FY2023 March The 1Q Summary of Accounting Statements[Japanese Standards] (consolidated)
August 12, 2022
Tokyo
Code No.
6838
URL
https://www.tmex.co.jp
Representative(Title) President(Name) Toru Masuzawa
Contact person(Title) Finance & Accounting Manager (Name) Yasuhisa Masuda (TEL) 03-6435-6933
Quarterly report to be submitted：
August. 12, 2022
Dividends payment to be started：－
Preparation of supplementary explanation document for the quarterly accounting statement：No
Explanatory meeting for the quarterly accounting statement：No
Listed company nameTamagawa Holdings Co., Ltd.

Exchange(amount under. mil yen rounded off))

1.Consolidated performance of FY 2023 Mar.: 1Q (from Apr 1, 2022 to June 30, 2022)(1) Consolidated management result (cumulative)(% indication: change compared with the same quarter of the previous year)

1.Consolidated performance of FY 2022 Mar.: 1Q (from Apr 1, 2022 to June 30, 2022)(1) Consolidated management result (cumulative)(1) Consolidated management result (cumulative)

Sales amountmil.yenFY2023 Mar. 1Q
FY2022 Mar. 1Q(Note) Comprehensive
profit:460
1,940
FY2023 Mar. 1Q

Operating profit%

mil.yenQuarterly profit
belonging to theparent company’s
shareholders

Ordinary profit%

mil.yen

△76.3
△224
－
66.5
183
193.0
-％)
△122mil.yen (%mil.yen

△195
－
169
182.4
FY2022 Mar.1Q

Quarterly net profit per
share after issuable
share adjustmentyenyen△27.99
－
23.14
22.33

Quarterly net profit pershare
FY2023 Mar. 1Q
FY2022 Mar. 1Q(2) Consolidated financial status
Gross asset
FY2023 Mar. 1Q
FY2022 Mar.
(Reference)Own capital:

Net asset

mil.yen
8,166
8,359
FY2023 Mar. 1Q
5,268mil yen

Own capital ratio

mil.yen
5,278
5,442
FY2022 Mar.

%
64.5
65.0
5,432mil yen

2. Status of dividends
Annual dividends
End 1QFY2022 Mar.
FY2023 Mar.
FY2023 Mar. (forecast)(Note)End 2QEnd 3Q

Term end

Total

yen

yen

yen

yen

yen

－
－

0.00

－

7.00

7.00

0.00

－

5.00
～30.0
None
(Note)

5.00～30.0

Correction from the dividend forecast recently announced:

%

△164
－
132
120.9
133mil.yen ( 118.6％)

3. Consolidated performance forecast of FY 2023 Mar. (from Apr 1, 2022 to Mar. 31, 2023)(% indication: change compared with the same quarter of the previous year)

Sales amountmil. yen

Operating profit% mil. yen

Ordinary profit% mil. yen

Current net profit
belonging to theparent company’s
shareholders% mil. yen

5,019
65
3
△19.5
△82.7
△98.8
Full business year
～5,813～△6.8 ～166 ～△56.1 ～104 ～△68.4(Note) Correction from the performance forecast recently announced:
None (Note)

%

2
△98.2
～73 ～△50.7

Current net
profit per share
yen

0.5
～12.7

※ Notes(1) Material transfer of subsidiary in the current quarter consolidated cumulative period: None
(Specified subsidiary transfer with change of the consolidated scope)
New－(company name)

Excluded－(company name)(2) Application of accounting process specific to preparation of the quarterly consolidated accounting:None(3) Change of accounting policy, change of accounting estimate, redisplay of revision① Change of accounting policy for revision of accounting standard, etc.
： Yes
② Change of the accounting standard except for ①： None③ Change of the accounting estimate： None④ Redisplay of revision： None(Note)For details, see attached document P8. Quarterly Consolidated
Financial Statements and Main Notes (3) Notes to Quarterly Consolidated
Financial Statements (Changes in Accounting Policies)”.
(4) Number of shares issued (ordinary shares)① Number of term-end shares issued
5,927,900shares FY2022 Mar.
FY2023 Mar. 1Q(including own shares)
61,484shares FY2022 Mar.
FY2023 Mar. 1Q② Number of term-end own shares③ Average number of midterm shares
5,866,416shares FY2022 Mar.
FY2023 Mar. 1Q(quarterly accumulation)**

