2024-08-06

Outline of FY2024 First 3 Months Financial Results
Ended June 30, 2024 (Consolidated)(Billions of yen)
FY2024First 3 Months
From April 1
to June 30, 2024

FY2023First 3 Months
From April 1
to June 30, 2023

Changes(%)

Order intake

1,847.5

1,606.8

15.0

Revenue

1,111.5

983.9

13.0

Profit from business activities

83.5

51.9

60.7

Profit before income taxes

101.3

75.7

33.8

Profit (loss) attributable toowners of the parent

62.2

53.1

17.1

Cash flows from operating
activities(67.8)(160.1)

Cash flows from investing
activities(58.4)

19.8

Cash flows from financing
activities

251.1

76.8

18.53 yen

15.83 yen

Earnings per share attributableto owners of the parent

17.0

Note1: Figures in parentheses are negative.
Note2: On April 1, 2024, the Company executed a ten-for-one stock split of its common shares. Earnings per share
attributable to owners of the parent are calculated assuming that the stock split was conducted at the beginningof FY2023.

1/1

Mitsubishi Heavy Industries, Ltd.
Marunouchi Nijubashi Bldg., 3-2-3 Marunouchi, Chiyoda-ku, Tokyo, 100-8332, Japan
www.mhi.com

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

Consolidated Financial Results for First Three Months of FY2024
Ended June 30, 2024 [IFRS]
1. Consolidated financial results for the three months ended June 30, 2024 (from April 1, 2024 to June 30, 2024)(Percentages indicate year-on-year changes.)(1) Consolidated operating results (cumulative)
Profitfrom business activities

Revenue
Millions of yen％

Millions of yen

First Quarter of FY2024

1,111,555

13.0First Quarter of FY2023

983,980

12.9

Profit attributable toowners of the parent

Profitbefore income taxes％

Millions of yen

83,52860.7

51,975

248.1

Total comprehensive
incomeProfit％Millions of yen

101,306

33.8

67,44615.1

75,701

112.9

58,573

171.9

Basic earnings
per share％

Diluted earnings
per share

Millions of yen％

Millions of yen

％

Yen

Yen

First Quarter of FY2024

62,28617.1

140,199

△4.0

18.53

18.52

First Quarter of FY2023

53,187177.1

146,108

104.5

15.83

15.82

*1 “Profit from business activities” on the consolidated statement of profit or loss is presented as a measure that enables continuouscomparison and assessment of the Group’s business performance. “Profit from business activities” is calculated by subtracting“cost of sales,” “selling, general and administrative expenses,” and “other expenses” from “revenue” and adding “share of profit(loss) of investments accounted for using the equity method” and “other income” to the resulting amount. “Other income” and“other expenses” consist of dividend income, gains or losses on sales of fixed assets, impairment losses on fixed assets, andothers.
*2 On April 1, 2024, the Company executed a ten-for-one stock split of its common shares. “Basic earnings per share” and “Diluted
earnings per share” are calculated assuming that the stock split was conducted at the beginning of FY2023.
(2) Consolidated financial position
Total assets
As ofRatio of equity attributable toowners of the parent
to total assets

Equity attributable toowners of the parent

Total equity

Millions of yen

Millions of yen

Millions of yen％

June 30, 2024

6,658,058

2,458,936

2,334,264

35.1

March 31, 2024

6,256,259

2,360,654

2,244,620

35.9

2. Cash dividends
Annual dividends per shareFirst quarter-end

Second quarter-end

Third quarter-end

Fiscal year-end

Total

Yen

Yen

Yen

Yen

Yen

Fiscal year ended March 31, 2024

－

80.00

－

120.00200.00Fiscal year ending March 31, 2025

－
11.00

－

11.00

22.00

Fiscal year ending March 31, 2025 (Forecast)*1 Revisions to the forecast of cash dividends most recently announced: None
*2 For the fiscal year ended March 2024, the actual dividends before the stock split are shown. When adjusted retroactively toreflect the stock split, the interim dividend per share for the fiscal year ended March 2024 was ¥8, and the annual dividend pershare was ¥20.

