May 9, 2023
For Immediate Release
Company Name:TOKAI Holdings Corporation
Representative Name: Representative Director, President and CEO
Katsuo Oguri(Code No. 3167, TSE Prime Market)
Contact:
Yutaka Horaguchi, Public Relations andInvestor Relations OfficeTEL:+81-(0)3-5404-2891

Financial Results for the Fiscal Year Ended March 31, 2023
– Net sales reached a new record high and the customer base also expanded –TOKAI Holdings Corporation (hereinafter, “the Company”) today announced its financial results for the fiscal
year ended March 31, 2023 (from April 1, 2022 to March 31, 2023).

1. Net sales reached a new record high, rising for the sixth consecutive year
For the fiscal year under review, net sales stood at 230.2 billion yen, up 19.5 billion yen or 9.3% year onyear, rising for the sixth consecutive year to a new record high. This resulted chiefly from sales growthfollowing an increase in energy, CATV and other customers, rises in selling prices linked with energy purchaseprices, and expansion of the stock business for corporate clients in the Information and Communication business.
On the profit front, operating profit stood at 14.9 billion yen, down 0.9 billion yen or 5.5% year on year. Thisis explained by LP gas purchase prices that were far higher than the level in the same period a year earlier and anincrease in expenses for gaining customers in the Information and Communication business for consumers, which
endeavored to shift towards a net increase in customers. These factors more than offset earnings growth after anincrease in the number of monthly fee-paying customers accompanying an increase in the number of customer
accounts, as well as a rise in profit in the Information and Communications business for corporate clients.
Profit attributable to owners of parent stood at 6.5 billion yen, down 2.5 billion yen or 27.9% year on year.
This is due mainly to impairment losses of goodwill of an equity-method affiliate based in Vietnam and theposting of special investigation expenses under extraordinary losses.
Net sales and all the profit and income figures ended higher than their respective forecast announced onFebruary 2, 2023.
(Millions of yen)
Revised forecast
FY03/23 results FY03/22 resultsfor earnings
Change from(April 1, 2022 to (April 1, 2021 toresults
YoY
forecast
March 31, 2023) March 31, 2022) (Announced onFebruary 2, 2023)
Net sales
230,190
210,691
223,000+19,498+7,190
Operating profit
14,91915,794
14,500-874+419
Ordinary profit
13,28915,907
12,600-2,617+689
Profit
6,465
8,969
6,300
-2,504+165
attributable toowners of parent
EPS (yen)
49.41
68.49
48.12
-19.08+1.29

2. The Company expanded its earnings base through considerable customer gains, pushing thecustomer count up by more than 100 thousand from the beginning of the fiscal year.
In operating activities in the fiscal year under review, the Company aggressively conducted sales activities togain customers while thoroughly taking measures to prevent COVID-19 infections and recorded 3,299,000
continuing customers as of March 31, 2023. This continuing customer exceeded the count at the beginning of
the fiscal year (3,194,000) by 105,880 (versus an increase of 94,937 in the same period of the previous fiscalyear).
With net increase of 35,930 (LP and city) gas customers (40,408 in the previous fiscal year), 55,813 CATV
customers (33,840), including 24,674 M&A-related customers, 17,158 Hikari Collaboration customers(9,291) and 15,885 LIBMO (MVNO service) customers (2,481), we further expanded our earnings base.

3. Policy of paying constant and stable dividends
The Company defines the return of profit to shareholders as one of the key management issues and has a basic
policy of paying constant and stable dividends.
Annual dividend per share for the fiscal year under review is projected to stay unchanged at 32 yen per sharefrom the previous fiscal year.
FY03/23
FY03/22FY03/21(Current fiscal year)(Previous fiscal year)(Two years earlier)Interim (end of Q2)
16.00 yen
15.00 yen
14.00 yen
Year-end
16.00yen
17.00 yen
16.00yen
Annual dividend per share
32.00 yen
32.00yen
30.00 yen
Total dividend amount
4,203 million yen
4,203 million yen
3,940 million yen
Payout ratio
64.8％
46.7％
44.6％
(consolidated)
Ratio of dividends to net
5.3％
5.5％
5.6％
assets (consolidated)
For details, please see the attached materials, entitled “Financial Results for the Fiscal Year Ended March 31, 2023.”
For the Company's earnings announcement for the fiscal year ended March 31, 2023, please see the following URL:
https://www.tokaiholdings.co.jp/english/ir/library/earnings.html

Financial Results for the Fiscal Year
Ended March 31, 2023
TOKAI Holdings Corporation(Code No. 3167)
May 9, 2023

Net sales reached a new record high Net sales rose for the sixth fiscal year to reach a new record high. The result chiefly reflects an increase incustomers, rises in selling prices linked with energy purchase prices, and expansion of the Information andCommunication business for corporate clients.
 Operating profit fell 0.9 billion yen year on year, primarily because of soaring LP gas purchase prices and anincrease in expenses for gaining customers, despite earnings growth after an increase in the number of monthly
fee-paying customers accompanying an increase in the number of customer accounts, as well as a rise in profit in
the Information and Communications business for corporate clients.
 Profit attributable to owners of parent dropped 2.5 billion yen year on year, due mainly to posting of impairment
losses of goodwill of an equity-method affiliate and special investigation expenses.
FY03/23
results