5,927,900shares
61,484shares
5,728,470shares

The quarterly summary of accounting statement is not subject to quarterly review by the certified accountant oraudit company.
Explanation on appropriate use of the performance forecast and other special notes
Description concerning the future of performance forecast, etc. described in this document is based on the information currently
obtained by us and the certain precondition judged as reasonable, and the actual performance, etc. may drastically vary due tovarious factors. Please see p.3 “Explanation on the Future Forecast Information of the Consolidated Performance Forecast,etc.” for assumption as the precondition of the performance forecast. and attention for usage of performance forecast.

1. Qualitative information concerning the financial statement of the current quarter(1) Explanation on the management result
Although the restriction on the economic activities was eased during the effect of Covid-19 pandemic, the Japanese
economics in the accumulative period is shifting with further confusion and uncertain situation of the future due to theimpacts on the global economics given by trend and perspective of the issues between US and China, uncertainty inthe policies, global semiconductor shortage, rise of oil price, etc. with the addition of the worsened situation between
Russia and Ukraine.
Under such economic circumstances, for the electronic and communication device business, in addition to sales
expansion business mainly in the 5G related market and public office and public service related market, through theefforts according to transition of the time including innovation and enhancement of the website with the purpose ofincrease of new clients’ inquiries as non-contact type sales (inside sales) due to Covid-19 pandemic, we have been also
dedicated to new markets and client exploration to acquire orders from new fields.
We have also worked on enhancement of proposal of our self-developed products by continuously promoting “effort
for high added-value products,” “expansion and exploration of business field” and “co-development with the company ofbusiness tie-up.”
As a result, newly explored clients and inquiries are increasing from new markets besides the existing analog highfrequency products, including optics related products used for various business-use wireless, digital signal processor,
etc. indispensable for high-speed signal processing, millimeter wave band and terahertz band products, etc. necessary
for wireless transmission of data of large volumes, where our active efforts have been made such as “academicindustrial cooperation research for Beyond 5G/6G.”
In the mobile communication field, since demands for the existing products is decreasing due to the impact ofcontainment of infrastructure investment, an increase of demand for infrastructure sharing is expected as the means
to expand the infrastructure by containing investment and we will aim for and engage in sales expansion of
infrastructure sharing related devices.
Proposals made remotely and in person for new clients related to mobile communication facilities for overseas havebeen restarted thanks to the gradual deregulation of various regulations regarding Coivd-19.
Demands for the optical transmission device, digital signal processor, etc. are increasing as business-use wireless,disaster measures, and surveillance system in the public filed. We will work on further demand expansion in this field.
In addition, we have joined the national project as “National Resilience” from the development stage to secure longterm and stable order receipt.
In addition, by enhancing proposals of self-developed products along with promotion of active business domain
expansion by introducing our self-developed technology for surveillance units targeting the Drone business market andjoining the private satellite business, we will continue the activities for profit expansion in order to establish the stablebusiness base.
In the renewable energy business, we have been working on development of small wind power plants by leveraging
the capital including project finance by sellout of power plants and banks, co-financing, sustainable financing. In thecurrent first quarter consolidated accumulative period, newly 6 units of small wind power plants were interconnected in
Hokkaido and Akita Prefectures. Additionally, thanks to the sustainable loan, 15 units of small wind power plants will
be newly developed in the areas with good wind condition in Hokkaido.
We will start reformation of various institutions and structures including organizations of the same business in aiming
for building of the one and only business model in the renewable energy business as the domestic company mainly
whose main business is owning of the small wind power plants since this term with the perspective of introduction of