3. Estimate of Consolidated Financial Results for FY 2024 ending March 31, 2025
(Percentages indicate year-on-year changes.)
Profitfrom business activities

Revenue
From April 1, 2024
to March 31, 2025

Profitbefore income tax

Profit attributable toowners of the parent

Basic earnings
per share

Millions of yen％

Millions of yen％

Millions of yen％

Millions of yen％

Yen

4,900,000

5.2

350,000

23.9

330,000

4.7

230,000

3.6

68.43

* Revisions to the estimate of consolidated financial results most recently announced: None-1-

* Notes(1) Significant changes in the scope of consolidation during the period: None
(2) Changes in accounting policies and changes in accounting estimates(i)
Changes in accounting policies required by IFRS: None
(ii)
(iii)

Changes in accounting policies due to other reasons: None
Changes in accounting estimates: None

(3) The number of shares issued (Common Stock)(i) Total number of shares issued at the end of the period (including treasury shares)(ii)

As of June 30, 2024

3,373,647,810 shares

As of March 31, 2024

3,373,647,810 shares

Number of treasury shares at the end of the period
As of June 30, 2024

11,784,999 shares

As of March 31, 2024

12,750,817 shares(iii) Average number of shares outstanding during the period (cumulative from the beginning of the fiscal year)
Three months ended June 30, 2024

3,361,691,639 shares

Three months ended June 30, 2023

3,359,568,211 shares* "Number of shares issued at the end of the period," "Number of treasury shares at the end of the period" and "Average
number of shares outstanding during the period" are calculated assuming that the stock split was conducted at the beginningof FY2023.
* Review of the Japanese-language originals of the attached consolidated quarterly financial statements by certified public accountants
or an audit firm: None
* Proper use of earnings forecasts, and other special matters
Note regarding forward looking statements:
Forecasts regarding future performance outlined in these materials are based on judgments made in accordance withinformation available at the time they were prepared. As such, these projections include risk and uncertainty. Investors arerecommended not to depend solely on these projections when making investment decisions. Actual results may varysignificantly from these projections due to a number of factors, including, but not limited to, economic trends affecting theCompany’s operating environment, fluctuations in the value of the Japanese yen to the U.S. dollar and other foreign currencies,
and trends in Japan’s stock markets. The results projected here should not be construed in any way as a guarantee by theCompany.
How to obtain supplementary materials regarding the financial results:
Supplementary materials regarding the financial results are available on the Company's website.

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Table of Contents for Attachments
1. Condensed Quarterly Consolidated Financial Statements………………………………………………………………

(1) Condensed Consolidated Statement of Financial Position

4……………………………………………………………

4-5(2) Condensed Consolidated Statement of Profit or Loss …………………………………………………………………

6(3) Condensed Consolidated Statement of Comprehensive Income ………………………………………………………

7(4) Condensed Consolidated Statement of Changes in Equity ……………………………………………………………

8(5) Condensed Consolidated Statement of Cash Flows ……………………………………………………………………

9-10(6) Notes to Condensed Quarterly Consolidated Financial Statements ……………………………………………………

11

Notes to Going Concern Assumption …………………………………………………………………………………

11

Changes in Accounting Estimates

11……………………………………………………………………………………

Operating Segment …………………………………………………………………………………………………… 11-12
Others …………………………………………………………………………………………………………………

13

2. Outline of Financial Results ………………………………………………………………………………………………

13

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1. Condensed Quarterly Consolidated Financial Statements(1) Condensed Consolidated Statement of Financial Position(Millions of yen)

As of March 31, 2024

As of June 30, 2024

AssetsCurrent assets
Cash and cash equivalents

431,287

579,383

Trade and other receivables

916,011889,345

Other financial assets

39,771

46,323Contract assets

776,399

767,212Inventories

974,577

1,104,176

Other current assets

281,895

388,584

3,419,942

3,775,025

Property, plant and equipment ("PPE")

