Translation
Notice: This document is an excerpt translation of the original Japanese document and is only for reference purposes. In the eventof any discrepancy between this translated document and the original Japanese document, the latter shall prevail.

Summary of Consolidated Financial Resultsfor Six Months Ended June 30, 2021
(Based on Japanese GAAP)
August 5, 2021
Company name:

Optorun Co., Ltd.

Stock exchange listing: Tokyo
Stock code:
6235

URL http://www.optorun.co.jp

Representative:

Representative Director and President/CEODirector and Executive OfficerIhei Hayashi

Inquiries:

General Manager of Corporate Management Mitsuo Yamada
Dept.

Scheduled date to file Securities Report:
Scheduled date to commence dividend payments:

August 5, 2021
–Preparation of supplementary material on financial results:
Holding of financial results meeting:

Yes
Yes

TEL 03-6635-9487(for institutional investors and analysts)(Amounts less than one million yen are rounded down)

1. Consolidated Results for Six Months Ended June 30, 2021 (January 1, 2021 to June 30, 2021)(1) Consolidated operating results
Percentages indicate year-on-year changes
Profit attributable toNet sales
Operating profit
Ordinary profit
owners of parent
Millions ofMillions ofMillions ofMillions of%%%%yenyenyenyen
Six Months Ended June 30, 2021
14,946(9.9)
3,431(6.1)
3,915(0.9)
2,737(5.1)
Six Months Ended June 30, 2020
16,590(37.8)
3,652(50.6)
3,952(45.6)
2,884(51.9)

Earnings per share

Diluted earnings per share

Yen

Yen

Six Months Ended June 30, 2021
Six Months Ended June 30, 2020

63.56
67.69

61.91
65.36

(2) Consolidated financial position
Total assets
Millions of yen
As of June 30, 2021
59,821
As of December 31, 2020
54,327

Net assets
Millions of yen
41,77339,515Equity ratio%
69.8
72.7

2. Cash dividends
Annual dividends per share
1st quarter-end 2nd quarter-end 3rd quarter-end Fiscal year-end

Year ended December 31, 2020
Year ended December 31, 2021
Year ending December 31, 2021
(Forecast)

Total

Yen

Yen

Yen

Yen

Yen

––

0.00
0.00

–

50.00

50.00

–

50.00

50.00

3. Forecast of consolidated financial results for the year ending December 31, 2021 (from January 1, 2021 to December 31, 2021)

Net sales
Millions of yen
Full year
38,100Percentages indicate year-on-year changes
Profit attributable toOperating profit
Ordinary profit
Earnings per shareowners of parent% Millions of yen% Millions of yen% Millions of yen%
Yen
1.6
9,000
4.3
9,000
4.5
7,000
3.0
162.904. Notes(1) Changes in significant subsidiaries during the year ended December 31, 2021
(changes in specified subsidiaries resulting in the change in scope of consolidation):No(2) Changes in accounting policies, changes in accounting estimates, and restatement of prior period financial statements
Changes in accounting policies due to revisions to accounting standards and other regulations:No
Changes in accounting policies due to other reasons:
Changes in accounting estimates:

No
No

Restatement of prior period financial statements:

No(3) Number of issued shares (common shares)
Total number of issued shares at the end of the period (including treasury shares)
As of June 30, 2021

44,358,000 shares

As of December 31, 2020

44,358,000 shares

As of December 31, 2020

1,386,947 shares

Six Months Ended June 30, 2020

42,606,833 sharesNumber of treasury shares at the end of the period
As of June 30, 2021

1,219,947 shares

Average number of shares during the period
Six Months Ended June 30, 2021

43,069,992 shares

Consolidated financial statements
Consolidated balance sheets(Thousands of yen)
As of December 31, 2020

As of June 30, 2021

AssetsCurrent assets
Cash and deposits

22,722,838

31,528,124

Notes and accounts receivable - trade
Work in process

9,769,664
7,297,242

4,405,925
8,631,776

Raw materials and supplies
Other

3,850,246
1,275,525

3,434,525
1,541,363

Allowance for doubtful accounts(343,692)(298,961)

Total current assets

44,571,825

49,242,755

3,193,917

3,553,642

752,494
69,340697,839
60,540821,835

758,380

Non-current assets
Property, plant and equipment
Intangible assets
Goodwill
Other
Total intangible assets
Investments and other assets
Investment securities

350,000

350,000

Investments in capital
Deferred tax assets

4,749,314
412,501

5,289,222
397,946

Other
Total investments and other assets
Total non-current assets
Total assets

227,905

229,569

5,739,721

6,266,738

9,755,474

10,578,760

54,327,299

59,821,515

(Thousands of yen)
As of December 31, 2020

As of June 30, 2021

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

1,702,784
401,675

3,003,535
399,881

66,00021,56566,00020,763355,785
8,921,891

959,427
10,384,547

310,830
421,152

333,311
252,169

Other

1,453,008

1,418,544

Total current liabilities

13,654,694

16,838,180

Long-term loans payable
Lease obligations

54,00027,19521,00023,026

Deferred tax liabilities
Retirement benefit liability

641,885
156,835

837,231
169,627

Other277,277

159,051

Current portion of long-term loans payable
Lease obligations
Income taxes payable
Advances received
Provision for bonuses
Provision for product warranties

