JFE Holdings’ Financial Results for Third Quarterof Fiscal Year 2023 Ending March 31, 2024
— All financial information has been prepared in accordance with International Financial Reporting Standards (IFRS) —(Note: The following is an English translation of an original Japanese document)

February 6, 2024
Official name:
Listings:
Code:
English URL:
Representative:
Contact:

JFE Holdings, Inc.
Tokyo stock exchange5411
www.jfe-holdings.co.jp/en
Koji Kakigi, President and CEO
Hiroki Watanabe, Manager, Public Relations Section,
Investor Relations and Corporate Communications
Department
Phone:+81-3-3597-3842
Scheduled date to submit Quarterly Securities Report:
February 6, 2024
Scheduled date to start paying dividends:
Preparation of supplementary materials for quarterly results: Yes
Quarterly results briefing:
Yes(Figures are rounded down to the nearest million yen.)

1. Consolidated Results for First Three Quarters of Fiscal 2023 (April 1 to December 31, 2023)(1) Consolidated Operating Results (cumulative total)(Percentages indicate year on year change)
Revenue(million yen)

3Q3,865,747
FY 2023
3Q
3,908,588
FY 2022

Business
profit%Profit
Before tax%(million yen)

Profit%(million yen)(million yen)%

Profitattributableto ownersof parent(million yen)

(1.1)

244,9886.0

26.2

231,015 (28.4)

226,351

213,802 (29.6)

Basic earnings per
share

Diluted earnings per
share

3Q FY 2023

270.20264.923Q FY 2022

248.64248.50(yen)

5.9

165,664%

Comprehensive
income(million yen)

12.8

162,92213.2 251,053

21.5

146,918 (34.7)

143,940(35.5) 206,568(18.4)(yen)

Note: Business profit is profit before tax excluding financial income and one-time items of a materially significant value.
(2) Consolidated Financial Position
Total assets

Total equity(million yen)(million yen)

Equity attributableto owners ofparentTotal equity
attributable toowners of parent(million yen)(%)

End 3Q FY 2023

5,658,557

2,506,639

2,432,246

43.0

End FY 2022

5,524,040

2,193,395

2,120,322

38.4

2. Dividends
Dividend per share (yen)InterimYear-end

FY 2022

80.00

50.00

30.00

FY 2023100.00*50.00

50.00**estimate
Note:
Revisions to dividend forecast announced most recently: No%

3. Forecasts of Consolidated Financial Results in Fiscal 2023 (April 1, 2023 to March 31, 2024)(Percentages represent changes from same period of previous fiscal year)
Revenue(million yen)%

Business
profit%(million yen)

Profit before
tax%(million yen)

Profitattributableto ownersof parent

%

(yen)

(million yen)

FY 2023

5,230,000(0.7)

290,000

23.0

265,700

26.4

190,000

Note: Revisions to consolidated financial results forecasts announced most recently: Yes

Basicearnings
per share

16.8

311.17

Notes1. Changes in significant subsidiaries during the term (changes in designated subsidiaries resulting in changes in
consolidated structure): No
2. Changes in accounting policies and accounting estimates
1) Changes in the accounting policies required by IFRS: No
2) Changes in the accounting policies other than 1) above: No
3) Changes in accounting estimates: No
3. Number of outstanding shares (common stock)
1) Outstanding shares at the end of the term (including treasury stock)
As of December 31, 2023: 639,438,399 shares
As of March 31, 2023: 614,438,399 shares
2) Treasury stock at the end of the term
As of December 31, 2023: 3,462,767 shares
As of March 31, 2023: 33,494,986 shares
3) Average number of shares during the term
3Q Fiscal 2023: 602,965,111 shares
3Q Fiscal 2022: 578,912,717 sharesThis report is not subject to auditing by a certified public accountant or an audit corporation.
Explanation of Appropriate Use of Results Forecasts, and Other Matters of Note
1. Forecasts and other forward-looking statements herein are based on information available on the date of publication of thisdocument as well as rational assumptions that we have made regarding certain factors. Actual results may vary significantly
from these forecasts due to a wide range of circumstances.
2. The supplementary financial data will be disclosed today via TDnet and published on our website.

