TOPICSTSE Securities Code : 7999

XpertJet 1641SR Pro Eco-solvent inkjet printer for 1.6m wide media
Best-balanced model with high productivity and high image quality

MUTOH HOLDINGS CO., LTD.

Business Report

Fusion of MUTOH's unique "traditional" and "advanced" technologies

April 1, 2021 to March 31, 2022

Inherited a platform with innovations to improve operability and reduce the burden on operators.
MUTOH's unique "traditional" technology "high-precision aluminum rail structure" and "advanced" trinity
The fusion of technologies enables high-precision and high-quality printing.

We would like to express our sincerest gratitude to all the shareholders who have continued tosupport us.
We hereby present our 73rd (Fiscal Year 2021) Financial Report, covering the MUTOH Group'sbusiness performance and activities.

Yasuhiko Isobe
MUTOH HOLDINGS CO., LTD.
President and Representative Director

Celebrating 70th Anniversary
MUTOH's original "traditional" technology"high precision aluminum rail structure

Trinity's "advanced" technology
AccuFine, i-screen and VerteLith

We deliver the highest quality "Made in Japan Quality" to a variety of markets, including
indoor and outdoor signage, trade show graphics, car wrapping, POP, and more.
Company Profile (As of June 28, 2022)
Name:

MUTOH HOLDINGS CO., LTD.

Established:

March 5, 1952
(founded: December 1942)

Capital Stock:

10,199 million yen

Head Office:1-3, Ikejiri 3-chome, Setagaya-ku, Tokyo 154-8560
TEL: +81-3-6758-7100

Main Business:
Website Address:

Management of group operations and group assets
https://www.mutoh-hd.co.jp

From April 1 to March 31 of the following year

Ordinary General Meeting
In June each yearof Shareholders :Year-end DividendRecord Date :March 31 each year

Interim Dividend
September 30 each year
Record Date :Public Notices :Public notices shall be made on the Company’s
website (https://www.mutoh-hd.co.jp).
* In case the public notices are not available on the
Company’s website due to unavoidable
circumstances, such notices shall be made in the
Nihon Keizai Shimbun
Administrator of
Sumitomo Mitsui Trust Bank, Limited
Shareholder Register : 4-1, Marunouchi 1-chome, Chiyoda-ku, Tokyo 100-8233
Mailing Address 8-4, Izumi 2-chome, Suginami-ku, Tokyo 168-0063
and Telephone TEL: +81-120-782-031 (toll-free)Number :Stock Transfer Agency Department
Sumitomo Mitsui Trust Bank, Limited
Stock transfer agent services are provided at branch
offices in Japan of Sumitomo Mitsui Trust Bank, Limited.

MECHANICAL ENGINEERING HERITAGE - No. 21
The Japan Society of Mechanical Engineers

Universal Drafting Machine

DRAFTER MH-I

The Japan's first drafting machine"DRAFTER MH-1" was invented in 1953
by Yoshihiro MUTOH, the founder of MUTOH

Business Progress and Outcome

Shareholder Information
Business Year :MUTOH celebrated its 70th anniversary in March of this year.
We would like to express our gratitude to all of our stakeholders for theirsupport over the years.
Our group began in December 1942 (the 80th anniversary since its founding)when Yoshiro Mutoh founded the Mutoh Scale Engraving Research Center in
Mishuku, near our current headquarters (Ikejiri, Setagaya-ku, Tokyo), and thisis where the spirit of supporting MONOZUKURI (Excellence in Manufacturing) began.
10 years later in March 1952, MUTOH Memori Chokoku (MUTOH Scale Engraving) LTD wasfounded, and by continuing to carry on the spirit of the company's founding, it produced suchproducts as the Drafter, a drafting instrument registered in the Mechanical Engineering
Heritage, and the Pen Plotter, a device for printing drawings. The spirit of MUTOH's founding
has been passed down, and our LFP products continue to support creators and designers, while
our design and measurement equipment and 3DP products continue to support manufacturers,architects, and many others involved in the manufacturing industry.
In order to continue to build on MUTOH's history, each and every one of us will continue toearn the trust of our customers, inherit our founding spirit (DNA) of "supporting
MONOZUKURI." Additionally, we will continue to create new value toward our 100th
anniversary as a company that "enhances the creation of people and companies," flexibly
responding to customer needs and changes in the environment, and providing "peace ofmind," "reliability," and "inspiration.