908,448

933,570

Goodwill

172,493

177,167

Intangible assets

93,786

96,708Right-of-use assets

93,496

94,353

Investments accounted for using the equity method

268,978

280,361

Other financial assets

538,126

542,595

Deferred tax assets

297,017

303,829

Other non-current assets

463,969

454,447

Total Non-current assets

2,836,316

2,883,033

Total assets

6,256,259

6,658,058

Total current assets
Non-current assets-4-

(Millions of yen)

As of March 31, 2024

As of June 30, 2024

Liabilities and Equity
Current liabilities
Bonds, borrowings and other financial liabilities

379,210

687,438

Trade and other payables

958,891

806,375

Income taxes payable

55,22840,262Contract liabilities

1,095,138

1,231,782

Provisions

216,220

201,411

Other current liabilities

235,829

237,072

2,940,518

3,204,341

763,754789,329

Deferred tax liabilities

9,987

11,024Retirement benefit liabilities

73,16575,599Provisions

79,74781,447

Other non-current liabilities

28,42937,377

Total non-current liabilities

955,085994,779

Total liabilities

3,895,604

4,199,121

Share capital

265,608

265,608

Capital surplus

41,18740,916

Treasury shares(4,828)(4,626)

Retained earnings

1,433,267

1,459,013

509,385

573,352

2,244,620

2,334,264

116,034

124,672

Total Equity

2,360,654

2,458,936

Total Liabilities and Equity

6,256,259

6,658,058

Total Current liabilities
Non-current liabilities
Bonds, borrowings and other financial liabilities

EquityOther components of equity
Equity attributable to owners of the parent
Non-controlling interests-5-(2) Condensed Consolidated Statement of Profit or Loss
(Millions of yen)

FY2023 First 3 Months(From Apr. 1, 2023
to Jun. 30, 2023)

FY2024 First 3 Months(From Apr. 1, 2024
to Jun. 30, 2024)

Revenue

983,980

1,111,555

Cost of sales

791,141

871,025

Gross Profit

192,838

240,529

Selling, general and administrative expenses

156,391

175,088

Share of profit of investments accounted for using the equity method

(202)

6,717

Other income

15,951

13,731Other expenses

219

2,360

51,97583,528Finance income

28,65423,196

Finance costs

4,928

5,418

75,701

101,306

17,12833,85958,57367,446

Owners of the parent

53,18762,286

Non-controlling interests

5,385

5,159

Profit from business activities

Profit before income taxes
Income taxes
ProfitProfit attributable to:(yen)

Earnings per share attributable to owners of the parent
Basic earnings per share

15.83

18.53

Diluted earnings per share

15.82

18.52

* On April 1, 2024, the Company executed a ten-for-one stock split of its common shares. “Basic earnings per share” and “Diluted
earnings per share” are calculated assuming that the stock split was conducted at the beginning of FY2023.

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(3) Condensed Consolidated Statement of Comprehensive Income(Millions of yen)

FY2023 First 3 Months(From Apr. 1, 2023
to Jun. 30, 2023)
ProfitFY2024 First 3 Months(From Apr. 1, 2024
to Jun. 30, 2024)

58,57367,446

Net gains from financial assets measured at FVTOCI

20,130(676)

Remeasurement of defined benefit plans

(608)

(83)

Share of other comprehensive income of entities accounted forusing the equity method

197

452

Total

19,719(307)

Cash flow hedges(1,954)(301)

Exchange differences on translating foreign operations

61,56966,040Share of other comprehensive income of entities accounted forusing the equity method

8,200

7,322

Total

67,81573,061

Total other comprehensive income

87,53572,753Comprehensive income

146,108

140,199

Owners of the parent

136,074

128,873

Non-controlling interests

10,033

11,325

Other comprehensive income
Items that will not be reclassified to profit or loss

Items that may be reclassified to profit or loss

Comprehensive income attributable to* FVTOCI means "Fair Value Through Other Comprehensive Income".