IFRS (International Financial Reporting Standards) at the earliest time to have our stakeholders guarantee elaborate
profiting structure and growth. Simultaneously, we will aim to reduce business risk by securing risk dispersion,
profitability and maneuverability with development of the small wind power plants, each of which is small in order tocontribute to continuous reduction of greenhouse gas by accelerating development of new renewable energy powersource.
As the measures for the terms after next term, we will also start diversification of power source for the future including
participation in middle and large sized projects such as the project with the large wind power plant (1.984MW) in Nemuro
City, Hokkaido and in the project of the small waterpower plant in Flores Island, Nusa Tenggara, Indonesia.
As the result of the above, the amount of orders received in the current first quarter consolidated accumulative period
was 1,064 mil. yen (53.8% decrease compared with the same term of the previous year), and the sales amount was
460 mil. yen (76.3% decrease compared with the same term of the previous year). In terms of profit and loss,
operating loss was recorded as 224 mil. yen (Operating profit of 183 mil. yen in the same term of the previous year),and since 48 mil. yen of the exchange profit due to an impact of rapidly weakened yen and 45 mil. yen of the profit fromsellout of the fixed asset were recorded, ordinary loss was recorded as 195 mil. yen (Ordinary profit of 169 mil. yen in
the same term of the previous year), and the net loss of the quarter belonging to the parent company shareholders was
164 mil. yen (Quarter net profit belonging to the parent company of 132 mil. yen in the same term of the previous year).
In the electronic/ communication device business, as the demand is stably increasing and is expected to continuouslytransit steadily, we will continue to promote the sales expansion activities in the existing market. Furthermore, we will
promote active business domain expansion through participation in new markets. We have also started to receive
orders in the new market and will continue the activities for profit expansion in order to establish the stable businessbase as the entire electronic/communication device business. On the other hand, due to the inevitable impact ofworldwide difficulty in procuring the electronic parts and postponed sales which had been expected in the beginning of
the term, the business performance has been pushed down. We will continue to focus on resolution of difficulty inprocuring the parts.
Our group will actively conduct investment activities is actively considering not only overseas development of thegeneral environmental business but also the renewable energy business mainly in Southeast Asia in addition to thedomestic development, aiming for expansion of operation of the business. Our group will engage in CO2 reduction
and the measures for global warming will all employees of the group more than ever, and will actively disclose theinformation of ESG management for our stakeholders and take on an active challenge for achievement of SDGs goals.
Management result by segments is as follows.
a. Electronic/communication device businessFor electronic/communication device business, since advance ordering by the customers increased as themeasures against delayed delivery due to the worldwide supply shortage of the semiconductors and non-iron metalmaterials, the amount of orders received was 1,015 mil. yen (20.9% decrease compared with the same term of theprevious year).
For the sales amount, however, the impact cannot be avoided despite measures against the recent difficulty inprocuring the electronic components, and we could not achieve the plan made at the beginning of the period due
to delay of sales by delay of delivery of some components, resulting in 410 mil. yen (49.8% decrease compared tothe same period of the previous year) and the segment loss resulted in 93 mil. yen (134 mil. yen of segment profit
in the same period of the previous year).
b. Renewable energy business
The small wind power plants and low-pressure solar power plants in Hokkaido in our possession in the current
first quarter consolidated accumulative period are selling power in a good state. However, the sales amount andsegment profit have been decreasing due to sellout of the solar power plants in Hokkaido Noboribetsu City Solar
Power Plant in the previous term (June 2021). In the current consolidated accounting year, we are promoting
development of small wind power plants in Hokkaido and Tohoku region by leveraging the fund including cofinancing and sustainable loan.
As a result of the above, the amount of orders received resulted in 49 mil. yen (95.1% decrease compared withthe previous term), the sales amount of 49 mil. yen (95.6% decrease compared with the previous term), , andsegment loss of 23 mil. yen (148 mil. yen of segment profit in the same period of the previous year).

