Nine-Month Consolidated Financial Reportfor the Fiscal Year Ending October 31, 2024 (Japan GAAP)
Listed Company Name
Company Code Number
Listing Exchanges
URL
Representative
Inquiries

September 6, 2024
Kanamoto Co., Ltd.
9678
Tokyo Stock Exchange, Sapporo Stock Exchange
https://www.kanamoto.co.jp
Tetsuo Kanamoto
President and CEO
Shun Hirose
Director & Corporate Officer, Division Manager,
Accounting Division
TEL 81-11-209-1600

Scheduled date for commencement of dividend payments
Preparation of Settlement Supplementary Explanatory Materials
Earnings Briefings

–
No
No

(Numbers less than one million yen have been rounded down)

1.

Consolidated Operating Results for the Nine-Month Period of the Fiscal Year Ending October
31, 2024(November 1, 2023 – July 31, 2024)(1) Consolidated Operating Results (Cumulative)
Net Sales
Millions of yen(Percentages show the change from the prior year)

Operating Profit%

Millions of yen

Profit Attributable to
Owners of Parent

Ordinary Profit%

Millions of yen%

Millions of yen%

Fiscal year ending
October 31, 2024:
Third quarter

151,861

4.6

9,029

16.4

9,429

15.7

5,432

28.7

Fiscal year ended
October 31, 2023:
Third quarter

145,155

4.6

7,755

-15.4

8,152

-15.8

4,220

-28.8

(Note) Comprehensive income (millions of yen)
Fiscal year ending October 31, 2024, Third quarter
Fiscal year ended October 31, 2023, Third quarter

Earnings per
Share

8,165 (44.3%)
5,659 (-30.2%)

Earnings per
Share on a Fully
Diluted Basis

Yen

Yen

Fiscal year ending
October 31, 2024:
Third quarter

152.70–Fiscal year ended
October 31, 2023:
Third quarter

116.21–(2) Consolidated Financial Position
Total Assets

Net Assets

Equity Ratio

Millions of yen

Millions of yen%

As of July 31, 2024

323,266

147,14142.5

As of October 31,
2023

316,440

143,677

42.5(Reference) Equity (millions of yen)
As of July 31, 2024
As of October 31, 2023

137,441
134,495

 1 

2.

Dividends
Annual Dividends per Share
End offirst quarterEnd ofsecond quarter

Yen

End ofthird quarter

Yen

Year-end

Yen

Fiscal year ended October 31,
2023

–

35.00

–

Fiscal year ending October 31,
2024

–

35.00

–

Full-year
Yen

Fiscal year ending October 31,
2024 (projected)

Yen

40.00

75.00

40.00

75.00

(Note) Has the Company revised its most recently released dividend projection?: No3.

Projected Consolidated Operating Results for the Fiscal Year Ending October 31, 2024
(November 1, 2023 – October 31, 2024)(Percentages show the change from the prior year)
Net Sales
Millions of yen