-7-(4) Condensed Consolidated Statement of Changes in Equity(Millions of yen)

Equity attributable to owners of the parent
SharecapitalBalance as of Apr. 1 ,2023

Capitalsurplus265,608

41,256

TreasurysharesRetainedearnings

Other
componentsof equity(5,385)

1,243,565

195,929

1,833,984

53,187

5,385

58,57382,88782,887

4,647

87,53553,18782,887136,074

10,033

146,108

15,612(15,612)

-

-

(5)

(5)

(5)

4

6

6

Other comprehensive income--

Transfer to retained earnings
Purchase of treasury shares
Disposal of treasury shares

1

Dividends(23,512)

Others(23,512)(2,246)(25,759)

(436)

229

(1,561)(7)(1,776)(1,023)(2,799)

-

(435)

229

(25,074)(7)(25,287)(3,270)(28,557)

265,608

40,821(5,156)

1,287,291

263,196

1,851,761

99,773

1,951,535

Total transactions with owners
Balance as of Jun. 30 ,2023

Total
Equity93,01053,187-

Total
1,740,974

ProfitComprehensive income

Noncontrollinginterests(Millions of yen)

Equity attributable to owners of the parent
SharecapitalBalance as of Apr. 1 ,2024

Capitalsurplus265,608

41,187

TreasurysharesRetainedearnings

Other
componentsof equity(4,828)1,433,267

509,385

2,360,654

62,286

5,159

67,446

66,586

66,586

6,166

72,75362,286

66,586

128,873

11,325140,199

2,628(2,628)

-

-

(1)

(1)

(1)

7

11

11

Other comprehensive income--

Transfer to retained earnings
Purchase of treasury shares
Disposal of treasury shares

3

Dividends(40,331)

OthersTotal transactions with owners
Balance as of Jun. 30 ,2024

Total
Equity116,034

62,286-

Total
2,244,620

ProfitComprehensive income

Noncontrollinginterests(40,331)(2,596)(42,928)

(274)

195

1,162

8

1,091

(91)

1,000

-

(271)

202

(39,168)8(39,229)(2,688)(41,917)265,608

40,916(4,626)

1,459,013

573,352

2,334,264

124,6722,458,936-8-

(5) Condensed Consolidated Statement of Cash Flows(Millions of yen)

FY2023 First 3 Months(From Apr. 1 toJun. 30, 2023)

FY2024 First 3 Months(From Apr. 1 toJun. 30, 2024)

Cash flows from operating activities
Profit before income taxes

75,701

101,306

Depreciation, amortization and impairment loss

33,27838,617

Finance income and costs(22,498)(17,125)

202(6,717)(6,985)(3,590)638

924

Decrease (increase) in trade receivables

12,99454,389Decrease (increase) in contract assets

49,65924,664

Decrease (increase) in inventories and advanced payments(114,080)(164,897)

Increase (decrease) in trade payables(61,826)(100,096)

Increase (decrease) in contract liabilities(14,410)

123,972

Increase (decrease) in provisions(20,132)(17,463)

48

1,809

(74,503)(62,586)(141,915)(26,793)

Interest received

3,966

3,993

Dividends received

6,423

4,496

Interest paid

(2,523)(3,240)

Income taxes paid

(26,138)(46,284)(160,187)(67,828)

Share of profit of investments accounted for using the equity method
Loss (gain) on sale of PPE and intangible assets
Loss on disposal of PPE and intangible assets

Increase (decrease) in retirement benefit liabilities
OthersSubtotal

Net cash provided by operating activities-9-

(Millions of yen)

FY2023 First 3 Months(From Apr. 1 toJun. 30, 2023)

FY2024 First 3 Months(From Apr. 1 toJun. 30, 2024)

Cash flows from investing activities
Payments into fixed-term deposits(3,926)(10,011)

Proceeds from withdrawal of fixed-term deposits

3,890

7,859

(38,535)(88,783)

Proceeds from sales of PPE, and intangible assets

7,684

7,046

Purchases of investments(including investments accounted for using the equity method)(2,497)(3,580)

Proceeds from sales and redemption of investments(including investments accounted for using the equity method)

39,216

17,309Net decrease (increase) in short-term loans

614

301

Disbursement of long-term loans

(2)

(0)