Attachments
1. Condensed Quarterly Consolidated Financial Statements and Notes ··············································· 2(1) Condensed Quarterly Consolidated Statement of Financial Position ··········································· 2(2) Condensed Quarterly Consolidated Statement of Profit or Loss and Condensed Quarterly
Consolidated Statement of Comprehensive Income ······························································· 4(3) Condensed Quarterly Consolidated Statement of Changes in Equity ········································· 8(4) Condensed Quarterly Consolidated Statement of Cash Flow ···················································10(5) Notes to Condensed Quarterly Consolidated Financial Statements ···········································12Notes Pertaining to the Presumption of a Going Concern ······················································12
2. Supplementary Information ····································································································13

11. Condensed Quarterly Consolidated Financial Statements and Notes(1) Condensed Quarterly Consolidated Statement of Financial Position
As ofMarch 31, 2023

(million yen)
As ofDecember 31, 2023

AssetsCurrent assets
Cash and cash equivalents

119,391

118,115

Trade and other receivables

776,115770,630

Contract assets

116,293

189,542

1,367,230

1,329,827

Income taxes receivable

22,957

5,876

Other financial assets

18,93723,323

Other current assets

96,759125,3422,517,685

2,562,658

40,929－2,558,615

2,562,658

1,891,053

1,920,666

Goodwill

14,911

15,702Intangible assets

126,855

136,630

Right-of-use asset

98,611

100,653

Investment property
Investments accounted forusing equity method
Retirement benefit asset

53,55953,098465,482562,753

23,521

24,703

Deferred tax assets

74,72861,734

Other financial assets

200,599

202,233

Other non-current assets

16,10017,723

Total non-current assets

2,965,425

3,095,899

5,524,040

5,658,557

Inventories

Subtotal
Assets held for sale
Total current assets
Non-current assets
Property, plant and equipment

Total assets2

As ofMarch 31, 2023

(million yen)
As ofDecember 31, 2023

Liabilities and equity
Liabilities
Current liabilities
Trade and other payables
Bonds payable, borrowings,
and lease liabilities
Contract liabilities

703,212648,066

397,026

504,762

48,54360,275

Income taxes payable, etc.

32,32022,104

Provisions

10,781

11,978Other financial liabilities

181,046

92,642Other current liabilities

265,268

204,084

1,638,200

1,543,915

23,598－

1,661,798

1,543,915

1,465,939

1,401,872

120,663

117,751

Provisions

19,128

17,626

Deferred tax liabilities

5,480

7,405

Other financial liabilities

41,32553,479Other non-current liabilities

16,308

9,866

Total non-current liabilities

1,668,846

1,608,002

3,330,644

3,151,918

Share capital

147,143

171,310

Capital surplus

640,536

589,005

Retained earnings

1,397,735

1,525,091

Treasury shares(156,408)(14,898)

Subtotal
Liabilities directly associatedwith assets held for sale
Total current liabilities
Non-current liabilities
Bonds payable, borrowings,
and lease obligations
Retirement benefit liability

Total liabilities
EquityOther components of equity
Equity attributable to owners ofparentNon-controlling interests

91,315

161,737

2,120,322

2,432,246

73,07374,392

Total equity

2,193,395

2,506,639

5,524,040

5,658,557

Total liabilities and equity3(2) Condensed Quarterly Consolidated Statement of Profit or Loss and Condensed Quarterly
Consolidated Statement of Comprehensive Income
Condensed Quarterly Consolidated Statements of Income (First Three Quarters)
First Three Quarters of
Fiscal 2022
(April 1, 2022 –December 31, 2022)
3,908,588(million yen)First Three Quarters of
Fiscal 2023
(April 1, 2023 –December 31, 2023)
3,865,747