Full year

205,300

Operating Profit% Millions of yen

4.0

14,100

Profit Attributable to
Owners of Parent

Ordinary Profit% Millions of yen

17.9

14,300% Millions of yen

14.5

8,300

Earnings per
Share

%

23.5

Yen

233.69(Note) Has the Company revised its most recently released projected consolidated operating results during the quarter?: No 2 Notes(1) Significant changes in the scope of consolidation during the period under review: No(2) Application of special accounting method in the preparation of quarterly consolidated financial
statements: No(3) Changes in accounting principles, changes in accounting estimates and retrospective restatements(a) Changes in accounting policy in conjunction with revision of accounting standards: No(b) Changes other than the above: No(c) Changes in accounting estimates: No(d) Retrospective restatements: No(4) Number of shares issued (common shares)(a) Number of shares issued at the end of the period (including treasury shares)
As of July 31, 2024:
38,742,241 shares
As of October 31, 2023:
38,742,241 shares(b) Number of treasury shares at the end of the period
As of July 31, 2024:
3,402,310 shares
As of October 31, 2023:
2,681,810 shares(c) Average number of shares outstanding during the period (cumulative from the beginning of the fiscal
year)
Fiscal year ending October 31, 2024: Third quarter:
35,576,742 sharesFiscal year ended October 31, 2023: Third quarter:
36,319,334 shares
Note: Review of the Japanese-language originals of the attached quarterly consolidated financial statements
by certified public accountants or independent account auditors: No
Note: Explanation concerning appropriate use of the projected operating results and other items to note
(Note concerning forward-looking statements)
The forward-looking statements, including business results forecasts, contained in these materials are
based on information currently available to the Company and on certain assumptions deemed to bereasonable. The Company does not guarantee the achievement of the projections. Actual operating
results may differ substantially due to a number of factors. Please refer to “1. Overview of Operating
Results and Others (3) Explanation Concerning Future Forecasts Including Projected Consolidated
Operating Results” on page 6 of the Attachments for the conditions used as assumptions for the
projected operating results and matters to note before using the projected operating results.

 3 

○Attachments Table of Contents
1. Overview of Operating Results and Others ..................................................................................5(1) Overview of Operating Results and Others for the Nine-Month Period of the Fiscal Year Ending
October 31, 2024...............................................................................................................5(2) Overview of Financial Position for the Nine-Month Period of the Fiscal Year Ending October 31,
2024 ................................................................................................................................ 5(3) Explanation Concerning Future Forecasts Including Projected Consolidated Operating Results ....... 6
2. Quarterly Consolidated Financial Statements and Significant Notes Thereto .....................................7(1) Quarterly Consolidated Balance Sheets .................................................................................7(2) Quarterly Consolidated Statements of Income and Quarterly Consolidated Statements ofComprehensive Income ......................................................................................................9(Quarterly Consolidated Statements of Income) ..................................................................9(Consolidated Nine-Month Period Ended July 31) ..............................................................9(Quarterly Consolidated Statements of Comprehensive Income) .......................................... 10(Consolidated Nine-Month Period Ended July 31) ............................................................ 10(3) Notes Concerning Quarterly Consolidated Financial Statements .............................................. 11(Notes on Segment Information, Etc.).............................................................................. 11(Note on Significant Changes to Shareholders’ Equity) ....................................................... 13(Notes Relating to the Going Concern Assumption) ............................................................ 13(Notes to Quarterly Consolidated Statements of Cash Flows) ............................................... 13

 4 

1. Overview of Operating Results and Others(1) Overview of Operating Results and Others for the Nine-Month Period of the Fiscal YearEnding October 31, 2024
During the nine-month period under review, Japan’s economy showed a gradual recovery due to an
improvement in the employment and income environment resulting from a recovery in corporate earnings
and the effects of various government policies, etc. However, the outlook remained uncertain due tofluctuations in financial and capital markets and downside risks in overseas economies.
In the construction industry in which the Group is involved, public sector investment remained firm,
partly due to the effects of supplementary budgets, and private sector construction investment showedsigns of picking up, but we need to keep a close eye on soaring prices of construction materials, risinglabor costs, and tight labor supply and demand due to a shrinking workforce.
In such circumstances, as the Medium-Term Corporate Management Plan “Creative 60” (FY2020-2024)
enters its final year, the Group analyzed and reviewed trends to date, promoted strategies aimed at
improving profitability, including the appropriate allocation of rental equipment after ascertaining trends
in demand, as well as the selection and concentration of management resources. In addition, we focusedon establishing a structure to form the foundation for the next Medium-Term Corporate Management Plan.
For the nine-month period under review, the Group reported net sales of ￥151,861 million, an increaseof 4.6% year on year. Operating profit was ￥9,029 million, an increase of 16.4% year on year, ordinary
profit was ￥9,429 million, an increase of 15.7% year on year, and profit attributable to owners of parent
was ￥5,432 million, an increase of 28.7% year on year.
Results for each of the Company’s business segments were as follows.
< Business related to the Construction Equipment Rental Division >In the construction-related business, which is Kanamoto’s core business, in addition to transportation
infrastructure development and disaster countermeasure construction, we continue to work on large-scale
projects in Hokkaido and Kyushu areas, where we have a large market share, such as defense-related
work related to national security.
In addition, the Group is working to achieve its goals by strengthening its ability to respond to regions
where there is expected to be significant construction demand, improving its profit structure by optimizing
rental unit prices, and increasing asset utilization rates.
Used construction equipment sales decreased 2.8% year on year, as Kanamoto proceeded with sales inaccordance with the initial plan while carrying out the extension of the rental equipment operation period.
Reflecting these factors, the Group posted net sales in the construction-related businesses of ￥135,735
million, an increase of 3.5% year on year, and operating profit of ￥7,937 million, an increase of 20.3%
year on year.
< Other businesses >In the Group’s other businesses, net sales was ￥16,126 million, an increase of 14.8% year on year, andoperating profit was ￥689 million, a decrease of 11.4% year on year, as the business related to the SteelSales Division as well as the business related to the Information Products Division and welfare-related
business performed favorably.
(2) Overview of Financial Position for the Nine-Month Period of the Fiscal Year Ending October
31, 2024
Assets, liabilities, and net assets
Total assets at the end of the third quarter under review stood at ￥323,266 million, an increase of ￥6,826
million compared with the end of the prior fiscal year. This was primarily due to increases of ￥8,229 million
in cash and deposits, ￥2,672 million in rental equipment, ￥1,563 million in investment securities, while 5 