Attention
1. Please contact the securities company with which you have an account to request a change of addressor the purchase or additional purchase of shares less than one unit.
For shareholders who have opened special accounts because they do not have an account with asecurities company, please contact Sumitomo Mitsui Trust Bank, Limited, which is the accountmanagement institution for special accounts.
2. Payment of unpaid dividends
Please contact Sumitomo Mitsui Trust Bank, Limited, the shareholder registry administrator.
3. The Dividend Statement.
The “Dividend Statement” sent at the time of dividend payment also serves as a “Notice of Payment” inaccordance with the Special Taxation Measures Law.
Shareholders who file their own tax returns are advised to keep the dividend statement in a safe place.
However, for those shareholders who have chosen the method of allocation in proportion to thenumber of shares, the calculation of withholding tax will be performed by the securities company, etc.
Please check with your securities company for the documents to be attached to your tax return.

We would like to report our business results for fiscal year 2021 (73rd fiscal year) andthe initiatives taken by our group.
The global economic environment in the current fiscal year has been characterized by arecovery trend in economic activity along with the spread of vaccinations. However, in
addition to prolonged supply chain problems such as container shortages in marinetransportation and shortages of electronic components, especially semiconductors,
many countries have raised policy interest rates due to rising inflationary pressures.
Furthermore, Russia's invasion of Ukraine has sharply increased uncertainty about theeconomic outlook.
Under these circumstances, the Group has promoted measures focused on cash flow,such as improving profitability through innovation in development, manufacturing, andsales, appropriate inventory management, reduction of assets held, and a drastic
review of fixed costs. In addition, in view of the prolonged COVID-19 pandemic, wehave been reforming our work styles and exploring new management styles under the
new normal, such as sales activities utilizing the Internet.
In the the design and measurement equipment business and the 3D printer business,
the MUTOH Package for educational institutions, which provides total services from
CAD to 3D output, has been commercialized through new collaboration between thetwo businesses, and will be marketed as a solution to meet the needs of digital
education. In addition, we consolidated the manufacturing of our main products at the
Suwa Plant (Nagano Prefecture), promoting reforms to improve quality and reduce
costs by integrating quality and production management and procurement andleveling production.
Meanwhile, in the large-format inkjet printer business, our core business, two models(XpertJet 1341SR Pro and XpertJet 1641SR Pro) equipped with a new head andcompatible with eco-solvent ink were sequentially launched in the global market from
September 2021, and have been highly evaluated for their high image quality and highspeed with excellent cost performance.
VerteLith™, our first in-house developed RIP software (software for outputting data tolarge format inkjet printers), launched in January 2020, has been recognized for its

high performance in text and image processing as well as its enhanced features that
simplify and streamline the entire workflow for users. In January 2022, the European
Digital Press Association, an association of European print magazines, presented
VerteLith™ the EDP Award 2021 in the workflow technology category, which awards
the best-rated digital printing product or technology in each category, beating out RIPs
from other specialized and established vendors for its enhanced functionality.
As a result of the above, net sales for the current fiscal year were ¥15,848 million (up12.0% year-on-year) and operating income was ¥541 million (compared to a loss of¥564 million in the same period of the previous year), a significant recovery from thesame period of the previous year, which was greatly affected by the spread of newcoronavirus infection.
Ordinary income totaled ¥743 million (compared to a loss of ¥291 million in the same
period of the previous year), mainly due to a recovery in operating income as well as
equity in earnings of affiliates. Net income attributable to shareholders of the parent
company was ¥773 million (compared with a net loss of ¥1,200 million in the same
period of the previous year), mainly due to a ¥679 million gain on sales of fixed assets
recorded as extraordinary income, a ¥246 million impairment loss recorded as
extraordinary loss, and a total of ¥362 million in income taxes and income tax
adjustments.
The full-year forecast for the fiscal year ending March 31, 2023 is subject to the risk ofdelays and stagnation in procurement, production, sales, and logistics, as well as rising
prices, due to the invasion of Ukraine by Russia, problems in suppliers' parts supply andmarine transportation delays due to the COVID-19 pandemic. The Group will work on
business structure reform with the most important task to improve full-year operating
income/loss by continuously increasing revenue and establishing a stable profit base.
As a result of the above, we project net sales of ¥16,100 millio, operating income of¥400 millio, ordinary income of ¥400 million, and net income attributable to owners of
the parent of the company of ¥100 million.
We greatly appreciate your support and ask for your continued assistance andcooperation.

