Note: This document has been translated from the Japanese original for reference purposes only. In the event of any
discrepancy between this translated document and the Japanese original, the original shall prevail.

November 5, 2021

Summary of Consolidated Financial Results for the Six Months Ended
September 30, 2021 (Under Japanese GAAP)
Company name:
Mitsubishi Gas Chemical Company, Inc.
Listing:
Tokyo Stock Exchange
Securities code:
4182
URL:
https://www.mgc.co.jp/eng/
Representative:
Masashi Fujii, Representative Director, President
Inquiries:
Satoshi Takizawa, General Manager, Investor Relations Department
TEL:+81-3-3283-5041
Scheduled date to file quarterly securities report:
November 11, 2021
Scheduled date to commence dividend payments:
December 6, 2021
(Yen amounts are rounded down to millions, unless otherwise noted.)

1. Consolidated financial results for the six months ended September 30, 2021 (from April 1, 2021 toSeptember 30, 2021)(1) Summary of consolidated income statement (cumulative)
Net sales
Six months ended
September 30, 2021
September 30, 2020

Operating profit

Millions of yen

335,881266,637

Note: Comprehensive income

Note:% Millions of yen

109.0(10.4)

Six months ended September 30, 2021
Six months ended September 30, 2020

Basic earnings per
share
Six months ended
September 30, 2021
September 30, 2020

30,03814,370

Profit attributable toowners of parent

Ordinary profit% Millions of yen

26.0(12.1)(Percentages indicate year-on-year changes.)

38,75916,541¥34,084 million¥16,454 million% Millions of yen

134.3
41.5

28,18814,255

%

97.7
75.0

[107.1%][207.5%]

Diluted earnings per
share

Yen

Yen

135.5068.54––

The Company has applied the “Accounting Standard for Revenue Recognition” (ASBJ Statement No. 29, March
31, 2020) and relevant revised ASBJ regulations from the beginning of the first quarter of the current fiscal year.
The percentage of year-on-year change was not shown for each figure for the three months ended June 30, 2021,
but it is shown from this report for the six months ended September 30, 2021 because the effect of the change inaccounting policies is immaterial.

-1-(2) Consolidated financial position
Total assets
As of
September 30, 2021
March 31, 2021

Net assets

Equity ratio

Millions of yen

Millions of yen%

867,275
836,364

609,258
581,41163.3
62.7

Reference:

Note:

EquitySeptember 30, 2021
¥549,227 million
March 31, 2021
¥524,264 million
The Company has applied the “Accounting Standard for Revenue Recognition” (ASBJ Statement No. 29, March
31, 2020) and relevant revised ASBJ regulations from the beginning of the first quarter of the current fiscal year,
and each figure as of September 30, 2021 is the figure after applying the accounting standard and relevant revised
ASBJ regulations.

2. Dividends
Annual dividend
First quarter-end

Second quarter-end

Third quarter-end

Yen

Yen

Yen

Fiscal year ended
March 31, 2021
Fiscal year
ending March 31,
2022

–

35.00

–

45.00

Fiscal year
ending March 31,
2022 (Forecast)Fiscal year-end

Total

Yen

Yen

–

35.00

70.00

–

35.00

80.00

Note:
Revisions to the forecast most recently announced: None
Breakdown of interim dividend for the fiscal year ending March 31, 2022:
Ordinary dividend: 35.00 yen
Commemorative dividend: 10.00 yen

3. Consolidated business forecasts for the fiscal year ending March 31, 2022 (from April 1, 2021 toMarch 31, 2022)(Percentages indicate year-on-year changes.)
Operating profit

Net sales
Millions ofyen

Fiscal year ending
March 31, 2022

690,000%
15.8

Millions ofyen
53,000

Profit attributable toowners of parent

Ordinary profit%

19.1

Millions ofyen
68,000%35.4

Millions ofyen
50,000

%
38.6

Basic
earnings per
share
Yen
240.34

Notes 1: Revisions to the forecast most recently announced: Yes
2: The Company has applied the “Accounting Standard for Revenue Recognition” (ASBJ Statement No. 29, March
31, 2020) and relevant revised ASBJ regulations from the beginning of the first quarter of the current fiscal year.
The percentage of year-on-year change was not shown in the report for the three months ended June 30, 2021, but
it is shown from this report for the six months ended September 30, 2021 because the effect of the change inaccounting policies is immaterial.