notes and accounts receivable - trade, and contract assets decreased by ￥1,844 million and electronicallyrecorded monetary claims - operating decreased by ￥1,896 million.
Total liabilities stood at ￥176,125 million, an increase of ￥3,361 million compared with the end of theprior fiscal year. This was primarily due to increases of ￥6,230 million in short-term borrowings and ￥2,867
million in long-term borrowings, while notes and accounts payable - trade decreased by ￥3,909 million
and income taxes payable decreased by ￥1,587 million.
Total net assets stood at ￥147,141 million, an increase of ￥3,464 million compared with the end of theprior fiscal year. This mainly reflects the posting of profit attributable to owners of parent of ￥5,432 million
and increases of ￥1,105 million in valuation difference on available-for-sale securities and ￥1,114 million
in foreign currency translation adjustment. Meanwhile, there were decreases of ￥2,679 million due todividends of surplus and ￥2,000 million due to purchase of treasury shares.
As a result, equity ratio was 42.5% compared with 42.5% at the end of the prior fiscal year.
(3) Explanation Concerning Future Forecasts Including Projected Consolidated Operating
Results
There is no change to the projected consolidated operating results announced in the Financial
Statements Bulletin for the Fiscal Year Ended October 31, 2023 (Japan GAAP) on December 8, 2023.

 6 

2. Quarterly Consolidated Financial Statements and Significant Notes Thereto(1) Quarterly Consolidated Balance Sheets(Millions of yen)
As of October 31, 2023

As of July 31, 2024

45,61153,84041,04839,204

11,474

9,578

1,442
1,574
15,962
3,453-269
120,298

1,820
1,712
15,745
3,244-172
124,973

308,318-197,632
110,685
47,935-27,522
20,413
10,550-8,798321,172-207,814
113,358
48,997-28,591
20,405
10,834-9,083

1,752

1,750

39,511
4,091-2,476
1,614
173,977

39,561
3,878-2,633
1,245
176,320

3,163
1,244
1,369
5,778

2,834
1,306
1,184
5,326

10,637
2,013
1,702
2,508
-476
16,386
196,141
316,440

12,201
1,246
1,109
2,541
-453
16,645
198,292
323,266

AssetsCurrent assets
Cash and deposits
Notes and accounts receivable - trade,and contract assets
Electronically recorded monetary claims operating
Merchandise and finished goods
Raw materials and supplies
Construction machine parts
Other
Allowance for doubtful accounts
Total current assets
Non-current assets
Property, plant and equipment
Rental equipment
Accumulated depreciation
Rental equipment, net
Buildings and structures
Accumulated depreciation
Buildings and structures, net
Machinery, equipment and vehicles
Accumulated depreciation
Machinery, equipment and vehicles,
net
Land
Other
Accumulated depreciation
Other, net
Total property, plant and equipment
Intangible assets
Goodwill
Customer relationship
Other
Total intangible assets
Investments and other assets
Investment securities
Deferred tax assets
Long-term loans receivable
Other
Allowance for doubtful accounts
Total investments and other assets
Total non-current assets
Total assets 7 