Cost of sales(3,424,095)(3,375,009)

Gross profit

484,492

490,738

Selling, general and administrative expenses
Share of profit of entities accounted for using
equity method
Other income(282,278)(292,310)

22,70044,504

29,12032,969Other expenses(23,019)(30,913)

Business profit

231,015

244,988－(4,372)(6,273)－

224,742

240,615

Finance income

2,086

3,644

Finance costs(13,025)(17,908)

Profit before tax

213,802226,351

Income tax expense(66,883)(60,687)

Profit146,918

165,664

143,940

162,922

2,978

2,741

146,918

165,664

Basic earnings per share (yen)248.64270.20

Diluted earnings per share (yen)248.50264.92

Revenue

Impairment losses
Loss on Liquidation
associates
Operating profitofsubsidiaries

andProfit attributable to
Owners of parent
Non-controlling interests
ProfitEarnings per share4Condensed Quarterly Consolidated Statements of Income (Third Quarter)
Third Quarter of Fiscal
2022(October 1, 2022 –December 31, 2022)
1,344,252(million yen)
Third Quarter of Fiscal
2023(October 1, 2023 –December 31, 2023)
1,289,159

Cost of sales(1,188,223)(1,120,443)

Gross profit

156,028

168,716

Selling, general and administrative expenses
Share of profit (loss) of entities accounted forusing equity method
Other income(96,427)(100,439)(1,250)17,885

6,391

9,427

Other expenses(21,642)(14,948)

Business profit

43,10080,641－(4,372)(6,273)－36,82676,268774

990

Finance costs(5,044)(6,272)

Profit before tax

32,55670,987

Income tax expense(11,296)(16,965)

Profit21,25954,022

20,684

52,831575

1,191

21,25954,022

Basic earnings per share (yen)

35.60

83.07

Diluted earnings per share (yen)

35.58

79.44

Revenue

Impairment losses
Loss on Liquidation of subsidiaries andassociates
Operating profit
Finance income

Profit attributable to
Owners of parent
Non-controlling interests
ProfitEarnings per share5Condensed Quarterly Consolidated Statements of Comprehensive Income (First Three Quarters)
First Three Quarters of
Fiscal 2022
(April 1, 2022 –December 31, 2022)
146,918(million yen)First Three Quarters rof Fiscal 2023
(April 1, 2023 –December 31, 2023)
165,664(4,346)

8,040

(60)

8,452

589

6,749

(3,818)23,24225,652

22,466

1,512

5,106

36,30334,57363,46759,64962,14685,388Comprehensive income

206,568

251,053

Comprehensive income attributable to
Owners of parent
Non-controlling interests
Comprehensive income

202,772
3,796
206,568

247,7133,339
251,053

ProfitOther comprehensive income:Items that will not be reclassified to profit or loss
Remeasurements of defined benefit plans
Net change in fair value of equity instruments
designated as measured at fair value through othercomprehensive income
Share of other comprehensive income of investments
accounted for using equity method
Total of items that will not be reclassified to profit orloss
Items that may be reclassified to profit or loss
Exchange differences on translation of foreign
operations
Effective portion of cash flow hedges
Share of other comprehensive income of investments
accounted for using equity method
Total of items that may be reclassified to profit or loss
Total other comprehensive income6Condensed Quarterly Consolidated Statements of Comprehensive Income (Third Quarter)
Third Quarter of
Fiscal 2022
(October 1, 2022 –December 31, 2022)
21,259(million yen)
Third Quarter of
Fiscal 2023
(October 1, 2023 –December 31, 2023)
54,022(1,837)

62

1,150

1,752

2,212

7,458

1,525

9,274

Exchange differences on translation of foreign
operations
Effective portion of cash flow hedges
Share of other comprehensive income of investments
accounted for using equity method
Total of items that may be reclassified to profit or loss
Total other comprehensive income(1,148)

