May 10, 2022
To whom it may concern
Company Name:TOKAI Holdings Corporation

Representative Name:

Katsuhiko

Tokita,President & CEO(Code No. 3167, TSE Prime Market)
Contact:

Yoshihiro Taniguchi, Public Relations andInvestor Relations Office
TEL: +81-(0)3-5404-2891

Financial Results for the Fiscal Year Ended March 31, 2022
Achieved sales growth for the fifth consecutive fiscal year, a new record high operating profit
for the fourth consecutive fiscal year, dividend growth for the second consecutive fiscal year
and an expanded customer base
TOKAI Holdings Corporation (hereinafter, “the Company”) today announced its financial results for the fiscal
year ended March 31, 2022 (from April 1, 2021 to March 31, 2022 ).

1. Customer count increased by 95 thousand during the year to expand earnings base
The Company announced the fourth Medium-Term Management Plan, Innovation Plan 2024 “Design the
Future Life” ("IP24”*1) in May last year. The plan covers a period from this fiscal year to the fiscal year ending
March 31, 2025.
A key strategy in IP24 is "LNG strategy." The Company will expand its business areas at the Local level(expansion of share in existing areas), at the National level (expansion of new business areas in Japan), and at the
Global level (business development overseas) and will achieve growth in the number of customers throughselection and concentration, focusing on profitability. To achieve 3.56 million customers at the end of the fiscal
year ending March 31, 2025, the Company will pursue an aggressive strategy to expand its earnings base.
As a result of operating activities to attract new customers for the fiscal year under review while taking
full measures to prevent COVID-19 infections, the Company recorded 3,194 thousand continuing customers
as of March 31, 2022. This reflects an increase by 94,937 such customers from 3,099 thousand at the
beginning of the fiscal year, including M&A-related 8,253.
With net increases of 40,408 (LP and city) gas customers (31,206 in the previous fiscal year), 33,840
CATV customers (43,520, including M&A-related 8,253 customers in the previous fiscal year), and 2,836
Aqua (bottled drinking water delivery) customers (1,385 in the previous year), we further expanded ourearnings base.

2. Sales and profit rose to new record highs, far beyond the forecast levels
For the fiscal year under review, net sales reached 210.7 billion yen, up 14.0 billion yen, or 7.1% year on
year, to exceed the 200 billion yen mark for the first time, an increase for the fifth consecutive fiscal year
and a new record high for the fourth consecutive fiscal year. This resulted chiefly from growth in energy,
CATV and other sales after increases in the number of customers for each, rises in selling prices linked with

energy purchase prices, the expansion of the stock business for corporate clients in the Information andCommunication business and the effect of M&A in in the Construction, Equipment, and Real Estate business.
There was, however, a decline in net sales due to application of the Accounting Standard for Revenue Recognition.
On the profit front, operating profit was 15.8 billion yen, up 0.6 billion yen or 3.7% year on year, to set a
new record high for the fourth consecutive fiscal year. A rise in expenses for attracting LP gas and Aqua
customers following activities to do so at a higher pace than in the previous fiscal year was offset mainly by profit
growth after an increase in the number of monthly fee-paying customers that accompanied a higher customer
count and a profit hike in the Information and Communication business for corporate clients.
Net sales and all the profit and income figures ended higher than their respective forecast levels at thestart of the fiscal year.
(Millions of yen)
FY03/22 results

FY03/21 results(April 1, 2021 to March 31,
2022)(April 1, 2020 to March 31,
2021)(Announced on May 11, 2021)

sales

210,691

196,726

207,000+13,964+3,691

Operating profit

15,794

15,226

15,240+567+554

Recurring profit

15,907

15,312

15,320+595+587

Net income

8,969

8,815

8,830

+154

+139

EPS (yen)

68.49

67.32

67.42

+1.17

+1.07

Net

Forecast

Change fromforecast

YoY

3. Dividends increased for the second consecutive fiscal year to expand shareholder returns
The Company defines the return of profit to shareholders as one of the key management issues and has a basic
policy of paying stable and constant dividends.
The financial results for the fiscal year under review saw sales rise for the fifth consecutive fiscal year, record
highs at all levels of profit for the fourth consecutive fiscal year and higher figures than initially forecast.
As announced earlier today, we will increase the year-end dividend per share by 2 yen from the initiallyforecast level of 15 yen, to 17 yen. That means total annual dividends of 32 yen per share, representing dividend
growth for the second consecutive fiscal year.
FY03/22

