EXEDY Corporation (7278) FY2022 3rd Quarter Financial Results

Jan 30, 2023
Tokyo Stock Exchange

FY2022 3rd Quarter Consolidated Financial Results [IFRS](April 1, 2022 through December 31, 2022)(English translation extracted from the original Japanese document)

Company Name:
Code No.:
URL:
Representative:
Contact Person:

EXEDY Corporation
7278
https://www.exedy.com
Tetsuya Yoshinaga, Representative Director, President
Hiroshi Toyohara, Representative Director, Senior Executive Managing Officer,
Executive General Manager of Administrative Headquarters
Telephone:+81-72-822-1152
Scheduled date to file quarterly securities report:
February 10, 2023
Scheduled date to commence dividend payments:
None
Preparation of supplementary material on quarterly financial results: None
Holding of quarterly financial results briefing: None
(Note: All amounts less than one million yen is rounded off)

1. Consolidated Financial Results for the 3rd Quarter of FY2022 (April 1, 2022 to December 31, 2022)(1) Consolidated Operating Results (cumulative)(Percentage of change from previous year)
Revenue

FY2022 Q3
FY2021 Q3Profitbefore Tax

Operating Profit

Profit Attributable to
Owners of Parent

ProfitMillionYen%

MillionYen%

MillionYen%

MillionYen%

213,335
189,067

12.8
17.2

8,684
12,642(31.3)
60.3

10,205
13,215(22.8)
83.7

7,331
9,448

(22.4)
103.7

Basic Earnings
per Share

6,884
8,511

%

MillionYen(19.1)
109.6

10,087
12,394%(18.6)
119.8

Diluted Earnings
per ShareYen
146.64181.41

FY2022 Q3
FY2021 Q3MillionYen

Total
Comprehensive
IncomeYen-(2) Consolidated Financial Position
Total Assets

Equity Attributableto Owners of Parent

Total Equity

Ratio for Equity Attributableto Owners of Parent

Million Yen

Million Yen

Million Yen%

328,437
332,785

240,338
236,023

226,486
221,756

69.0
66.6

FY2022 Q3
FY2021

2. Dividends
Annual Dividends per Sharest

1 Quarter

2

nd

Yen
-

FY2021
FY2022
FY2022 (Forecast)

3rd Quarter

Quarter
Yen
40.00
45.00

Yen
-

Fiscal Year-end
Yen
50.00

-

45.00

Total
Yen
90.00
90.00

(Note) Revisions of dividend forecast from recently announced figures: None

3. FY2022 Consolidated Financial Forecast (April 1, 2022 to March 31, 2023)(Percentage of change from previous year)
Revenue

FY2022

Operating Profit

Million Yen%

300,000

14.9

Million Yen

9,000

%

Profitbefore Tax
Million Yen(50.9)(Note) Revisions of financial forecast from recently announced figures: None

11,000

Profit Attributable to
Owners of Parent%(43.5)

Million Yen

7,500

%
(39.9)

Basic Earnings
Per Share
Yen

159.74

EXEDY Corporation (7278) FY2022 3rd Quarter Financial Results※ General Notes(1) Changes in important subsidiaries during the period(Changes in specified subsidiaries due to changes in the scope of consolidation): None
(2) Changes in Accounting Policies, Accounting Estimations① Changes in accounting policies required by IFRS
：None
② Changes in accounting policies except ①：None③ Changes in accounting estimates：None(Note) For the details, refer to attachment p.10 “2. Quarterly Consolidated Financial Statements
and Principal Notes (4) Notes on Quarterly Consolidated Financial Statements”(3) Number of Outstanding Shares (Ordinary shares)①Number of shares outstanding at the
FY2022 Q3
end of period (including treasury shares)②Number of treasury shares at the end
FY2022 Q3of period③Average number of ordinary shares
FY2022 Q3
outstanding during the period (quarterly total)

48,593,736 shares

FY2021

48,593,736 shares

1,639,537 shares

FY2021

1,665,564 shares

FY2021 Q3

46,918,228 shares

46,942,795 shares(Note) The shares held within the ESOP trust accounts (FY2022 Q3: 89,800 shares, FY2021: 100,000 shares) are
included in the number of Treasury Shares at the end of period. Furthermore, the shares held within the ESOP trust
accounts are included in Treasury Shares that are deducted in the calculation of the average number of shares forthe period. (FY2022 Q3: 94,880 shares, FY2021 Q3: 15,690 shares)※ Quarterly financial statements are not subject to quarterly reviews by certified accountants or audit corporations.
※ Regarding the appropriate use of Financial forecasts and other information
The above forecast is based on the information available, or the assumptions which the company thinks reasonable asof the release of this report. Actual results might be different from the above estimates due to subsequent changes incircumstances.