315

4,470

1,087

(4,078)

1,621

(757)
768

3,024
12,298Comprehensive income

22,027

66,321

Comprehensive income attributable to
Owners of parent
Non-controlling interests
Comprehensive income

21,471556
22,02764,745
1,576
66,321

ProfitOther comprehensive income:Items that will not be reclassified to profit or loss
Remeasurements of defined benefit plans
Net change in fair value of equity instruments
designated as measured at fair value through othercomprehensive income
Share of other comprehensive income of investments
accounted for using equity method
Total of items that will not be reclassified to profit orloss
Items that may be reclassified to profit or loss

7

(3) Condensed Quarterly Consolidated Statement of Changes in Equity
First Three Quarters of Fiscal 2022 (April 1, 2022 – December 31, 2022)(million yen)

Equity attributable to owners of parent
Other components of equity
Net change infair value ofequityinstruments
Remeasurements
designated asof defined benefit
measured at
plans
fair value
through othercomprehensive
incomeCapitalsurplusRetainedearnings

Treasuryshares147,143652,233

1,294,875(180,580)－

55,560

Profit－－143,940－－－

Other comprehensive income

－

－

－

－

(3,739)263

Share capital

Balance as of April 1, 2022

Comprehensive income－－

143,940－(3,739)263

Purchase of treasury shares

－

－

－

(40)

－

－

Disposal of treasury shares－(2,002)－

24,204－－

Dividends－－(75,198)－－－

Share-based payment transactions

－

100

－

27

－

－

Changes in scope of consolidation

－

－

－

－

－

－

－

(9,211)

－

－

－

－

－

－

4,105

－

3,739

(7,845)

Transfer to non-financial assets

－

－

－

－

－

－

Other

－

－

－

－

－

－

－

(11,113)(71,093)

24,191

3,739(7,845)

147,143

641,119

1,367,722(156,389)－

47,979Changes in ownership interest in
subsidiaries
Transfer from other components ofequity to retained earnings

Total transactions with owners
Balance as of December 31, 2022

Equity attributable to owners of parent
Other components of equity
Exchangedifferences on
Effective
translation of portion of cash
flow hedges
foreign
operations
Balance as of April 1, 2022

Noncontrollinginterests

Total

Total

Total equity

16,086

2,949

74,596

1,988,268

82,4702,070,739－－－

143,940

2,978

146,918

Other comprehensive income

59,9082,399

58,831

58,831817

59,649Comprehensive income

59,9082,399

58,831

202,772

3,796

206,568

ProfitPurchase of treasury shares

－

－

－

(40)

－

(40)

Disposal of treasury shares

－

－

－

22,202－

22,202

Dividends－－－(75,198)(1,793)(76,991)

Share-based paymenttransactions

－

－

－

127

－

127

Changes in scope of consolidation

－

－

－

－

4

4

－

－

－

(9,211)(12,071)(21,283)－－(4,105)－－－

Transfer to non-financial assets－(3,198)(3,198)(3,198)－(3,198)

Other

－

－

－

－

314

314

－

(3,198)(7,303)(65,318)(13,545)(78,864)

75,9952,150

126,125

2,125,721

72,721

2,198,442

Changes in ownership interest in
subsidiaries
Transfer from other components of equity
to retained earnings

Total transactions withownersBalance as of December 31, 20228

First Three Quarters of Fiscal 2023 (April 1, 2023 – December 31, 2023)(million yen)
Equity attributable to owners of parent
Other components of equity

CapitalsurplusRetainedearnings

Treasuryshares

640,536－－

1,397,735
162,922－(156,408)
－
－

－
－
－

－
－
8,120

Net change infair value ofequityinstruments
designated asmeasured atfair value
through othercomprehensiv
e income
42,446－
15,206－－

162,922

－

－

8,120

15,20624,167－

24,167
(453)