FY03/21

FY03/20(Current fiscal year)(Previous fiscal year)(Two years earlier)Interim (end of Q2)

15.00 yen

14.00 yen

14.00 yenY ed

17.00 yen

16.00 yen

14.00 yen

Annual dividend per share

32.00 yen

30.00 yen

28.00 yen

Total dividend amount

4,203 million yen

3,940 million yen

3,678 million yen

Consolidated payout ratio

46.7％

44.6％

44.5％

Consolidated DOE

5.5％

5.6％

5.8％

a

r -

e

n

For details, please see the attached materials, entitled “Financial Results for the Fiscal Year Ended March 31, 2022.”
For the Company's earnings announcement for the fiscal year ended March 31, 2022, please see the following URL:
https://www.tokaiholdings.co.jp/english/ir/library/earnings.html*1 For the details of the fourth Medium-Term Management Plan “IP24,” please see the following URL:
https://www.tokaiholdings.co.jp/english/ir/management/manageplan.html

Financial Results for the Fiscal Year
Ended March 31, 2022
TOKAI Holdings Corporation(Code No. 3167)
May 10, 2022

Steady expansion of customer base in core businesses◎ The number of continuing customers as of the end of the fiscal year under review stood at 3,194 thousand, an increase of 9thousand from 3,099 thousand at the beginning of the fiscal year.
◎ We further expanded our earnings base in the gas business, the main business, CATV business and Aqua business.

Gas (LP and city)
45+40(Thousand)

CATV
+44

850

40

830
40
810

35

+31

785

30
25

Aqua

+32

1,231

30
790
77020

+24

+5

1,3006

+34

170

+3

4
1,250
2

+1

166

165

0
1,200

75010

168

164

-2
162

20

730

1,150-4

0
15

710

744

10

-10
690

713

-6
1,100

1,154

-20
670

5
0
FY2019(two years earlier)

160

1,198

FY2020(one year earlier)

Number at end of fiscal year

FY2021(under review)

162
158

-8

650
-30

Net increase

161

1,050
-10
FY2019FY2020(two years earlier) (one year earlier)

Number at end of fiscal year

FY2021(under review)

156
FY2019(two years earlier)

Net increase* Rounded to the nearest thousand* Net increases exclude customers added through M&A.
* The net increase in CATV customers for FY2020 (one year earlier) includes 8 thousand resulting from an arrangement through M&A.

FY2020(one year earlier)

Number at end of fiscal year

FY2021(under review)

Net increase1Massive growth in monthly fee-paying customers
in core businesses◎ Increasing customers constituting our earnings base leads to a sales rise based on growth of monthly fee-paying customers.

Number of monthly fee-paying customers(Thousand)
3,476

2,050

5,881
5,809

3,400

470 thousand(up 15.5%)

5,725

2,024

5,644

3,327

2,007

730 thousand(up 14.1%)

3,251

90 thousand(up 4.8%)

3,180
5,344

3,126

5,269

3,063

5,210

1,963
1,957 1,956 1,955

5,156

3,010

1,944

1H

2H

1H

FY20182H

FY20191H

2H

FY2020

1H

2H

FY2021

1H

2H

FY2018LP Gas Business

1H

2H

FY20191H

2H

1H

FY20202H

FY2021

1H

2H

1H

FY2018CATV Business

2H

FY20191H

2H

1H

FY20202H

FY2021

Hikari Collaboration

2

Sales and all profit and income figures renewed record high◎ Net sales renewed record high for the fourth consecutive fiscal year and exceeded the 200 billion yen mark. This resulted
chiefly from an increase in customers, rises in selling prices linked with energy purchase prices, expansion of theInformation and Communication business for corporate clients and the effect of M&A in the Construction, Equipment, andReal Estate business despite a downward impact from the application of the Accounting Standard for Revenue Recognition.
◎ Profit and income figures set new record highs for the fourth consecutive fiscal year. A rise in expenses for attracting
customers was covered by profit growth after an increase in the number of monthly fee-paying customers that accompanieda higher customer count and a profit hike in the Information and Communication business for corporate clients.
◎ Net sales and all the profit and income figures ended higher than their respective forecasted levels.
(Net sales and profit: million yen; EPS: yen)