EXEDY Corporation (7278) FY2022 3rd Quarter Financial Results

Table of Contents of Attachments
1. Qualitative Information on Quarterly Financial Results ………………………………………………………….………
(1) Explanation of Operating Results……………...…….…………...……………………………………………….…
(2) Explanation of Financial Position…………………….………………………………………………………………

2(3) Explanation of Forecast of Consolidated Financial Results and Other Forward-Looking Information……….
2. Quarterly Consolidated Financial Statements and Principal Notes…………….………………………….……...…...
(1) Quarterly Consolidated Statement of Financial Position ………………………………….….……….……….…
(2) Quarterly Consolidated Statement of Income and Quarterly Consolidated Statement of Comprehensive
Income…………………………………………………………………………………………………………….……
(3) Quarterly Consolidated Statement of Changes in Equity……………………………………………….….….….

344(4) Notes on Quarterly Consolidated Financial Statements………………………………………………….…….…
(Notes for Going Concern) ……………………………………………………………………….……………….….
(Change of Accounting Policy) …………………………………………………………………………………….…
(Change in Accounting Estimate) ………………………………………………………………….……….…….…
(Segment Information) ……………………………………………………………………………….…………….…

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3

6
8
10
10
10
10
10

EXEDY Corporation (7278) FY2022 3rd Quarter Financial Results

1. Qualitative Information on Quarterly Financial Results(1) Explanation of Operating Results
In the third quarter of the current consolidated cumulative period, the revenue increased by the impact of foreignexchange conversion due to the depreciation of the yen, although orders decreased due to the lockdown in China
and production cuts by customers because of the semiconductor shortages. In terms of profits, Operating profit
decreased due to the decline in orders, soaring global raw material prices and supply chain disruptions. The results
for the third quarter of the current consolidated cumulative period were, Revenue ¥213.3 billion (increased by
12.8% from the same period of the previous fiscal year), Operating profit ¥8.7 billion (decreased by 31.3% from thesame period of the previous fiscal year), Profit before tax ¥10.2 billion (decreased by 22.8% from the same periodof the previous fiscal year), Profit attributable to owners of the parent company was ¥6.9 billion (decreased by
19.1% from the same period of the previous fiscal year).

<Segment Information>
The summary by type of reportable segment is as follows.
[MT (Manual Automotive Drivetrain related business)]
Revenue was ¥53.2 billion (increased by 13.5% from the same period of the previous fiscal year). Segment profit
was ¥6.3 billion (increased by 12.3% from the same period of the previous fiscal year), despite soaring raw material
prices which was proceeded with passing on to the selling price.
[AT (Automatic Automotive Drivetrain related business)]
Revenue was ¥135.8 billion (increased by 11.5% from the same period of the previous fiscal year). Although sales
increased by the impact of foreign exchange conversion because of the depreciation of the yen, the segment profit
was ¥1.0 billion (decreased by 81.1% from the same period of the previous fiscal year) due to the lockdown in
China and production cuts by customers because of the semiconductor shortages and soaring raw material costs.
[Others]
Revenue was ¥24.3 billion (increased by 19.5% from the same period of the previous fiscal year). Segment profit
was ¥1.8 billion (increased by 12.2% from the same period of the previous fiscal year) due to an increase in sales.

<Location Information>
The summary by location is as follows.
[Japan]
Revenue was ¥91.8 billion (increased by 4.7% from the same period of the previous fiscal year). Operating profit
was ¥4.8 billion (decreased by 37.2% from the same period of the previous fiscal year) due to a decrease in orders
by the lockdown in China and production cuts by customers because of the semiconductor shortages and soaring
raw material costs.
[Americas]
Revenue was ¥37.1 billion (increased by 22.4% from the same period of the previous fiscal year). Although revenue
increased by the impact of exchange conversion due to the depreciation of the yen, the operating loss was ¥0.9
billion (¥0.6 billion operating loss in the same period of the previous year) due to soaring raw material prices.
[Asia and Oceania]
Revenue was ¥78.1 billion (increased by 19.2% from the same period of the previous fiscal year). Operating profit
was ¥5.3 billion (decreased by 13.2% from the same period of the previous fiscal year) due to the lockdown in
China and the impact of production cuts by customers due to semiconductor shortages, although revenue
increased from the impact of exchange conversion due to the depreciation of the yen.
[Others]
Revenue was ¥6.4 billion (increased by 13.5% from the same period of the previous fiscal year). Operating profit
was ¥0.3 billion (decreased by 37.9% from the same period of the previous fiscal year) due to soaring raw material
prices and other factors, despite an increase in sales by the impact of foreign exchange conversion because of thedepreciation of the yen.