－
－

－
－

－
－

－
－

－
－

Share capital

Balance as of April 1, 2023
ProfitOther comprehensive income

147,143－－

Comprehensive income
Issuance of new shares
Share issuance costRemeasurements
Share acquisitionof defined benefit
rightsplans

Purchase of treasury shares

－

－

－

(55)

－

－

－

Disposal of treasury shares
Dividends
Share-based paymenttransactions－－(75,203)－－(49,275)

141,450
－

－
－

－
－

－
－

－

12

－

114

－

－

－

Issuance of convertible bonds

－

－

－

－

3,081

－

－

－

(1)

－

－

－

－

－

－

(53)

－

－

－

－

－

－

－

13,708－－(8,120)(5,588)

－
－

－
－

－
－

－
－

－
－

－
－

－
－

24,167(51,531)(35,566)

141,509

3,081(8,120)(5,588)

171,310589,005

1,525,091(14,898)

3,081－

52,064

Changes in scope of
consolidation
Changes in ownership interest in
subsidiaries
Transfer from other componentsof equity to retained earnings
Transfer to non-financial assets
Other
Total transactions withownersBalance as of December 31, 2023

Equity attributable to owners of parent
Other components of equity
Exchangedifferences on
Effective
translation of portion of cash
flow hedges
foreign
operations
Balance as of April 1, 2023

Noncontrollinginterests

Total

Total

Total equity

47,941

928

91,3152,120,322

73,073

2,193,395

ProfitOther comprehensive income－
54,919－6,545－
84,791

162,922
84,791

2,741
597

165,664
85,388Comprehensive income

54,9196,545

84,791

247,7133,339

251,053

Issuance of new shares
Share issuance cost
Purchase of treasury shares
Disposal of treasury shares
Dividends
Share-based payment transactions

－
－
－
－
－
－

－
－
－
－
－
－

－
－
－
－
－
－

48,335(453)(55)
66,247(49,275)
126

－
－
－
－
(1,531)－

48,335(453)(55)
66,247(50,806)
126

Issuance of convertible bonds

－

－

3,081

3,081

－

3,081

Changes in scope of consolidation
Changes in ownership interest in
subsidiaries
Transfer from other components of equity
to retained earnings
Transfer to non-financial assets
Other

－

－

－

(1)

(486)

(487)

－

－

－

(53)

106

52

－

－

(13,708)

－

－

－

－
－

(3,741)－(3,741)－(3,741)－－(108)(3,741)(108)－
102,860(3,741)
3,731(14,369)
161,737

64,2102,432,246(2,019)74,39262,1902,506,639

Total transactions with owners
Balance as of December 31, 2023

9

(4) Condensed Quarterly Consolidated Statement of Cash Flow (First Three Quarters)(million yen)First Three Quarters of Fiscal First Three Quarters of Fiscal
2022
2023
(April 1, 2022 –(April 1, 2023 –December 31, 2022)
December 31, 2023)

Cash flows from operating activities
Profit before tax

213,802226,351

Depreciation and amortization

195,652

207,971

Increase (decrease) in allowance(4,535)(599)

Interest and dividend income (loss)(7,103)(8,397)

Interest expenses
Share of loss (profit) of investments accounted forusing equity method
Decrease (increase) in trade and otherreceivables
Decrease (increase) in inventories

11,898

16,273(22,700)(44,504)(27,773)

21,924(170,927)

50,645

Increase (decrease) in trade and other payables(22,014)(55,109)

Other(125,775)(212,674)

Subtotal

40,522201,882

Interest and dividends received

29,193

20,942

Interest paid

(11,065)(16,051)

Income taxes refund (paid)(90,578)(40,868)

Net cash provided by (used in) operating activities(31,928)

165,906(191,058)(230,645)

6,370

2,476

(7,154)(12,911)

Proceeds from sale of investments

16,72911,800Other(17,881)(1,340)Net cash provided by (used in) investing activities(192,994)(230,621)