YoY
FY03/22 results FY03/21 results(FY2021)(FY2020)

Forecast
ChangeChange from forecast% change(%)

Change% change(%)

Net sales

210,691

196,726

207,000+13,964+7.1+3,691+1.8

Operating profit

15,794

15,226

15,240

+567

+3.7

+554

+3.6

Recurring profit

15,907

15,312

15,320

+595

+3.9

+587

+3.8

Net income

8,969

8,815

8,830

+154

+1.7

+139

+1.6

EPS

68.49

67.32

67.42

+1.17

+1.7

+1.07

+1.6

3

Year-on-year comparison in full-year operating profit by segment◎ Energy, CATV and Aqua profits surged following increases in customers. Information and Communication for corporateclients was also strong.
◎ Energy, CATV and Aqua gained customers at a higher pace than in the previous fiscal year by spending money.
◎ Expenses for developing an environment for workstyle reforms were recorded as part of adjustments.

Operating profit(billion yen)
160.0

3.10

150.0

-0.06

Information andCommunications

EnergyIncrease incustomers
Acquisition
costs

15.79

+0.38

15.22

140.0

millioncustomers

-0.57

+0.65

millioncustomers

3.19

-0.25

+0.41

+1.21
-1.17

For corporate+0.37
clients
LIBMO

130.0

Other costs

-0.42

120.0

Temperature-0.46
and others
Purchase
+0.78
costs

CATV
Increase incustomers

+0.65

+0.17

For individual-0.02
clients
Other costs

Construction,
Equipment, andReal Estate
Renovation-0.05

Building
facilities

+0.46

Aqua
Increase in+0.12
customers
Acquisition
-0.37
costs

Others andadjustments
Wedding
ceremonies
and others+0.14

Adjustments

-0.71

-0.14

110.0

FY2020
分類 1
Results

エネルギー

情報通信

建築不動産

CATV

アクア

FY2021
分類 7
Results

その他調整額4* Changes in operating profit disregard allocation of indirect costs.

Investing for growth after strengthening equity capital◎ The equity ratio continued to rise by 0.3 percentage points.
◎ The decline in cash flows from operating activities resulted from changes in working capital and others. The cash creation
potential was not changed.
◎ The ratio of interest-bearing liabilities to EBITDA remained unchanged from the previous year's level.

Equity ratio

41.6

%

End of March 2021

Interest bearing liabilities

42.1

billion yen

End of March 2021

Cash flows from operating activities

32.2

billion yen

FY03/21

EBITDA

31.0

billion yen

FY03/21

Cash flows from investing activities-17.1

billion yen

FY03/21

Free cash flows

15.2

billion yen

FY03/21

Interest-bearing debt/EBITDA

1.4
FY03/21

➡

41.9

➡

44.1

➡

20.8

➡

31.7

%

End of March 2022
billion yen

End of March 2022
billion yen

FY03/22billion yen

FY03/22➡ -14.6
6.2➡

billion yen

FY03/22billion yen

FY03/22➡

1.4
FY03/22

5

Dividends increased for the second consecutive fiscal year to
expand shareholder returns◎ Given that profits renewed record high for the fourth consecutive fiscal year to exceed forecasts, the year-end dividend pershare will be increased by 2 yen from the initially forecasted level of 15 yen to 17 yen. Accordingly, total annual dividends willbe 32 yen per share.
◎ The payout ratio will remain high.