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EXEDY Corporation (7278) FY2022 3rd Quarter Financial Results(2) Explanation of Financial Position
In terms of the assets at the end of this third quarter consolidated accounting period, the total assets were ¥328.4
billion (¥332.8 billion at the end of the previous consolidated fiscal year), it decreased by ¥4.3 billion (1.3%) fromthe end of the previous fiscal year. The main contents are ¥5.3 billion decrease in tangible fixed assets, ¥5.0 billion
decrease in cash and cash equivalents, ¥2.8 billion decrease in trade and other receivables, ¥3.4 billion increasein other financial assets, and ¥4.4 billion increase in inventories.
Total liabilities were ¥88.1 billion (¥96.8 billion at the end of the previous consolidated fiscal year), it decreased by¥8.7 billion (9.0%) from the end of the previous fiscal year. The main contents are ¥4.4 billion decrease in corporate
bonds and borrowings due to the repayment of borrowings, ¥3.4 billion decrease in income taxes payable, and¥1.0 billion decrease in trade and other payables.
Total equity was ¥240.3 billion (¥236.0 billion in the previous consolidated fiscal year), it increased by ¥4.3 billion(1.8%) from the end of the previous fiscal year. The main contents were ¥1.9 billion increase in other componentsof equity due to an increase in the conversion difference of foreign operation due to the depreciation of the yen,and ¥2.8 billion increase in retained earnings (¥6.9 billion increase due to the quarterly profit attributable to ownersof the parent company, ¥4.5 billion decrease due to the appropriation of surplus (dividend), and ¥0.3 billion transferof other components of equity to retained earnings due to sale of investment securities).
(3) Explanation of Forecast of Consolidated Financial Results and Other Forward-Looking Information
There is no change in the consolidated financial forecast for the fiscal year ending March 31, 2023, which wasannounced on October 31, 2022.

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EXEDY Corporation (7278) FY2022 3rd Quarter Financial Results

2. Quarterly Consolidated Financial Statements and Principal Notes(1) Quarterly Consolidated Statement of Financial Position
As of March 31, 2022

As of December 31, 2022

Millions of yen

Millions of yen

AssetsCurrent assets
Cash and cash equivalents

55,40750,388Trade and other receivables

53,82451,012Other financial assets

1,974

5,268

Inventories

41,726

46,172Other current assets

2,262

3,641

Total current assets

155,192

156,481

Property, plant and equipment

162,964

157,670

Goodwill and intangible assets

2,802

2,554

195

248

3,305

2,740

Other financial assets

45

102

Deferred tax assets

6,022

6,285

Retirement benefit asset

1,233

1,241

Other non-current assets

1,027

1,116

Total non-current assets

177,593

171,955

332,785

328,437

Non-current assets

Investments accounted for using equity method
Investments in Equity Instruments

Total assets-4-

EXEDY Corporation (7278) FY2022 3rd Quarter Financial Results
As of March 31, 2022

As of December 31, 2022

Millions of yen

Millions of yen

Liabilities and equity
Liabilities
Current liabilities
Bonds and borrowings

10,3818,201

Trade and other payables

36,09335,044

Other financial liabilities

594

567

Income taxes payable

4,005

590

Employee benefits accruals

1,954

2,003

Provisions

2,240

2,264

Other current liabilities

3,636

3,579

Total current liabilities

58,90352,247

Bonds and borrowings

27,53325,277

Other financial liabilities

879

1,051

Retirement benefit liability

6,724

6,802

Deferred tax liabilities

1,245

984

Other non-current liabilities

1,479

1,738

Total non-current liabilities

37,85935,852

96,762

88,099

Share capital

8,284

8,284

Capital surplus

7,555

7,534

Treasury shares(3,768)(3,709)Other components of equity

7,524

9,463

Retained earnings

202,160

204,915

Total equity attributable to owners of parent

221,756

226,486

Non-controlling interests

14,267

13,852

Total equity

236,023

240,338

332,785

328,437

Non-current liabilities

Total liabilities
EquityTotal liabilities and equity-5-

EXEDY Corporation (7278) FY2022 3rd Quarter Financial Results(2) Quarterly Consolidated Statement of Income and Quarterly Consolidated Statement ofComprehensive Income (Quarterly Consolidated Statement of Income)

FY2021 3rd Quarter

FY2022 3rd Quarter(April 1, 2021 through(April 1, 2022 throughDecember 31, 2021)

December 31, 2022)