2.Consolidated financial statements and Notes(1)Consolidated balance sheet(In thousand yen)
FY 2022 (consolidated)(As of March 31,2022)

1Q FY 2023 (consolidated)(As of June 30,2022)

AssetsCurrent Assets
Cash and deposits
Notes and accounts receivable - trade

2,060,604
2,205,186

1,726,347
1,351,056－
781,903

40,0001,132,182

Work in proces
Raw materials and supplies

1,077,617
482,925

1,395,534
539,705

Advance payments - tradeOther

57,205
172,694

113,774
308,080

Merchandise and finished goods
Goods and products

Allowance for doubtful accounts△27,692△28,866

Total current assets

6,810,444

6,577,814

527,933

535,321

Accumulated depreciation△379,316△387,190

Buildings and structures, net

148,617

148,130

Non-current assets
Property, plant and equipment
Buildings and structures

Machinery, equipment and vehicles

386,774

386,774

Accumulated depreciation△189,356△193,231

197,417

193,543936,939

971,377△766,358△788,370

170,580

183,007

315,686

315,686

0

3,627

832,302

843,996

5,539
57,316

5,470
59,4870062,85664,958Investment securities
Long-term loans receivable

186,910
187,457

200,366
203,867

Deferred tax assets
Other

108,460
139,124

113,605
134,969

Allowance for doubtful accounts

621,953

652,808

Machinery and equipment, net
Tools, furniture and fixtures
Accumulated depreciation
Tools, furniture and fixtures, net
LandConstruction in progress
Total property, plant and equipment
Intangible assets
Goodwill
Software
Other
Total intangible assets
Investments and other assets

Total investments and other assets
Total non-current assets
Deferred assets
Share issuance cost

1,517,112

1,561,763

1,601,633

5,539

29,98525,203Development expenses
Business commencement expenses

12
1,843

－
1,521

Total deferred assets

31,841

26,7258,359,398

8,166,303

Total assets

(In thousand yen)
FY 2022 (consolidated)(As of March 31,2022)

1Q FY 2023 (consolidated)(As of June 30,2022)

Liabilities
Current liabilities
Notes and accounts payable - trade
Short-term loans payable

700,884
146,655

579,197
145,731

Current portion of long-term loans payable
Lease obligations

267,873
4,965

220,295
4,764

Accounts payable - other
Income taxes payable

211,349
67,927200,847
9,746

Advances received
Provision for bonuses

42,78236,70929,472
24,450

Provision for product warranties
Other

100,980
55,986

6,628
52,071

Total current liabilities

150,038

55,5901,786,153

1,328,796

corporate bond

100,000

100,000

Long-term loans payable
Lease obligations

584,527
14,302

1,017,395
12,439Retirement benefit liability
Asset retirement obligations

255,023
15,243

257,422
13,083

Other

161,634

158,520

1,130,731

1,558,862

2,916,884

2,887,658

Capital stock
Capital surplus

2,485,241
1,683,419

2,485,241
1,642,354

Retained earnings
Treasury shares

1,273,405

1,109,202△61,373△61,373

Total shareholders' equity

5,380,693

5,175,425

Non-current liabilities
Fixed liabilities

Total non-current liabilities
Total liabilities
Net assets
Shareholders' equity

Accumulated other comprehensive income
Valuation difference on available-for-sale securities

15,354

3,494

Foreign currency translation adjustment

36,28589,544

Accumulated other comprehensive income

51,63993,038

10,180

10,1805,442,513

5,278,645

8,359,398

8,166,303

Share acquisition rights
Total net assets
Total liabilities and net assets

(2) Quarterly consolidated statements of income and Quarterly consolidated statements of comprehensive income
Quarterly
Consolidated statements of income
Consolidates first quarter period(In thousand yen)
FY 2022 (consolidated)(As of March 31,2022)

1Q FY 2023 (consolidated)(As of June 30,2022)

Net Sales
Cost of sales

1,940,650
1,437,979

460,050
357,617Gross profit

502,671

102,432

Selling, general and administrative expenses

318,735

326,656

Operating profit (loss (△))

183,935△224,223

576

570

Insurance income

36
1,563

41
764

Gain on forgiveness of debts
Other

－
4,962

48,387
4,713

Total non-operating income

7,138

54,477

11,374

5,377

1,996

－

938

969

5,476

5,193

－

9,400

169,443△195,100Gain on sale of fixed assets－

45,000Total extraordinary profit－

45,000－8,094

Non-operating income
Interest income
Dividend income

Non-operating expenses
Interest expenses
Foreign exchange losses
Share of loss of entities accounted for using equity
methodOther
Total non-operating expenses
Ordinary profit (loss (△))
special profit