54.7%

60

50

47.2%

46.7%

52.9%

44.2%

44.5%

43.4%

46.7%

44.6%

50.0%

40.2%
40.0%

40

32 yen/share

35.1%
28 yen/share 28 yen/share 28 yen/share 28 yen/share

30

6
20

12 yen/share 12 yen/share 12 yen/share 12 yen/share
10

14 yen/share

6

6

6

6

8

6

6

6

6

6

14

14

14

30 yen/share

30.0%

17

16

20.0%

11
10.0%

11

14

14

14

15

14

0

0.0%

FY2011FY2012FY2013

Interim dividend

FY2014FY2015Year-end dividend

FY2016FY2017FY2018FY2019Commemorative dividend

FY2020

FY2021

Payout ratio

6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)

FY2017
Results

Sales

FY02018
Results

FY2019Results

FY2020Results

FY2021Results

186,069 191,600 195,952 196,726 210,691

Operating profit

10,971

13,057

14,224

15,226

15,794

Recurring profit

11,191

13,25914,47915,312

15,907

Net income

6,620

7,772

8,241

8,815

8,969

EPS (Yen)

51.19

59.36

62.93

67.32

68.49
9

(2) Sales by segment(Millions of yen)

FY2017
Results

FY02018
Results

FY2019Results

FY2020Results

FY2021Results

Gas andPetroleum

76,073

77,977

78,154

77,38086,770Information andCommunications

50,894

51,23451,75350,73551,398CATV

28,38630,511

31,38533,74532,572

Building and Real
Estate19,807

20,09022,38323,177

27,780

Aqua

6,200

7,004

7,416

7,622

7,629

Others

4,706

4,781

4,858

4,065

4,540

Total

186,069 191,600 195,952 196,726 210,691

10(3) Operating profit by segment(Millions of yen)

FY2017
Results

FY02018
Results

FY2019Results

FY2020Results

FY2021Results

Gas andPetroleum

7,364

6,815

7,452

8,988

8,933

Information andCommunications

3,174

3,827

4,226

4,344

4,721

CATV

3,554

4,953

5,024

5,205

5,852

Building and Real
Estate

1,330

1,615

2,116

2,065

2,480

246

762

674

573

325

Others,adjustments- 4,699- 4,916- 5,271- 5,949- 6,518

Total

10,971

13,057

14,224

15,226

15,794

Aqua*Prior to elimination of indirect expenses

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

FY2017
Results

FY02018
Results

FY2019Results

FY2020Results

FY2021Results

Total assets

165,993

167,606

169,972

178,974

184,473

Total liabilities

104,543

103,711

103,989

102,917

105,527

Total net assets

61,45063,89465,982

76,05678,946

Balance ofinterest-bearing
debt

50,98050,604

48,27342,12844,148

EBITDA

26,31828,14829,651

31,02731,726Equity ratio

36.3 %

37.4 %

38.0 %

41.6 %

41.9 %
12(5) Consolidated cash flows(Millions of yen)

FY2017
Results

FY02018
Results

FY2019Results

FY2020Results

FY2021Results

Operating cashflow

20,90921,60522,53532,22320,808Investment
cash flow- 11,488 - 12,443 - 12,131 - 17,068 - 14,592

Free cash flow

9,421

9,161

10,40315,155

6,216

Financing cashflow

- 9,527- 8,147 - 10,375-14,064- 6,90513

(6) Group customer count(Thousands of customers)

FY2017
Results

FY02018
Results

FY2019Results

FY2020Results

FY2021Results

661

684

713

744

785

Previous ISP
model, etc.

465

419

389

395

415

Hikari Collaboration

323

327

324

337

346

29

41

48

53

55

1,044

1,004

973

785

816

CATV

1,032

1,063

1,154

1,198

1,231

Aqua
Mobile

146
227

156
217

161
212

162
206

165
191

Security

17

17

16

16

16

2,876

2,902

3,003

3,099

3,194

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 and
CATV both offer communications services, and so their numbers are excluded from total figures.

14（７） EBITDA by business(Millions of yen)

EnergyInformation andCommunicationsFor
individualFor
corporate

FY2017
Results

FY02018
Results

FY2019Results

FY2020Results

FY2021Results

12,07011,601

12,27913,651

13,760

1,305

1,356

6,500

6,755

5,933

6,814

7,460

CATV

9,798

10,705

10,732

11,141

11,565Construction, Equipment
and Real Estate

2,077

2,352

2,883

2,896

3,501

792

1,305

1,284

1,213

1,018

26,31828,14829,651

31,02731,726Aqua
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.

15

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.
Investor Relations Office
TOKAI Holdings Corporation
Hamarikyu Inter City 11th floor, 1-9-1, 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