Millions of yen

Millions of yen

Revenue

189,067

213,335

Cost of sales

155,019

181,131

Gross profit

34,04832,205

Selling, general and administrative expenses

22,575

24,662Other income

1,542

2,065

Other expenses

373

923

Operating profit

12,642

8,684

Finance income

1,273

2,188

Finance costs

720

725

19

58

Profit before tax

13,215

10,205

Income tax expense

3,767

2,874

Profit

9,448

7,331

8,511

6,884

937

447

9,448

7,331

181.41

146.64

Share of profit of investments accounted for using
equity method

Profit attributable to
Owners of parent
Non-controlling interests
ProfitEarnings per share
Basic and diluted earnings per share-6-

EXEDY Corporation (7278) FY2022 3rd Quarter Financial Results(Quarterly Consolidated Statement of Comprehensive Income)
FY2021 3rd Quarter

FY2022 3rd Quarter(April 1, 2021 through(April 1, 2022 throughDecember 31, 2021)

December 31, 2022)

Millions of yen

Millions of yen

Profit

9,448

7,331

11

(87)

11

(87)

2,933

2,843

2

0

2,935

2,844

2,946

2,756

12,394

10,087

11,431

9,152

Non-controlling interests

962

935

Comprehensive income

12,394

10,087

Other comprehensive income
Items that will not be reclassified to profit or loss
Net change in fair value of equity instruments
designated as measured at fair value throughother comprehensive income
Total of items that will not be reclassified to profit
or loss
Items that may be reclassified to profit or loss
Exchange differences on translation of foreign
operations
Share of other comprehensive income ofinvestments accounted for using equity method
Total of items that may be reclassified to profit orloss
Total other comprehensive income
Comprehensive income

Comprehensive income attributable to
Owners of parent-7-

EXEDY Corporation (7278) FY2022 3rd Quarter Financial Results(3) Quarterly Consolidated Statement of Changes in Equity
Previous third quarter consolidated cumulative period(April 1, 2021 through December 31, 2021)
Equity attributable to owners of parent
Other components of equity
Net change
in fair valueof equity
Exchange
instruments
differences
Share
CapitalTreasury
designatedoncapitalsurplussharesas measured
Totaltranslation
at fair valueof foreign
throughoperations
othercomprehensi
ve incomeMillions of yen Millions of yen Millions of yen Millions of yen Millions of yen Millions of yen

Balance as of April 1, 2021
Profit for the period
Other comprehensive income
Comprehensive income
Purchase of treasury shares
Disposal of treasury shares
Dividends of surplus
Share-based remunerationtransactions
Transfer to retained earnings
Total transactions with owners
Total changes in equity
Balance as of Dec 31, 2021

8,284
-

7,571
(16)
(7)

(3,822)(1)
56-(1,271)
2,909
2,909
-

287
11
11
-

(984)
2,920
2,920
-

8,284

(23)
(23)
7,548

55
55
(3,767)

2,909
1,638

11
298

2,920
1,936

Equity attributable toowners of parent
Retained
Total
earnings

Noncontrollinginterests

Total

Millions of yen Millions of yen Millions of yen Millions of yen

Balance as of April 1, 2021
Profit for the period
Other comprehensive income
Comprehensive income
Purchase of treasury shares
Disposal of treasury shares
Dividends of surplus
Share-based remunerationtransactions
Transfer to retained earnings
Total transactions with owners
Total changes in equity
Balance as of Dec 31, 2021

192,878
8,511
8,511(3,284)-203,927
8,511
2,920
11,431(1)
40(3,284)(7)

12,803
937
26
962
(816)
-

216,730
9,448
2,946
12,394(1)
40(4,100)(7)(3,284)
5,227
198,106(3,252)
8,180
212,107(816)
147
12,950(4,067)8,326
225,057-8-

EXEDY Corporation (7278) FY2022 3rd Quarter Financial Results

Current third quarter consolidated cumulative period(April 1, 2022 through December 31, 2022)
Equity attributable to owners of parent
Other components of equity
Net change
in fair valueof equity
Exchange
instruments
differences
Share
CapitalTreasury
designatedoncapitalsurplussharesas measured
Totaltranslation
at fair valueof foreign
throughoperations
othercomprehensi
ve incomeMillions of yen Millions of yen Millions of yen Millions of yen Millions of yen Millions of yen

Balance as of April 1, 2022
Profit for the period
Other comprehensive income
Comprehensive income
Purchase of treasury shares
Disposal of treasury shares
Dividends of surplus
Share-based remunerationtransactions
Transfer to retained earnings
Total transactions with owners
Total changes in equity
Balance as of Dec 31, 2022