Overview of Business Segments
Imaging & Information Equipment Businesss
Net Sales¥11,894million Segment Profit ¥225million●Net Sales(million)

11,75911,894

10,131

Sales Ratio

75.1%
FY2019FY2020

FY2021

TOPICS
Although there was a significant recovery from the same period of the previous year, when the
spread of the COVID-19 had a major impact, higher logistics costs, mainly for marinetransportation, soaring raw material prices, and component supply issues affected earnings. Overall,
the business posted net sales of ¥11,894 million (up 17.4% year-on-year) and segment income of¥225 million (compared with a loss of 659 million yen in the same period of the previous year).
The status by region is as follows.
Asia Region:Net sales totaled ¥3,894 million (down 0.0% year on year), with segment income of¥244 million (compared with a loss of ¥499 million in the same period of the previous fiscal year).
North American Region:Net sales totaled ¥3,089 million (up 19.7% year on year), with segment
loss of ¥9 million (segment income of ¥28 million in the same period of the previous fiscal year).
European Region:Net sales totaled ¥4,910 million (up 34.4% year on year), with a segment lossof ¥10 million (compared to a loss of ¥187 million in the same period of the previous fiscal year).

XpertJet 1341WR Pro A water-based sublimation inkjet printer for 1.3m wide media
Compact model pursuing high image quality and user convenience
Space-saving design incorporates the latest technology in a compact, easy-to-handle body

The combination of the new AccuFine print head and the new i-screen print effectachieves both high image quality and high-speed imaging.

Information Service Business
Net Sales¥2,221million¥256million

Segment Profit●Net Sales(million)

2,398

14.0%
FY2020The new AccuFine print head achieves both highimage quality and high-speed printing with its larger
size, higher density, and high-precision ink deposition.
Provides high-quality solid color printing with lessbanding even at high speeds

The new print effecti-screen optimizes the
new AccuFine print headand reduces banding byarranging the dots inconsideration of how the human eye sees
them, resulting in smooth images.

and other factors, but improved profitability led to a significant

year-on-year).
FY2019New print effecti-screen

Sales declined slightly due to the impact of the COVID-19 infection
increase in profit, resulting in net sales of ¥2,221 million (down
2.0% year-on-year) and segment income of ¥256 million (up 69.9%

2,221

2,267

Sales Ratio

New AccuFine
print head

FY2021【AccuFine】 【Conventional】

Design Measurement Equipment Business, Real-Estate Leasing Business and Other Businesses
Net Sales¥1,732million¥400million

Segment Profit●Net Sales(million)

1,965

1,753

1,732

FY2019FY2020

FY2021

Sales Ratio

10.9%

Design and Measurement Business
Similarl to the information services business, sales declined slightly due to theimpact of the spread of COVID-19 infection and other factors, but profitability
improved, resulting in net sales of ¥1,294 million (down 2.4% from the same
period of the previous year) and segment income of ¥243 million (up 6.7%).
Real Estate Leasing Business
Sales increased due to the conversion of some of the company owned properties fromproperties for its own use to properties for rent, resulting in net sales of ¥201 million(up 11.8% year-on-year) and segment income of ¥178 million (up 0.2% year-on-year).
Other Businesses
Sales decreased due to the impact of the spread of the COVID-19 infection, resulting
in net sales of ¥235 million (down 4.4% year-on-year) and a segment loss of ¥21
million (compared with a loss of ¥29 million in the same period of the previous year).