Cash flows from investing activities
Purchase of property, plant and equipment,
intangible assets, and investment property
Proceeds from sale of property, plant andequipment, intangible assets, and investment
property
Purchase of investments

10

(million yen)First Three Quarters of Fiscal First Three Quarters of Fiscal
2022
2023
(April 1, 2022 –(April 1, 2023 –December 31, 2022)
December 31, 2023)
Cash flows from financing activities
Net increase (decrease) in short-term borrowings

18,735(13,254)

Increase (decrease) in commercial papers

331,999

42,000

Proceeds from long-term borrowings

88,40539,878

Repayments of long-term borrowings(109,202)(104,705)

Proceeds from issuance of bonds

30,00090,000

Payments for redemption of bonds(10,000)(30,000)

Proceeds from issuance of shares-

52,072(40)(54)

Payments for purchase of treasury shares

882

62,498Dividends paid to owners of parent(75,198)(49,275)

Other(30,503)(34,958)

Net cash provided by (used in) financing activities

245,078

54,201902

7,701

21,057(2,812)

Proceeds from disposal of treasury shares

Effect of exchange rate change on cash and cash
equivalents
Net increase (decrease) in cash and cash
equivalents
Net increase (decrease) in cash and cash
equivalents resulting from transfer to assets held forsale
Cash and cash equivalents at beginning of period(1,684)

1,536

101,773

119,391

Cash and cash equivalents at end of period

121,147

118,11511

(5) Notes to the Condensed Quarterly Consolidated Financial Statements
Notes Pertaining to the Presumption of a Going Concern
There is no item for this period122. Supplementary Information(1) Consolidated Results in First Three Quarters and Earnings Forecasts for Fiscal 2023
(billion yen)

Steel BusinessEngineering BusinessTrading Business
Adjustments

FY 2022

FY 2023

ChangeFY2023
Forecast(November
6)

First
Three Full year
Quarters

First
Three Full year
Quarters

First
Three Full year
Quarters

Full year

2,905.9

3,881.1

2,781.4

3,760.0(124.5)(121.1)

349.9

512.5

384.8

550.0

34.9

37.5

3,800.0550.0

1,133.8

1,514.1

1,110.2

1,500.0(23.6)(14.1)

1,580.0(481.1)(638.9)(410.7)(580.0)

70.4

58.9

(570.0)3,908.5

5,268.7

3,865.7

5,230.0(42.8)(38.7)

5,360.0

A

231.0

235.8

244.9

290.0

13.9

54.2

290.0

B

(10.9)(14.8)(14.2)(20.0)

(3.3)

(5.2)

(20.0)

Steel Business

170.0

146.8

171.0

200.0

1.0

53.2

200.0

Engineering Business

(2.1)

13.4

16.5

25.0

18.6

11.6

25.0

Trading Business

55.7

65.1

38.5

48.0

(17.2)(17.1)

48.0

Adjustments

(3.5)

(4.3)

4.6

(3.0)

8.1

1.3

(3.0)

220.0

221.0

230.7

270.0

10.7

49.0

270.0

(6.2)

(10.7)

(4.3)

(4.3)

1.9

6.4

-

213.8

210.2

226.3

265.7

12.5

55.5

270.0

(69.8)(47.6)(63.4)(75.7)

6.4(28.1)(80.0)

143.9

162.6

162.9

190.0

19.0

27.4

190.0

Revenue
Business profit 1
Finance income / costs
Segment Profit

Total

A+B

Exceptional Items 2
Profit before tax
Tax Expense and Profit (Loss)
Attributable to Non-controlling
Interests
Profit Attributable to Owners of Parent
1

Business profit: Profit that excludes financial income and exceptional items from profit before tax. It is a benchmark indicator of thecompany’s consolidated earnings.
2

Exceptional Items: One-time items of a materially significant value.