(Millions of yen)
As of October 31, 2023

As of July 31, 2024

36,077900
14,600
1,645
2,657
1,676
26,075
3,992
87,62432,167
7,130
16,094
1,674
1,069
1,101
24,883
4,535
88,65735,796
3,626
42,324
354
686
2,288
60
85,139172,763

38,663
3,562
41,633
334
721
2,389
161
87,467
176,125

17,82919,432
97,842-5,906
129,198

17,82919,400100,596-7,906
129,920

2,983

4,089

0
2,343
-30

–
3,457
-26

5,296

7,520

9,181
143,677
316,440

9,700
147,141
323,266

Liabilities
Current liabilities
Notes and accounts payable - trade
Short-term borrowings
Current portion of long-term borrowings
Lease liabilities
Income taxes payable
Provision for bonuses
Accounts payable - other
Other
Total current liabilities
Non-current liabilities
Long-term borrowings
Lease liabilities
Long-term accounts payable - other
Retirement benefit liability
Asset retirement obligations
Deferred tax liabilities
Other
Total non-current liabilities
Total liabilities
Net assets
Shareholders’ equity
Share capital
Capital surplus
Retained earnings
Treasury shares
Total shareholders’ equity
Accumulated other comprehensive income
Valuation difference on available-for-salesecurities
Deferred gains or losses on hedges
Foreign currency translation adjustment
Remeasurements of defined benefit plans
Total accumulated other comprehensive
incomeNon-controlling interests
Total net assets
Total liabilities and net assets 8 

(2) Quarterly Consolidated Statements of Income and Quarterly Consolidated Statements ofComprehensive Income(Quarterly Consolidated Statements of Income)(Consolidated Nine-Month Period Ended July 31)(Millions of yen)
Nine months ended
July 31, 2023

Nine months ended
July 31, 2024

145,155
103,978
41,17733,421
7,755

151,861
108,713
43,14834,119
9,029

51
201
60
59
74
270
719

68
225
43
55
55
304
753

89
25
207
322
8,152

116
36
201
353
9,429

36

22

0

1

56
93

–
24

193

–

264

147

457
7,787
2,660
408
3,068
4,719
499
4,220

147
9,305
3,135
235
3,370
5,935
502
5,432

Net sales
Cost of sales
Gross profit
Selling, general and administrative expenses
Operating profit
Non-operating income
Interest income
Dividend income
Insurance fee income
Rental income
Foreign exchange gains
Other
Total non-operating income
Non-operating expenses
Interest expenses
Loss on cancellation of leases
Other
Total non-operating expenses
Ordinary profit
Extraordinary income
Gain on sale of non-current assets
Gain on sale of shares of subsidiaries andassociates
Gain on sale of investment securities
Total extraordinary income
Extraordinary losses
Impairment losses
Loss on sale and retirement of non-current
assetsTotal extraordinary losses
Profit before income taxes
Income taxes - current
Income taxes - deferred
Total income taxes
ProfitProfit attributable to non-controlling interests
Profit attributable to owners of parent 9 

(Quarterly Consolidated Statements of Comprehensive Income)(Consolidated Nine-Month Period Ended July 31)(Millions of yen)
Nine months ended
July 31, 2023

Nine months ended
July 31, 2024

4,719

5,935

882

1,109

–
52

-0
1,114

5

5

940
5,659

2,229
8,165

5,150

7,656

509

508

ProfitOther comprehensive income
Valuation difference on available-for-salesecurities
Deferred gains or losses on hedges
Foreign currency translation adjustment
Remeasurements of defined benefit plans,
net of tax
Total other comprehensive income
Comprehensive income
Comprehensive income attributable toComprehensive income attributable toowners of parent
Comprehensive income attributable to noncontrolling interests

 10 

(3) Notes Concerning Quarterly Consolidated Financial Statements(Notes on Segment Information, Etc.)(Segment information)I
Nine-month period ended July 31, 2023 (From November 1, 2022 to July 31, 2023)
1.