-2-

* Notes(1) Changes in significant subsidiaries during the period (changes in specified subsidiaries resulting in thechange in scope of consolidation): None
(2) Application of special accounting for preparing quarterly consolidated financial statements: None
(3) Changes in accounting policies, changes in accounting estimates, and restatement(i) Changes in accounting policies due to revisions to accounting standards and other regulations: Yes(ii) Changes in accounting policies due to other reasons: None(iii) Changes in accounting estimates: None(iv) Restatement: None
(4) Number of issued shares (common stock)(i) Number of issued shares at term end (including treasury stock)
As of September 30, 2021

225,739,199

As of March 31, 2021

225,739,199(ii) Number of shares of treasury stock at term-end
As of September 30, 2021

17,692,816

As of March 31, 2021

17,726,057(iii) Average number of outstanding shares (cumulative from the beginning of the fiscal year)
Six months ended September 30, 2021

208,026,863

Six months ended September 30, 2020

207,994,735* Quarterly financial results reports are exempt from audit conducted by certified public accountants or an
audit corporation.
* Proper use of earnings forecasts, and other special matters(Caution concerning forward-looking statements)
Forecasts, etc., recorded in this document contain forward-looking statements that are based on
management’s estimates, assumptions and projections at the time of publication. A number of factors
could cause actual results to differ materially from expectations.

-3-

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Segment Information(Billions of yen, rounded down)
FY20201H*

FY2021
1H

ChangeFY2020
Full Year
Result*FY 2021
Full Year
Forecast

266.6

335.8

69.2

595.7

690.0

Basic Chemicals

146.8

200.9

54.0

337.8

411.4

Specialty Chemicals

124.0

137.5

13.5

267.8

284.4

Other and Adjustment

(4.2)

(2.6)

1.6

(9.9)

(5.8)

Net sales

Operating profit

14.3

30.0

15.6

44.5

53.0

Basic Chemicals

0.3

15.8

15.5

12.8

24.7

Specialty Chemicals

15.3

15.9

0.6

34.8

32.0

Other and Adjustment

(1.3)

(1.8)

(0.5)

(3.1)

(3.7)

Non-operating profit

2.1

8.7

6.5

5.7

15.0

Ordinary profit

16.5

38.7

22.2

50.2

68.0

Basic Chemicals

1.4

19.1

17.6

14.2

32.2

Specialty Chemicals

15.9

20.7

4.8

37.5

38.6

Other and Adjustment

(0.7)

(1.1)

(0.3)

(1.5)

(2.9)

Extoraordinary income and loss, net

1.2

(0.3)

(1.5)

(1.2)

(2.0)

Income before income taxes, etc.

17.7

38.4

20.6

48.9

66.0

Profit attributable to owners of parent

14.2

28.1

13.9

36.0

50.0

FY20201H*

FY2021
1H

ChangeFY2020
Full Year
Result*FY 2021
Full Year
Forecast

266.6

335.8

69.2

595.7

690.0

Natural Gas Chemicals

65.4

104.9

39.4

158.5

216.0

Aromatic Chemicals

84.9

97.6

12.6

183.4

198.5

Specialty Chemicals
Information andAdvanced Materials
Other and Adjustment

96.4

102.3

5.8

207.4

212.8

29.3

35.3

6.0

62.3

71.7

䛆reference: former segments 䛇Net sales

(9.6)

(4.3)

5.2

(16.0)

(9.1)

14.3

30.0

15.6

44.5

53.0

Natural Gas Chemicals

(3.5)

5.4

8.9

0.9

8.2

Aromatic Chemicals

3.8

10.4

6.5

11.7

16.4

Specialty Chemicals
Information andAdvanced Materials
Other and Adjustment

10.3

7.8

(2.4)

22.8

17.3

4.9

8.0

3.0

11.9

14.6

(1.3)

(1.7)

(0.4)

(3.0)

(3.7)

Operating profit

Non-operating profit

2.1

8.7

6.5

5.7

15.0

Ordinary profit

16.5

38.7

22.2

50.2

68.0

Natural Gas Chemicals

(2.3)

8.5

10.9

2.6

16.1

Aromatic Chemicals

3.7

10.5

6.7

11.6

16.1

Specialty Chemicals
Information andAdvanced Materials
Other and Adjustment

10.7

12.0

1.3

25.5

23.4

5.1

8.6

3.4

11.9

15.1

(0.8)

(1.0)

(0.2)

(1.5)

(2.9)

The breakdown by former segments is for reference only, calculated in accordance with past segments for convenience.
*Effective from the fiscal year ending March 31, 2022, the Company has changed the segments of some of its products.
Segment information for the previous fiscal year has also been prepared based on the classification method after the change.