(2) Consolidated Financial Indices (2023 Forecasts)
Fiscal 2022

Fiscal 2023

Return on Sales (ROS)

4.5%

5.5%

1.0%

Return on Assets (ROA)2

4.4%

5.2%

0.8%

1

Return on Equity (ROE)3

Change

7.9%

8.3%

0.4%

EBITDA4

505.4 billion yen

570.0 billion yen

64.6 billion yen

Interest-bearing debt outstanding

1,862.9 billion yen

1,850.0 billion yen(12.9 billion yen)

3.7x

3.2x

(0.5x)

2,120.3 billion yen

2,460.0 billion yen

339.7 billion yen

67.8%

58.8%

(9.0%)

Debt / EBITDA multiple5
Equity attributable to owners of parent
D/E Ratio6

ROS = Business profit / Revenue
ROA = Business profit / Total assets
3
ROE = Profit attributable to owners of parent / Equity attributable to owners of parent
4
EBITDA = Business profit + Depreciation and amortization
5
Debt / EBITDA multiple = Interest-bearing debt outstanding / EBITDA
6
D/E ratio = Debt outstanding / Equity attributable to owners of parent. For debt having a capital component*, a portion of its issue priceis deemed to be capital, as assessed by rating agencies.
12* For debt having a capital component, a portion of its issue price is deemed to be capital, as assessed by rating agencies.
Borrowing Execution Date
Amount Borrowed
Assessment of Equity Content
Amount Deemed to be Capital(or Bond Issuance Date)(or Amount of Bond)
June 30, 2016
167.5 billion yen
50%*
83.8 billion yen
March 19, 2018
100.0 billion yen
50%*
50.0 billion yen**
June 10, 2021
35.0 billion yen
50%
17.5 billion yen
March 20, 2023
205.0 billion yen
50%
102.5 billion yen***On December 1, 2022, the assessment of equity content was changed from 25% to 50% by the rating agency.
**Of the subordinated loans totaling 300 billion yen raised on March 19, 2018, 200 billion yen was repaid in advance of maturity, and a
new subordinated loan of 205 billion yen was raised on March 20, 2023.

13

(3) Crude Steel Production (JFE Steel)Fiscal 2022

Non-consolidated
Consolidated

Fiscal 2023

Non-consolidated
Consolidated(million tons)

1Q

2Q

1H

3Q

4Q

2H

Full year

6.43
6.77
6.05
6.38

6.21
6.59
6.11
6.47

12.64
13.37
12.16
12.85

5.48
5.81
5.62
5.95

5.97
6.29

11.45
12.11
23.80*
25.10*

24.10
25.48

*full year estimate(4) Shipments (JFE Steel on non-consolidated basis)(million tons)

1Q

2Q

1H

3Q

4Q

2H

Full year

Fiscal 2022

5.54

5.32

10.86

5.25

5.64

10.88

21.74

Fiscal 2023

5.23

5.42

10.65

5.08

21.10**full year estimate(5) Export Ratio on Value Basis (JFE Steel on non-consolidated basis)

(%)

1Q

2Q

1H

3Q

4Q

2H

Full year

Fiscal 2022

48.5

45.0

46.7

41.0

43.6

42.2

44.5

Fiscal 2023

44.2

44.2

44.2

41.6

42*

42*

43*
*estimate(6) Foreign Exchange Rate (Yen/US dollar)(JPY/USD)

1Q

2Q

1H

3Q

4Q

2H

Full year

Fiscal 2022

126.5

136.6

131.6

144.0

133.2

138.6

135.1

Fiscal 2023

135.8

144.1

139.9

148.7

144*

146*

143*
*estimate(7) Average Selling Price (JFE Steel on non-consolidated basis)(thousand yen/ton)

1Q

2Q

1H

3Q

4Q

2H

Full year

Fiscal 2022

126.7

136.7

131.6

136.3

124.0

129.9

130.8

Fiscal 2023

128.5

130.1

129.3

132.5

132*

132*

131*
*estimate(8) Engineering Business Orders (including intersegment transactions)(billion yen)

