SUMMARY OF FINANCIAL STATEMENTS (Consolidated)
Full-year Results for the Fiscal Year Ended March 31, 2022
JSP Corporation

April 28, 2022

[Japanese GAAP]

Stock Exchange Listed: Tokyo Stock Exchange
Code Number: 7942

Name of listed company:
URL: https://www.co-jsp.co.jp/english/
Representative: Tomohiko Okubo, President, Representative Director
Contact person: Yasushi Komori, Director, Executive Officer,
General Manager, Accounting Department, Finance & Accounting Division
Phone: +81-3-6212-6306
Scheduled date of Annual General Meeting of Shareholders:June 29, 2022
Scheduled date of payment of dividend:
June 10, 2022
Scheduled date of filing of Annual Securities Report:
June 29, 2022
Preparation of supplementary materials for financial results:
Yes
Holding of financial results meeting:Yes (for analysts)

Note: The original disclosure in Japanese was released on April 28, 2022 at 15:00 (GMT +9).
(All amounts are rounded down to the nearest million yen)

1. Full-year Results (April 1, 2021 to March 31, 2022) for the Fiscal Year Ended March 31, 2022
(1) Consolidated business performance(Percentages represent year-on-year changes)
Net sales
Fiscal year ended Mar. 31, 2022
Fiscal year ended Mar. 31, 2021
Note: Comprehensive income:Operating profit
Million yen

Ordinary profit%

Million yen%

Profit attributable toowners of parent

Million yen%

Net income per
share

Fully diluted net
Ordinary profit to Operating profit
Return on equity
income per sharetotal assets
to net sales

114,125
11.2
4,589 (11.5)
4,868(11.8)
102,668
(9.4)
5,185
2.0
5,519
5.9
Fiscal year ended Mar. 31, 2022:
6,029 million yen (up 132.4%)
Fiscal year ended Mar. 31, 2021:
2,594 million yen (up 23.7%)

Yen

Yen

%

Million yen

2,893
3,017

%

%

(4.1)
(17.1)%

Fiscal year ended Mar. 31, 2022
97.06
3.4
3.7
4.0
Fiscal year ended Mar. 31, 2021
101.22
3.7
4.3
5.1
Reference: Equity in earnings (losses) of affiliates:
Fiscal year ended Mar. 31, 2022: 10 million yen
Fiscal year ended Mar. 31, 2021:
9 million yen
Note: JSP has applied the “Accounting Standard for Revenue Recognition” (Accounting Standards Board of Japan (ASBJ) Statement
No. 29, March 31, 2020) from the beginning of the fiscal year ended March 31, 2022.

(2) Consolidated financial position
Total assets
As of Mar. 31, 2022
As of Mar. 31, 2021
Reference: Shareholders’ equity:(3) Consolidated cash flows

Net assets

Shareholders’ equity ratio Net assets per share

Million yen

Million yen

Cash flows fromoperating activities

Cash flows frominvesting activities

Cash flows fromfinancing activities

Cash and cash equivalents
at the end of period

5,972
12,211(5,888)(5,174)(2,565)(2,266)

10,52012,278

134,527
90,231129,053
85,561
As of Mar. 31, 2022: 85,995 million yen As of Mar. 31, 2021:

Million yen

Fiscal year ended Mar. 31, 2022
Fiscal year ended Mar. 31, 2021

Million yen

Million yen

2. Dividends
Annual dividends per share
1Q-endFiscal year ended Mar. 31, 2021
Fiscal year ended Mar. 31, 2022
Fiscal year ending Mar. 31, 2023
(forecasts)

Yen

2Q-end3Q-end Year-end
Yen

Total

-

25.00
25.00

Yen

Yen

-

25.00
25.00

50.00
50.00

Yen

-

25.00

-

25.00

50.00

%

Yen

63.9
2,884.93
63.9
2,767.26
82,488 million yen

Million yen

Total
Dividend on
Payout ratio
amounts of
net assets(consolidated)
dividends(consolidated)
Million yen

1,490
1,490

%

49.4
51.5
48.1

%

1.8
1.8

3. Forecast for Consolidated Business Performance in the Fiscal Year Ending March 31, 2023
(Percentages represent year-on-year changes)(April 1, 2022 to March 31, 2023)
Net salesFirst half
Full year