Extraordinary loss
office relocation costs
Total extraordinary loss
Profit (loss (△)) before income taxes
Income taxes - current
Income taxes - deferred

－

8,094

169,443△158,195

4,436

6,402

32,422△395

Total income taxes

36,858

6,007

Profit (loss (△))
Profit (loss (△)) attributable to non-controlling interests

132,584△164,202

132,584△164,202

Quarterly consolidated statements of comprehensive income
Consolidated first quarter period(In thousand yen)
FY 2022 (consolidated)(As of March 31,2022)
Profit (loss (△))
Accumulated other comprehensive income
Valuation difference on available-for-sale securities
Foreign currency translation adjustment
Total other comprehensive income

1Q FY 2023 (consolidated)(As of June 30,2022)

132,584△164,202

1,075△11,860
53,259△147
928

41,398Comprehensive income

133,512△122,803（breakdown）
Comprehensive income attributable to owners of parent

133,512△122,803

(3) Notes for the quarterly consolidated financial statements(Notes for precondition of continuing company): NA
Ⅰ. Current 1Q consolidated cumulative period (from April 1, 2021 to June 30, 2021)
Information concerning the sales amount and the amount of profit or loss per report segment(unit: thousand yen)
Report segment
Electronic /Renewablecommunicationenergy businessdevice business
Sales amount

Adjusted
amount(Note) 1

Total

Amount recorded inquarterly consolidated profit
and loss statement (Note) 2

276,767－

276,767－

276,767

Mobile communication
infrastructure

256,755－

256,755－

256,755

Government office

144,768－

144,768－

144,768

Public project

139,598－

139,598－

139,598

FA・Measurement・
Other

－

1,021,424

1,021,424－

1,021,424

Solar power plant－

99,30299,302－99,302Wind power plant

817,890

1,120,727

1,938,617－

1,938,617

－

2,032

2,032

－

2,032

817,890

1,122,760

1,940,650－

1,940,650

－

－

－

－

－

817,890

1,122,760

1,940,650－

1,940,650

Total

134,430

148,729

283,160△99,224

183,935

Segment profit

276,767－

276,767－

276,767

Revenue from Contracts
with Customers
Other profit
Sales amount to externalclients
Between segments
Internal sales or transfer
amount(Note) 1. Adjusted amount of segment profit △99,224 thousand yen is △99,224 thousand yen of the groupmanagement department cost which has not been distributed to the business segment.
2. Segment profit matches the operating profit in the quarter consolidated profit and loss statement.

Ⅱ. Current 1Q consolidated cumulative period (from April 1, 2022 to June 30, 2022)
Information concerning the sales amount and the amount of profit or loss per report segment
Report segment

Sales amount(unit: thousand yen)Amount recorded inquarterly consolidated
profit and loss statement(Note) 2

Adjusted
amount(Note) 1

141,555－

141,555－

141,555

114,059－

114,059－

114,059

Government office

95,055－

95,055－

95,055

Public project

59,737－59,737－59,737－

26,49526,495－26,495

Solar power plant－

20,355

20,355－

20,355Wind power plant

410,408

46,850457,259－

457,259

－

2,790

2,790

－

2,790

410,408

49,641

460,050－

460,050

－

－

－

－

－

410,408

49,641

460,050－

460,050△93,995△23,623△117,619△106,604△224,223

Mobile communication
infrastructure

FA ・ Measurement ・
Other

Revenue from Contracts
with Customers
Other profit
Sales amount to externalclients
Between segments
Internal sales or transfer
amount
Total
Segment profit(Note) 1. Adjusted amount of segment loss △106,604 thousand yen is △106,604 thousand yen of the groupmanagement department cost which has not been distributed to the business segment.
2. Segment loss matches the operating loss in the quarter consolidated profit and loss statement.
(Profit acknowledgement related) Information dissolving the profits occurring from the agreement with client is as
described in “Notes (segment information, etc.).”