Non-current liabilities

Total non-current liabilities

1,157,193

1,209,937

14,811,888

18,048,117

Capital stock
Capital surplus

400,000
9,819,208

400,000
9,975,463

Retained earnings
Treasury shares

30,053,492(91,311)30,642,647(80,316)

Total shareholders' equity

40,181,389

40,937,793(692,903)

803,899(692,903)

803,899

26,92531,70539,515,411

41,773,398

54,327,299

59,821,515

Total liabilities
Net assets
Shareholders' equity

Accumulated other comprehensive income
Foreign currency translation adjustment
Total accumulated other comprehensive income
Non-controlling interests
Total net assets
Total liabilities and net assets

Consolidated statements of income and consolidated statements of comprehensive income
Consolidated statements of income(Thousands of yen)
Six Months Ended June 30,

Six Months Ended June 30,2020

2021

Net sales
Cost of sales

16,590,440
9,932,257

14,946,955
8,189,866

Gross profit

6,658,182

6,757,088

Selling, general and administrative expenses

3,005,776

3,326,016

Operating profit

3,652,406

3,431,071

Interest income
Rent income

28,752
42,911

8,896
14,619Foreign exchange gains
Subsidy income

211,886
83,253

489,666
14,684Non-operating income

Other

18,22815,088

Total non-operating income

385,031542,955

Interest expenses
Share of loss of entities accounted for using equity

3,595
51,446

3,239
55,097methodContribution

15,841－Other

14,10773

Total non-operating expenses

84,98958,4103,952,448

3,915,617

Gain on sales of non-current assets-9,000Total extraordinary income-9,000Loss on retirement of non-current assets

1,039

52,329Total extraordinary losses

1,039

52,329Profit before income taxes

3,951,408

3,872,288

Income taxes - current

1,067,222

1,131,221

Profit2,884,185

2,741,067

-

3,359

2,884,185

2,737,707

Non-operating expenses

Ordinary profit
Extraordinary income

Extraordinary losses

Profit (loss) attributable to non-controlling interestsProfit attributable to owners of parent

Consolidated statements of comprehensive income(Thousands of yen)
Six Months Ended June 30,2020

Six Months Ended June 30,2021

Profit2,884,185

2,741,067

Other comprehensive income
Foreign currency translation adjustment(513,241)

1,224,611(234,076)

273,612

Share of other comprehensive income of entities
accounted for using equity method
Total other comprehensive income
Comprehensive income(747,318)

1,498,223

2,136,866

4,239,290

2,136,866

4,234,510－4,780Comprehensive income attributable toComprehensive income attributable to owners of parent
Comprehensive income attributable to non-controllinginterests

Consolidated statements of cash flows(Thousands of yen)
Fiscal year ended
December 31, 2020

Fiscal year ended
December 31, 2021

Cash flows from operating activities
Profit before income taxes
Depreciation

3,951,408
119,086

3,872,288
163,220

Amortization of goodwill
Increase (decrease) in allowance for doubtful accounts－(2,943)

81,044(44,731)

Increase (decrease) in provision for bonuses
Increase (decrease) in provision for product warranties

116,727(94,803)2,799(168,983)

Increase (decrease) in retirement benefit liability
Gain on sales of non-current assets(4,307)－12,792(9,000)

Loss on disposal of non-current assets
Interest income

1,039(28,7529

52,329(8,896)

Interest expenses
Foreign exchange losses (gains)

3,595
76,932

3,239(439,019)

Share of loss (profit) of entities accounted for using
equity method

51,44655,097

Decrease (increase) in notes and accounts receivable trade(139,806)

5,761,026

Decrease (increase) in inventories
Increase (decrease) in notes and accounts payable - trade(2,890,492)
1,575,477(444,758)
880,054

Increase (decrease) in advances received
Decrease (increase) in consumption taxes refund(1,130,969)
89,344

1,419,016
123,792(449,480)(240,291)

1,243,500

11,071,020

receivable
Decrease (increase) in notes and accounts receivable trade
SubtotalInterest income received

28,752

8,896Interest expenses paid
Income taxes paid

(3,595)(572,811)(3,239)(331,700)

Net cash provided by (used in) operating activities

695,846

10,744,977

Cash flows from investing activities
Purchase of property, plant and equipment(415,252)(414,038)

Proceeds from sales of property, plant and equipment
Purchase of intangible assets－(22,724)

9,000(3,846)

Payments for investments in capital
Payment of security deposit(24,000)－(12,000)(19,943)(461,9769)(440,829)

Net cash provided by (used in) investing activities

(Thousands of yen)
Fiscal year ended
December 31, 2020

Fiscal year ended
December 31, 2021

Cash flows from financing activities
Repayments of long-term loans payable
Purchase of treasury shares(53,864)(151)(33,000)-Repayments of lease obligations
Proceeds from exercise of share options(11,882)
77,805(11,158)
37,200Cash dividends paid

(2,541,079)(2,143,600)

Net cash provided by (used in) financing activities(2,529,172)(2,150,558)(154,400)

651,696

Effect of exchange rate change on cash and cash
equivalents
Net increase (decrease) in cash and cash equivalents(2,449,703)

8,805,286

Cash and cash equivalents at beginning of period

26,969,840

22,722,838

Cash and cash equivalents at end of period24,520,137

31,528,124