962,903
ᇞ22,533
ᇞ118
ᇞ108
5,207
796
71,222
97,337

Consolidated Statements of Income

Net sales
Cost of sales
Gross profit
Selling, general and administrative expenses
ࠉTransportation and storage costs
ࠉAdvertising expenses
ࠉSalaries
ࠉRetirement benefit expenses
ࠉProvision for retirement benefits for directors (and other offi
ࠉResearch and development expenses
ࠉOtherࠉTotal selling, general and administrative expenses
Operating profit
Non-operating income
ࠉInterest income
ࠉDividend income
ࠉMiscellaneous income
ࠉTotal non-operating income
Non-operating expenses
ࠉInterest expenses
ࠉSales discounts
ࠉForeign exchange losses
ࠉLoss on abandonment of inventories
ࠉMiscellaneous loss
ࠉTotal non-operating expenses
Ordinary profit
Extraordinary income
ࠉSubsidy income
ࠉGain on sales of non-current assets
ࠉGain on sales of investment securities
ࠉTotal extraordinary income
Extraordinary losses
ࠉLoss on retirement of non-current assets
ࠉTotal extraordinary losses
Profit before income taxes
Income taxes
ProfitProfit attributable to non-controlling interests
Profit attributable to owners of parent

3

Three months ended
June 30, 2019

(Millions of yen)Three months ended
June 30, 2020

12,823
7,777
5,046

11,592
7,179
4,413

1,110
219
575
46
5
291
1,068
3,317
1,729

1,142
101
558
44
5280
1,019
3,151
1,262

3215
4
223

8
198
19
226

4
33
99
25
6
170
1,782

7
32
6
㸫
0
47
1,441

44
1
㸫
45

35
㸫
4
39

0
0
1,827
617
1,209
ᇞ0
1,209

14
14
1,466
529
936
ᇞ10946

Consolidated Statements of Comprehensive Income

ProfitOther comprehensive income
ࠉValuation difference on available-for-sale securities
ࠉDeferred gains or losses on hedges
ࠉForeign currency translation adjustment
ࠉRemeasurements of defined benefit plans, net of tax
ࠉTotal other comprehensive income
Comprehensive income
Comprehensive income attributable toࠉComprehensive income attributable to owners of parent
ࠉComprehensive income attributable to non-controlling interests

4

Three months ended
June 30, 2019

(Millions of yen)Three months ended
June 30, 2020

1,209

936

ᇞ917
13
ᇞ24
5
ᇞ923
286

932
2
ᇞ8
6
932
1,868

292
ᇞ5

1,877
ᇞ8