FY03/22
results(FY2022)(FY2021)

Change from revised
forecast

YoYRevised
forecast

Change% change(%)

Change% change(%)

230,190 210,691 223,000 +19,498+9.3+7,190+3.2

Operating profit

14,91915,794

14,500-874-5.5+419+2.9

Ordinary profit

13,28915,907

12,600-2,617

-16.5

+689

+5.5

Profit attributable toowners of parent

6,465

8,969

6,300-2,504(Net sales and profit: million yen; EPS: yen)
-27.9+165+2.6

EPS (yen)

49.41

68.49

48.12

-19.08-27.9

Net sales

+1.29

+2.7
1

Year-on-year comparison in full-year
operating profit by segment
 In the Energy, CATV and Aqua segments, customer gains pushed up profits, and Information and Communications
for corporate clients was also strong.
 The profit decline in the Energy segment is largely attributable to the effect of higher LP gas purchase costs (costincrease of 5.8 billion yen year on year).
 In Information and Communications for individual clients, the customer count far exceeded the level a year earlier;
however, acquisition costs were higher.
160.0

Operating profit(billion yen)

15.79
150.0

-1.55
15.5+3.3
+0.33

-0.43
4.3

+0.2
+0.02

+2.1
+0.21

+0.55
+5.5

149.2
14.92

140.0
Information andCommunications

EnergyIncrease incustomers
Purchasecosts
Acquisition
costs
Temperatureand others

130.0

120.0

Other+0.65

For corporateclients
For individual
clients
Acquisition
costs

-1.90
-0.02
-0.39

CATV+0.48

Increase incustomers

+0.33

+0.56
-0.49

Construction,
Equipment, andReal Estate

Others andadjustments

Aqua

Renovation+0.08

Building
facilities-0.51

Increase incustomers
Acquisition
costs

+0.04
+0.17

Wedding
ceremonies
and others+0.27

Adjustments

-0.25

+0.11

110.0

FY2021
分類 1Results

エネルギー

情報通信

建築不動産

CATV

アクア

その他調整額FY2022
分類 7Results2* Changes in operating profit disregard allocation of indirect costs

Large net increase in customers of more than
100 thousand from beginning of fiscal year The customer count showed a large net increase of 106 thousand from 3,194 thousand at the beginning of the fiscalyear, partly thanks to an increase of 25 thousand through M&A.
 The earnings base continued to expand in the gas business, the CATV business, the Hikari Collaboration businessand the LIBMO business.
3,350

3,300

Customer count(Thousand)

-11

3,250

+25

3,200

3,194
3,150

CATV

Information andCommunications+36
Gas
LP gas+31

City gas+5ISP, etc.

-8

HikariCollaboration

+17

LIBMO

+16

3,299

Other+56

Broadcasting+11Communications

+20

M&A

+25

Aqua

-0

Mobile-12

Others+1

Large net increase of 106 thousand
3,100

FY2021
分類 1Results

エネルギー

情報通信CATV

その他* Rounded to the nearest thousand. Adjustment is made in Others for duplicate communication services for ISP and CATV carrier plans.

FY2022
分類 7Results3

Investing for growth afterstrengthening equity capital The equity ratio was 41.5%, remaining at a healthy level.
 The increase in cash flows from operating activities mainly reflects an increase in the collection of accounts
receivable and a decrease in payment of accounts payable.
 Free cash flow increased despite continuous investment for growth.

41.9

Equity ratio

41.5%

End of March 2022

44.1

Interest-bearing debt

End of March 2023

46.6billion yen

End of March 2022

20.8Operating cash flow

-14.6

21.2

billion yen

6.2

-14.2

billion yen

1.4

billion yen

FY03/23

7.0

billion yen

FY03/22

Interest-bearingdebt/EBITDA

billion yen

FY03/23

FY03/22

Free cash flow

billion yen

End of March 2023

FY03/22

Investment cash flow%

billion yen

FY03/23

1.5

times

FY03/22

times

FY03/23

4

Policy of paying constant and stable dividends
 In accordance with the Company's policy of paying constant and stable dividends, the annual dividend per share willbe 32 yen, the same as the year before
 The payout ratio will remain high.