(million)

Year Ended
March 31, 2022

Account
AssetsCurrent Assets
Fixed Assets
Tangible Fixed Assets
Intangible Fixed Assets
Investments and Other Assets
Total Assets
Liabilities
Current Liabilities
Non Current Liabilities
Total Liabilities
Net Assets
Shareholders’ Equity
Total Other Cumulative Comprehensive Income
Non-Controlling Interests
Total Net Assets
Total Liabilities and Net Assets■ Consolidated Statements of Income

Year Ended
March 31, 2021

16,296
10,377
3,308
83
6,985
26,674

15,336
9,886
3,455
75
6,355
25,222

3,897
1,533
5,430

3,553
1,400
4,954

22,025−1,573790
21,243
26,674

Net SalesYear Ended
March 31, 2021

15,84814,151

Cost of Sales

10,347

9,873

Selling, General and Administrative Expenses

4,958

4,842

541

−564

Operating Income (Loss)
Non Operating Profit and Loss
Ordinary Income

21,381−1,872759
20,26825,222(million)

Year Ended
March 31, 2022

Account

201

272

743

−291

Extraordinary Profit

746

52

Extraordinary Losses

274

833

1,214

−1,071

−440

−128

773

−1,200

Income Before Income Taxes and Other Adjustments
Income Taxes
Profit (Loss) Attributable to Owners of Parent

Nozzle row length greatly expanded

Higher nozzle pitch density

Contributes to increased productivity

Improved print quality withhigh-precision ink deposition¥15,848million¥541million

Operating Income(million)

19,202

16,124

14,151

15,848541

Ordinary Income(million)

MUTOH's original RIP software VerteLith™ was recognized not only
for its high performance in image processing, but also for its enhanced
workflow solution functions that simplify and streamline the entire
printing process, winning the award in the workflow technology
category over RIPs from other specialized and established vendors.

Original Half Tone Technology
MUTOH Clear Tone
Accurately processes PDF transparency
effects and drop shadows for smooth,less grainy, beautiful image quality¥743million(million)

743

160

Conventional Effect

MUTOH Original RIP Software VerteLith™
received the EDP Award 2021

Consolidated Financial Highlights
Net Salesi-screenThis printer is ideal for trade show graphics, flags, banners, custom
interior design, apparel, and custom merchandise.

Consolidated Financial Statements■ Consolidated Balance Sheets【AccuFine】【Conventional】

234

Workflow efficiency
Not only "print items" but also "layout information" can be set as automatic processing items.
・Ability to automatically allocate
and print multi-page PDFs that
integrate multiple jobs
・Ability to create and register"layout settings" such as
allocation position, numberof allocations, etc.
・Simple jig creation function
Simplified jig creation function reduces time and cost of jig creationby thickness printing

Two preview functions−291

FY2018FY2019Profit (Loss) Attributableto Owners of Parent

FY2020

FY2021FY2018¥773million
773

−597

−564

FY2019FY202035

64−1,015FY2018FY2019FY2018

35Yen

Dividend per Share(million)

35−600
FY202130

35

FY2019FY2020Capital-to-asset Ratio(Yen)

FY2021

76.7%

(%)

74.4

75.9

77.3

76.7

FY2018FY2019FY2020

FY2021−1,200
FY2020

FY2021FY2018FY2019FY2020

FY2021Less variationLi iini colorl densitydiand smoother gradations
MUTOH Clear Tone

Prevents setting errors, saves media and ink,
and contributes to reduced work time loss
・Soft Proof" function that simulates "color"on the display when printed
・“RIP Preview" function that shows the "actual
dots to be printed" on the display after RIP

Efficient multi-layer
printing function
Automatic processing of layer settings, nesting
settings, and layout settings is possible
・ Multi-layer printing automation withmulti-page PDF

Maximizes the performance of MUTOH printersand helps customers work more efficiently and reduce costs.