Information concerning the amount of net sales and income or loss by reporting segment, andinformation on disaggregation of revenue(Millions of yen)
Reporting segment
Business related to
the Construction
Equipment Rental
Division

Other businesses(Note)Total

Net sales
Rental contracts
Sales of merchandise andfinished goods
Other

92,397

5,784

98,181

28,223

7,465

35,68910,395798

11,193131,017

14,047145,064

91–

91

Net sales to outside customers
Net sales or transfers between
related segments

131,108

14,047145,155

–

–

–

Total

131,108

14,047145,155

6,598

777

7,376

Revenue from contracts withcustomers
Other revenues

Segment income(Note) The “Other businesses” classification encompasses business segments not included in
the reporting segment, and includes business related to the Steel Sales Division andbusiness related to the Information Products Division, welfare-related business andother businesses.
2.

Difference between total reporting segment income or loss and the amount reported on the Quarterly
Consolidated Statement of Income, and the main reasons for the difference (Matters Pertaining toReconciliation of Difference)(Millions of yen)
IncomeAmountReporting segment total

6,598

Income for “Other businesses” classification

777

Other adjustments

379

Operating profit reported on the Quarterly
Consolidated Statement of Income
3.

7,755

Information concerning impairment losses of non-current assets and goodwill by reporting segment(Material impairment losses on non-current assets)
In the business related to the Construction Equipment Rental Division, the Company posted impairment
losses of goodwill of ￥117 million and impairment losses of customer relationship of ￥76 million.

 11 

II

Nine-month period ended July 31, 2024 (From November 1, 2023 to July 31, 2024)
1.

Information concerning the amount of net sales and income or loss by reporting segment, andinformation on disaggregation of revenue(Millions of yen)
Reporting segment
Business related to
the Construction
Equipment Rental
Division

Other businesses(Note)

95,927

6,033

101,961

29,377

9,677

39,055

10,367414

10,782

135,673

16,126

151,799

Total

Net sales
Rental contracts
Sales of merchandise andfinished goods
Other
Revenue from contracts withcustomers
Other revenues

62

–

62

Net sales to outside customers
Net sales or transfers between
related segments

135,735

16,126

151,861

–

–

–

Total

135,735

16,126

151,861

7,937

689

8,627

Segment income(Note) The “Other businesses” classification encompasses business segments not included in
the reporting segment, and includes business related to the Steel Sales Division andbusiness related to the Information Products Division, welfare-related business andother businesses.
2.

Difference between total reporting segment income or loss and the amount reported on the Quarterly
Consolidated Statement of Income, and the main reasons for the difference (Matters Pertaining toReconciliation of Difference)(Millions of yen)
IncomeAmountReporting segment total

7,937

Income for “Other businesses” classification

689

Other adjustments

402

Operating profit reported on the Quarterly
Consolidated Statement of Income 12 

9,029

(Note on Significant Changes to Shareholders’ Equity)
The Company repurchased 720,400 shares of treasury shares in accordance with the resolution of themeeting of the Board of Directors held on December 8, 2023.
As a result, treasury shares increased by ￥2,000 million during the nine-month period ended July 31,
2024, resulting in ￥7,906 million as of July 31, 2024.
(Notes Relating to the Going Concern Assumption)
The Company had no material items to report.
(Notes to Quarterly Consolidated Statements of Cash Flows)
Quarterly Consolidated Statements of Cash Flows have not been prepared for the nine-month period
under review. Depreciation (including amortization related to intangible assets excluding goodwill) andamortization of goodwill for the nine-month periods ended July 31, 2023 and 2024 are as follows.
(Millions of yen)

Depreciation
Amortization of goodwill

Nine months ended
July 31, 2023
25,458479

 13 

Nine months ended
July 31, 2024
26,748486