㻝㻜Other Information 1
Investments(Billions of yen)

Full year

30.9

39.2

42.3

FY2021
Forecast
40.2
67.0

1H

13.9

18.6

22.4

15.8

22.0

Depreciation &amortization(Billions of yen)

Full year

27.0

27.4

29.5

30.6

32.0

1H

13.1

13.5

14.4

15.1

15.8

R&D expenditures(Billions of yen)

Full year

18.9

18.6

19.6

19.9

21.5

FY2017

Number of Staff

FY2018FY2019FY2020

1H

9.5

9.1

9.4

9.8

10.1

Year-end

8,009

8,276

8,954

8,998

10,122

ROA

10.6%

8.7%

3.9%

6.2%

8.0%

ROE

13.6%

11.3%

4.3%

7.1%

9.4%

ROIC
(Ordinary income/invested capital)

13.2%

10.9%

4.9%

7.7%

9.8%

Other Information 2
FY2017
Result

FY2019Result

FY2018ResultFY2020ResultFY2021ResultForecast

First half Second half First half Second half First half Second half First half Second half First half Second half
Exchange Rate
(JPY/USD, Average)

111

111

110

112

109

109

107

105

110

113

Exchange Rate
(JPY/EUR, Average)

126

133

130

127

121

120

121

126

131

130

crude oil (Dubai)(USD/BBL)

50

62

73

65

64

56

37

52

69

85

Methanol(USD/MT, Asian
average spot price)

296

381

408

335

277

245

194

319

370

400

Mixed Xylene(USD/MT)

650

725

845

730

705

640

420

560

780

870

Bisphenol A(USD/MT)*

1,100
㹼1,3001,200
㹼1,7001,600
㹼1,9001,200
㹼1,8001,000
㹼1,4501,050
㹼1,350900
㹼1,4501,400
㹼3,3002,750
㹼3,7001,700
㹼3,200Polycarbonate(USD/MT)*2,500
㹼2,9002,900
㹼3,9002,700
㹼3,8002,100
㹼2,8001,900
㹼2,2501,650
㹼2,0001,500
㹼2,1502,100
㹼4,0003,100
㹼4,0502,200
㹼4,000*Describe the minimum and maximum values during the period㻝㻝Qualitative Information
From the first quarter of the fiscal year ending March 31, 2022, the MGC Group adopted the AccountingStandard for Revenue Recognition (Accounting Standards Board of Japan (ASBJ) Statement No. 29, March 31,2020). Accordingly, the Group’s operating results previously announced for the first quarter of said fiscal year
omitted year-on-year changes (amount and percentage comparisons) with operating results for the same period of
the previous fiscal year. However, as the impact of the adoption of the aforementioned accounting standard wasfound to be minor, the Group decided to disclose such comparisons at the announcement of operating results for the
first six months of said fiscal year and subsequent quarterly periods.

Consolidated Business Results for This Period
Overview of Results(Billions of yen)
FY2020 / 1H