Collection of long-term loans

22

33

Payments for derivative transactions(7,027)(8,838)Proceeds from derivative transactions

20,12820,636266(391)

19,834(58,419)

140,692

307,636(469)(3,022)

Payments for acquisition of interests in subsidiaries from noncontrolling interests(1,024)-

Dividends paid to owners of the parent(22,419)(38,825)

Dividends paid to non-controlling interests(1,396)(1,180)

Proceeds from factoring agreements

47,66581,941

Repayment of liabilities under factoring agreements(79,470)(87,757)

Repayment of lease liabilities(6,271)(7,124)

(462)

(511)

Net cash provided by (used in) financing activities

76,844

251,156

Effect of exchange rate changes on cash and cash equivalents

27,24523,187

Net increase (decrease) in cash and cash equivalents(36,262)

148,095

Cash and cash equivalents at the beginning of the year

347,663431,287

Cash and cash equivalents at the end of the period

311,400

579,383

Purchases of PPE, and intangible assets

OthersNet cash provided by (used in) investing activities
Cash flows from financing activities
Net increase (decrease) in short-term borrowings
Repayment of long-term borrowings

Others- 10 -

(6) Notes to Condensed Quarterly Consolidated Financial Statements
 Notes to Going Concern Assumption: None
 Changes in Accounting Estimates: None
 Operating Segment(i) Overview of reporting segments
The reporting segments of the Group are components for which discrete financial information is available and whose
operating results are regularly reviewed by MHI’s Board of Directors to make decisions about resource allocation andassess their performance.
The Group manages its businesses by business domains and segments. Each business domain and segment engages in its
business activities by formulating comprehensive strategies on products and services which are provided in both
domestic and overseas markets. Therefore, MHI aggregates its business domain segments into four reportable segments,“Energy Systems”, “Plants & Infrastructure Systems”, “Logistics, Thermal & Drive Systems”, and “Aircraft, Defense &Space”, by considering similarities of each business domain’s and segment’s customers and product characteristics.
Main products and services belonging to each reporting segment are as follows:

Energy Systems

Thermal power generation systems (Gas turbine combined cycle [“GTCC”] and Steampower), Nuclear power generation system (Light-water reactors, Nuclear fuel cycle &Advanced solutions), Wind power generators, Engines for aircrafts, Compressors, Air
Quality Control System [“AQCS”], Marine machinery

Plants & Infrastructure
Systems

Metals machinery, Commercial ships, Engineering, Environmental systems,
Mechatronics systems

Logistics, Thermal &Material handling equipment, Turbochargers, Engines, Air-conditioning & refrigeration

Drive Systems

systems, Automotive thermal systems

Aircraft, Defense &Commercial aircraft, Defense aircraft, Missile systems, Naval ships, Special vehicles,

Space

Maritime systems (torpedoes), Space systems

In order to further strengthen its Energy Transition initiatives, MHI established Green Transformation (GX) Solutions as
a new business domain and reorganized some other businesses at the beginning of FY2024. GX Solutions includes
Engineering and other businesses and is included within the Plants & Infrastructure Systems reporting segment.
Additionally, based on the new medium-term business plan, revisions were made to the positioning and management
structures of the businesses and some products and services previously included within the “Corporate & Eliminations”
column have become the businesses of which financial results should be assessed and managed as revenue-making
businesses. As a result, these businesses are reported on the “Others” column.
The segment information for the first quarter of FY2023 is restated to reflect these changes.

- 11 -

(ii) Information about revenue, profit or loss and other items by reporting segment
For FY2023 First 3 Months (From April 1, 2023 to June 30, 2023)(Millions of yen)
Reporting segment
EnergySystems