8,284
-

7,555
(15)
-

(3,768)
(0)
59
-

7,274
2,355
2,355
-

250
(87)
(87)
-

7,524
2,268
2,268
-

-

(7)

-

-

-

-

8,284

(22)
(22)
7,534

59
59
(3,709)

2,355
9,629

(329)
(329)
(417)
(167)

(329)
(329)
1,939
9,463

Equity attributable toowners of parent
Retained
Total
earnings

Noncontrollinginterests

Total

Millions of yen Millions of yen Millions of yen Millions of yen

Balance as of April 1, 2022
Profit for the period
Other comprehensive income
Comprehensive income
Purchase of treasury shares
Disposal of treasury shares
Dividends of surplus
Share-based remunerationtransactions
Transfer to retained earnings
Total transactions with owners
Total changes in equity
Balance as of Dec 31, 2022

202,1606,884
6,884(4,459)221,756
6,884
2,268
9,152
(0)
44
(4,459)14,267447
488
935(1,350)236,023
7,331
2,756
10,087(0)44(5,809)

-

(7)

-

(7)

329
(4,130)2,754
204,915(4,422)
4,730
226,486(1,350)(415)
13,852(5,772)
4,315
240,338-9-

EXEDY Corporation (7278) FY2022 3rd Quarter Financial Results(4) Notes on Quarterly Consolidated Financial Statements(Notes for Going Concern)
Not applicable(Change in Accounting Policy)
Not applicable(Change in Accounting Estimate)
Not applicable(Segment Information)(1) Overview of Reportable Segments
The reportable segments are components of business activities for which discrete, and such information isregularly reviewed by the Company’s Board of Directors to make decisions about the allocation of resources
and assess its performance.
The Company and its consolidated subsidiaries are mainly engaged in the manufacture and sale ofautomotive parts. From the aspects of function, technological specification and productive structure, theproduct lines of the Company are classified roughly into 2 group, "Manual Transmission Parts" and "AutomaticTransmission Parts". The Company, in corporation with its consolidated subsidiaries, design business strategy
and conduct business for these 2 product lines inside Japan and overseas. Accordingly, the reportablesegments of the Company are composed of 2 segments, "MT (Manual Automotive Drivetrain related
business)" which manufactures and sells Manual Transmission Parts and "AT (Automatic Automotive
Drivetrain related business)" which manufactures and sells Automatic Transmission Parts.
(2) Information of Revenue, Profit and Loss by Segment and The Amount of Other Important Items.
Previous third quarter consolidated cumulative period (April 1, 2021 to December 31, 2021)(Million Yen)
Reportable Segment
MT

Other
(Note 1)

Adjustments
Consolidated(Note 4)

AT

Total

46,866

121,838

168,705

20,362-

189,067

234

1,837

2,070

5,112

(7,182)-

47,100123,675

170,775

25,474(7,182)

189,067

5,634

5,436

11,0711,565

712,642

Revenue
External Customers
Intersegments (Note 2)
Total
Segment Profit (Note 3)
Finance Income

1,273

Finance Costs

720

Share of profit of investments accounted for using equity method

19

Profit before Tax

13,215(Note) 1. Other includes businesses which is not part of any of the 2 reportable segments, and contain
industrial machine drivetrain operation, clutches for motorcycle operation, transport operation, etc.
2. Amount of intersegments transactions is based on market price.
3. Segment profit is based on operating profit on quarterly consolidated income statement.
4. Elimination of intersegment transactions and corporate expenses are included in adjustments.

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EXEDY Corporation (7278) FY2022 3rd Quarter Financial Results

Current third quarter consolidated cumulative period (April 1, 2022 to December 31, 2022)(Million Yen)
Reportable Segment
MT

Other
(Note 1)

Adjustments
Consolidated(Note 4)

AT

Total

53,204

135,799

189,003

24,332-

213,335

230

445

675

4,135

(4,810)-53,435

136,243

189,678

28,467(4,810)213,335

6,329

1,028

7,356

1,756

(428)

8,684

Revenue
External Customers
Intersegments (Note 2)
Total
Segment Profit(Note 3)Finance Income

2,188

Finance Costs

725

Share of profit of investments accounted for using equity method

58

Profit before Tax

10,205(Note) 1. Other includes businesses which is not part of any of the 2 reportable segments, and contain
industrial machine drivetrain operation, clutches for motorcycle operation, transport operation, etc.
2. Amount of intersegments transactions is based on market price.
3. Segment profit is based on operating profit on quarterly consolidated income statement.
4. Elimination of intersegment transactions and corporate expenses are included in adjustments.

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