FY2021/1H

ChangeNet sales

266.6

335.8

69.2

Operating income

14.3

30.0

15.6

Ordinary income

16.5

38.7

22.2

Profit attributable to owners of the parent

14.2

28.1

13.9

During the first six months of the fiscal year ending March 31, 2022 (April 1, 2021 – September 30, 2021),
outlook for the world economy remained unclear due mainly to the impact of semiconductor shortages on
production activities and looming anxieties regarding surges in raw material and fuel prices, despite signs ofrecovery in a growing scope of regions that reflect progress in vaccination against the novel coronavirus and otherpositive factors.
Against this backdrop, the MGC Group nevertheless benefitted from recovery in demand for automotive-related
and other products that had been heavily affected by the novel coronavirus pandemic, as well as constantly solid
demand for semiconductor-related products reflecting market growth, along with improvement in market prices formethanol, polycarbonates and other general-purpose products amid rises in raw material and fuel prices.
In addition, the MGC Group launched a new medium-term management plan in April 2021. In line with this plan,
the Group aims to shift to a profit structure resilient to changes in the business environment. To this end, the Group
is striving to:͌“Further strengthen competitively advantageous (“differentiating”) businesses,”͌“Accelerate creation and development of new businesses,” and͌“Reevaluate and rebuild unprofitable businesses.”
These efforts will help push ahead with business portfolio reforms.

12

The MGC Group’s net sales increased due mainly to upturns in market prices for methanol and other offerings aswell as recovery in overall sales volume.
Furthermore, operating income rose, despite increases in raw material and fuel prices, lower sales volumes of
optical polymers and other negative factors affecting profit. This was thanks primarily to recovery in demand for
products that had been affected by fallout from the novel coronavirus pandemic in addition to rising market prices
for general-purpose products.
Ordinary income increased due primarily to higher operating income as well as growth in equity in earnings ofaffiliates related to engineering plastics and overseas methanol producing companies.
Operating results by segment are as described below.
Please note, the MGC Group revised the definition of its reportable segments in the first quarter of the fiscal year
ending March 31, 2022. To provide comparative year-on-year segment results, the Group has restated the operating
results of the first six months of the previous fiscal year to reflect the revised segmentation.

Results by Business Segment
Basic Chemicals(Billions of yen)
FY2020 / 1H

FY2021/1H

ChangeNet Sales

142.6

198.2

55.5

Operating income

0.3

15.8

15.5

Ordinary income

1.4

19.1

17.6

The methanol business saw increases in both net sales and earnings due mainly to a significant upturn in market
prices compared with the same period of the previous fiscal year.
Methanol and ammonia-based chemicals posted increases in net sales and earnings reflecting such factors as arise in neopentyl glycol market prices, despite higher raw material prices.
High-performance products*1 posted increases in net sales and earnings thanks primarily to recovery in demand
for meta-xylenediamine (MXDA), which had been affected by fallout from the novel coronavirus pandemic in thesame period of the previous fiscal year, along with decisions made by some customers to secure additional
stockpiles.
*1 MXDA, MX nylon, aromatic aldehydes and other offerings that had been previously classified as specialty aromatic chemicals

Xylene separators and derivatives*2 saw increase in net sales and earnings due mainly to upturns in purified
isophthalic acid (PIA) market prices.
*2 Meta-xylene, PIA and other offerings that had been previously classified as general-purpose aromatic chemicals

Foamed plastics posted increases in net sales and earnings, despite higher raw material and fuel prices, thanks
mainly to recovery in sales volume of automotive materials and other offerings.

13

Specialty Chemicals(Billions of yen)
FY2020 / 1H

FY2021/1H

ChangeNet Sales

123.8

137.5

13.7

Operating income

15.3

15.9

0.6

Ordinary income

15.9

20.7

4.8

Inorganic chemicals posted an increase in earnings compared with the same period of the previous fiscal year
thanks primarily to growth in the sales volume of chemicals for use in semiconductor manufacturing.
Engineering plastics saw increases in net sales and earnings, despite higher raw material and fuel prices, due
mainly to recovery in sales volumes in automotive-related and other fields in addition to an increase in sales prices.
Optical materials posted significant decreases in net sales and earnings despite the current trend of recovery indemand. This resulted primarily from the lower sales volume of optical polymers due to the prolongation of
inventory adjustment carried out by customers since the end of 2020.
Electronic materials saw increases in net sales and earnings. This was thanks mainly to robust showings of BT
materials for IC plastic packaging, the core product category for electronic materials, reflecting higher sales
volumes for general-purpose materials for a broad range of applications including PC-related devices and home
appliances, as well as constantly firm demand for products used in memory devices and 5G smartphones.
Oxygen absorbers such as AGELESSTM posted an increase in earnings, thanks mainly to recovery in domestic
demand for products used for foodstuffs, achieving an improvement from the stagnation brought about by the novel
coronavirus pandemic in the same period of the previous fiscal year.

14