Plants &Logistics,
Infrastructure Thermal &Systems
Drive Systems

Aircraft,Defense &
Space

Total

Others*1

Total

Corporate &Eliminations Consolidated*2

Revenue
Revenue from externalcustomers

358,037

167,230

309,837

145,127

980,233

1,103

981,336

2,643

983,980

Inter-segment revenue
and transfers

1,075

5,551

316

409

7,353

72

7,425

△7,425－

Total

359,113

172,782

310,153

145,536

987,586

1,175

988,762△4,782

983,980

26,8293,941

17,436

9,279

57,487

6,695

64,182△12,206

51,975

Segment profit *3
Finance income

28,654

Finance costs

4,928

Profit before income
taxes

75,701For FY2024 First 3 Months (From April 1, 2024 to June 30, 2024)(Millions of yen)
Reporting segments
EnergySystems

Plants &Logistics,
Infrastructure Thermal &Systems
Drive Systems

Aircraft,Defense &
Space

Total

Others*1

Total

Corporate &Eliminations Consolidated*2

Revenue
Revenue from externalcustomers
Inter-segment revenue
and transfers

Total
Segment profit *3

389,115

168,908

319,951

211,597

1,089,574

19,012

1,108,587

2,968

1,111,555

2,397

6,198

1,024

148

9,768

305

10,074△10,074－

391,513

175,107

320,976

211,745

1,099,342

19,3181,118,661△7,106

1,111,555

50,3787,640

14,691

23,641

96,352

2,865

99,218△15,689

83,528Finance income

23,196

Finance costs

5,418

Profit before income
taxes
*1

101,306“Others” includes the businesses categorized in growth areas such as electrification and data center and asset businesses, which are not included in thereporting segments.

*2“Corporate & Eliminations” includes revenues and expenses which are not included in any of the reporting segments. Specifically, corporate research anddevelopment expenses and dividends on shares concerning corporate overall businesses, neither of which are linked to any specific segment.

*3

Segment profit represents profit from business activities.

- 12 -

 Others(i) Major Lawsuits
There was a temporary dispute between a consortium composed of MHI and Daewoo Engineering & Construction Co.,
Ltd. ("MHI and Daewoo") and El Sharika El-Djazairia El-Omania Lil Asmida SPA ("AOA") regarding a chemicalfertilizer plant construction contract in Algeria whose orders had been received by MHI and Daewoo, but a settlement
was reached in 2017 (the "Settlement Agreement"), and the consortium delivered the plant to AOA. However, AOA
subsequently refused to make some of the outstanding payment under the Settlement Agreement. Therefore, MHI and
Daewoo filed for arbitration against AOA and one of its shareholders, Societe Nationale pour la Recherche, laProduction, le Transport, la Transformation et la Commercialisation des Hydrocarbures SPA ("SONATRACH").
In March 2021, MHI and Daewoo received a counterclaim from AOA which mainly consists of the cancellation of theSettlement Agreement and the refund of the payment already made under the Settlement Agreement.
In October 2022, the arbitral tribunal decided to exclude SONATRACH from participants of arbitration.
MHI and Daewoo will assert that there are no reasonable grounds for AOA’s refusal to make the outstanding payment
and that the counterclaim should be dismissed.

(ii) Transfer of PPE
On February 28, 2024, the Board of Directors of MHI approved an ownership transfer of one of its PPE as described
below.
- Reasons for the transfer
To make effective use of management resources and strengthen its financial position.
-

Asset designated for transfer
Description: Plant land (a part of the Honmoku Plant)
Location: 38-8, Nishikicho, Naka-ku, Yokohama, Kanagawa-

Transfer schedule
Contract signed: February 29, 2024
Transfer date(planned*): September 30, 2024 and March 31, 2025
* MHI plans to set up a trust for the transferred asset and transfer the trust beneficiary right based on the trust. The
transfer date is the date of the transfer of the trust beneficiary right for the transferred asset. The asset will betransferred in two parts.

-

Impact of the transfer on financial results
As a result of the above mentioned transfer of the PPE, approximately ¥50 billion of gain on sale of PPE will berecognized for the fiscal year ending March 31, 2025.

- 13 -

2. Outline of Financial Results
An outline of the financial results for the first 3 Months of FY2024 (from Apr. 1, 2024 to Jun. 30, 2024) is included in the "Q1
FY2024 Financial Results Presentation Materials" released today, August 6, 2024. These materials are available on TDnet and theCompany's website.

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