64.8%

60

70.0%

60.0%

50

54.7%
46.7%

40

40.2%

52.9%

30

35.1%
20

10

47.2%
43.4%

12

12

12yen/shareyen/shareyen/share

66686666yen/share

44.6%

30

28

28

28

28

yen/shareyen/shareyen/shareyen/share

614

44.5%

yen/share

46.7%

32

50.0%

32

yen/share yen/share

40.0%

30.0%

14

14

16

14

1716

11

20.0%

14

11

14

14

14

15

16

0

10.0%

0.0%

FY2012FY2013

FY2014

Interim dividend

FY2015FY2016FY2017Year-end dividend

FY2018FY2019FY2020Commemorative dividendFY2021

Payout ratio

FY2022

5Appendix(1) Consolidated results(2) Sales by segment(3) Operating profit by segment(4) Consolidated financial indicators(5) Consolidated cash flows(6) Group customer count(7) EBTDA by business(1) Consolidated results(Millions of yen)

FY02018
Results

Sales

FY2019Results

FY2020Results

FY2021Results

FY2022
Results

191,600 195,952 196,726 210,691 230,190

Operating profit

13,057

14,224

15,226

15,794

14,919Recurring profit

13,25914,47915,312

15,907

13,289Net income

7,772

8,241

8,815

8,969

6,465

EPS (Yen)

59.36

62.93

67.32

68.49

49.41
7

(2) Sales by segment(Millions of yen)

FY02018
Results

FY2019Results

FY2020Results

FY2021Results

Gas andPetroleum

77,977

78,154

77,38086,770 102,528

Information andCommunications

51,23451,75350,73551,39853,945

CATV

30,511

31,38533,74532,57234,500

Building and Real
Estate20,09022,38323,177

27,78026,809

Aqua

7,004

7,416

7,622

7,629

7,529

Others

4,781

4,858

4,065

4,540

4,876

Total

FY2022
Results

191,600 195,952 196,726 210,691 230,190

8(3) Operating profit by segment(Millions of yen)

FY02018
Results

FY2019Results

FY2020Results

FY2021Results

FY2022
Results

Gas andPetroleum

6,815

7,452

8,988

8,933

7,384

Information andCommunications

3,827

4,226

4,344

4,721

5,270

CATV

4,953

5,024

5,205

5,852

6,184

Building and Real
Estate

1,615

2,116

2,065

2,480

2,043

762

674

573

325

533

Others,adjustments- 4,916- 5,271- 5,949- 6,518- 6,497

Total

13,057

14,224

15,226

15,794

14,919Aqua*Prior to elimination of indirect expenses

9(4) Consolidated financial indicators(Millions of yen)

FY02018
Results

FY2019Results

FY2020Results

FY2021Results

FY2022
Results

Total assets

167,606

169,972

178,974

184,473

193,339

Total liabilities

103,711

103,989

102,917

105,527

111,034

Total net assets

63,89465,982

76,05678,94682,304

Balance ofinterest-bearing
debt

50,604

48,27342,12844,14846,608

EBITDA

28,14829,651

31,02731,72631,144Equity ratio

37.4 %

38.0 %

41.6 %

41.9 %

41.5 %
10(5) Consolidated cash flows(Millions of yen)

Operating cashflowInvestment
cash flow
Free cash flow
Financing cashflow

FY02018
Results

FY2019Results

FY2020Results

FY2021Results

FY2022
Results

21,60522,53532,22320,80821,193- 12,443 - 12,131 - 17,068 - 14,592 - 14,152
9,161

10,40315,155

6,216

7,040

- 8,147 - 10,375-14,064- 6,905- 7,45911

(6) Group customer count(Thousands of customers)

FY02018
Results

FY2019Results

FY2020Results

FY2021Results

FY2022
Results

684

713

744785821

Previous ISP
model, etc.

419

389

395415407

Hikari Collaboration

327324

337

346

363

41

48

53

55

71

1,004

973

785

816

841

CATV

1,063

1,154

1,198

1,231

1,287

Aqua
Mobile

156
217

161
212

162
206

165
191

165
179

Security

1716

16

16

16

2,902

3,003

3,099

3,194

3,299

Information andCommunications

Gas (LP and city gas)

LIBMO
Subtotal

Total*The number of customers under a thousand are rounded to the nearest thousand. Information and Communications andCATV both offer communications services, and so their numbers are excluded from total figures.

12（７） EBITDA by business(Millions of yen)

EnergyInformation andCommunicationsForindividual
Forcorporate

FY02018
Results

FY2019Results

FY2020Results

FY2021Results

FY2022
Results

11,601

12,27913,651

13,76012,421

1,305

1,356

1,266

6,500

6,755

7,264

6,814

7,460

10,705

10,732

11,141

11,56512,088Construction, Equipment
and Real Estate

2,352

2,883

2,896

3,501

3,079

Aqua

1,305

1,284

1,213

1,018

1,206

28,14829,651

31,02731,72631,144CATV

EBITDA （All）* EBITDA = operating profit + depreciation (operating profit is before allocation of indirect costs, etc.)* Information and communication has been divided into those for individuals and those for corporations from the previous term. Before that, the numerical value of theentire information and communication is displayed.

13

The performance forecasts and forward-looking statements in these materials are based on
information currently available to the Company, and include potential risks and uncertainties.
Please be aware that due to changes in a variety of factors, actual results may differ
materially from the projections and other forward-looking statements in these materials.

Please contact us with any questions regarding these materials.
Public Relations & Investor Relations Office
TOKAI Holdings Corporation
Shiodome building 19th floor, 1-2-20, Kaigan, Minato-ku, Tokyo 105-0022, Japan
Phone: +81-(0)3 5404-2891
Fax: +81-(0)3-5404-2786
https://www.tokaiholdings.co.jp/english/
e-mail： overseas_IR@tokaigroup.co.jp