Field

Fiscal 2022

Waste to Resource
Carbon Neutral
Combined Utility Services
Core Infrastructure

216.9
57.6
21.1
269.3

Fiscal 2023
Forecast
247.0
80.0
16.0
237.0

Total

564.9

580.0

Change
30.1
22.4
(5.1)
(32.3)
15.1(9) Capital Investment and Depreciation and Amortization (JFE Holdings)(billion yen)

Capital Investment

Fiscal2022
325.6

Fiscal 2023
Forecast
410.0

Depreciation & Amortization

269.6

280.0

14

(on construction basis)

(10) Breakdown of Changes in Segment Profit

a. First Three Quarters of Fiscal 2023, compared to same period of Fiscal 2022
10.7 billion yen: 220.0 billion yen in first three quarters of fiscal 2022 → 230.7 billion yen in first three quarters of fiscal 2023
Steel BusinessChange(billion yen)

-

Cost

41.0

Structural reform effects 10.0, resolution of blast
furnace refurbishment impact 11.0, Operational
enhancement 20.0-

Sales volume and mix(4.0)

Crude steel volume: 18.12→17.78 million tons-

Sales prices and raw materials

130.0

Improved spreads due to continued sales priceimprovement efforts-

Unrealized gains (losses) on inventories(117.0)Inventory valuation -95.0, carry over -4.0, foreignexchange valuation -8.0, one-time structuralreform costs -10.0-

Others(49.0)

-

Total

1.0

Foreign exchanges effects on trade -12.0,
depreciation expense -11.0

Engineering Business

18.6

Increased sales related to ongoing projects, rising
prices of materials and equipment, etc.

(17.2)

Chinese economy's slow recovery and narrowingof domestic and international spreads, especiallyin North America

8.1

Improved earnings of shipbuilding-related equitymethod companies, etc.

Trading Business
Adjustment

b. Fiscal 2023 (forecast) compared to Fiscal 2022
49.0 billion yen: 221.0 billion yen in Fiscal 2022 → 270.0 billion yen in fiscal 2023 forecast
Steel BusinessChange(billion yen)

-

Cost

68.0

Structural reform effects 20.0, Operational
enhancement 25.0, resolution of blast furnace
refurbishment impact 13.0, resolution of
production reduction impact 10.0-

Sales volume and mix

2.0

Crude steel volume: 24.10 → about 23.80 million
tons-

Sales prices and raw materials

120.0

Improved spreads due to continued sales priceimprovement efforts-

Unrealized gains (losses) on inventories(78.0)

Inventory valuation -77.0, carry over 26.0, foreignexchange valuation -7.0, one-time structuralreform costs -20.0-

Others(58.8)

-

Total

53.2

Foreign exchanges effects on trade -20.0,
depreciation expense -10.0

Engineering business

11.6

Increased sales related to ongoing projects, rising
prices of materials and equipment, etc.

(17.1)

Chinese economy's slow recovery and narrowingof domestic and international spreads, especiallyin North America

Trading Business
Adjustment

1.3

15

c. Fiscal 2023 forecast, compared to previous forecast
0.0 billion yen: 270.0 billion yen in previous forecast → 270.0 billion yen in fiscal 2023 forecast

Steel Business- CostChange(billion yen)

0.0

Crude steel volume: about 23.80 → about 23.80
million tons-

Sales volume and mix

0.0-

Sales prices and raw materials

0.0-

Unrealized gains (losses) on inventories(5.0)

Inventory valuation 0.0, carry over 0.0, foreignexchange valuation -5.0, one-time structuralreform costs 0.0-

Others

5.0

-

Total

0.0

Group companies 4.0, foreign exchanges effects
on trade 4.0

Engineering and Trading businesses, and Adjustments

0.0

###

16