Million yen

63,500128,000

Operating profit
%

14.1
12.2

Million yen

Ordinary profit
%

1,900
4,300

Million yen(36.4)
(6.3)

%

2,000
4,500

(35.1)(7.6)

Profit attributable toowners of parent

Million yen

1,400
3,100

%

Net income
per shareYen(38.6)
7.1

46.97
104.00* Notes(1) Changes in principal subsidiaries during the period (changes in specified subsidiaries resulting in changes in thescope of consolidation): None
Newly added: -Excluded: -(2) Changes in accounting policies and accounting-based estimates, and restatements
1) Changes in accounting policies due to revisions in accounting standards, others: Yes
2) Changes in accounting policies other than 1) above: None
3) Changes in accounting-based estimates: None
4) Restatements: None

(3) Number of shares outstanding (common stock)1) Number of shares outstanding at the end of the period including treasury shares
As of Mar. 31, 2022:

31,413,473 shares

As of Mar. 31, 2021:

31,413,473 shares

As of Mar. 31, 2021:

1,604,702 sharesFiscal year ended Mar. 31, 2021:

29,808,992 shares

2) Number of treasury shares at the end of the period
As of Mar. 31, 2022:

1,605,071 shares

3) Average number of shares outstanding during the period
Fiscal year ended Mar. 31, 2022:

29,808,575 shares

Reference: Overview of Non-consolidated Operating Performance
Full-year Results (April 1, 2021 to March 31, 2022) for the Fiscal Year Ended March 31, 2022
(Percentages represent year-on-year changes)(1) Non-consolidated business performance
Net sales
Fiscal year ended Mar. 31, 2022
Fiscal year ended Mar. 31, 2021

Million yen

57,15354,257

Operating profit
%

5.3
(7.1)

Net income per share
Yen

Million yen

1,185
1,631

Ordinary profit%(27.3)(8.2)

Million yen

2,744
2,688

Profit%2.1(17.5)

Million yen

2,063
2,122

%

(2.8)
(0.7)

Fully diluted net income per
share

Yen

Fiscal year ended Mar. 31, 2022
69.22
Fiscal year ended Mar. 31, 2021
71.21
Note: JSP has applied the “Accounting Standard for Revenue Recognition” (ASBJ Statement No. 29, March 31, 2020) from the
beginning of the fiscal year ended March 31, 2022.

(2) Non-consolidated financial position
Total assets
As of Mar. 31, 2022
As of Mar. 31, 2021
Reference: Shareholders’ equity:

Net assets

Million yen

Shareholders’ equity ratio

Million yen%

Net assets per
share

Yen

88,81253,58160.3
1,797.52
87,55053,18460.7
1,784.18
As of Mar. 31, 2022: 53,581 million yen As of Mar. 31, 2021: 53,184 million yen* The current financial report is not subject to audits by certified public accountants or an auditing firm.
* Cautionary statement with respect to forward-looking statements
Forecasts of future performance in this report are based on assumptions judged to be valid and information currently available to
JSP. Actual results may differ significantly from these forecasts for a number of factors. Please refer to “1. Overview of Results ofOperations, (4) Outlook” on page 3 of the attached documents for assumptions for forecasts and notes of caution for usage.

JSP Corporation (7942) Full-year Results for the Fiscal Year Ended March 31, 2022

1. Overview of Results of Operations
JSP has applied the “Accounting Standard for Revenue Recognition” (ASBJ Statement No. 29, March 31, 2020) fromthe beginning of the fiscal year ended March 31, 2022.
(1) Results of Operations
The global economy recovered during the fiscal year mainly due to stronger consumer spending as restrictions on
economic activity were gradually lifted. However, the pace of the recovery was slow because of another wave of
infections caused by a new coronavirus variant, shortages of semiconductors and other components, the higher costof raw materials, and other reasons. In Japan, although restrictions on economic activity imposed by states of
emergency came to an end and delays caused by supply chain problems declined, the outlook for the economy
remained unclear due to the Ukraine crisis, uncertainty about when the pandemic will end and other concerns.
In Japan’s foamed plastics industry, demand associated with spending by people staying home for safety remained
firm and there was a slow recovery in overall demand, which had been declining. Despite these positive trends, market
conditions were extremely difficult because the cost of raw materials continued to rise.
This fiscal year is the first year of the medium-term business plan, “Change for Growth.” The plan has two basic
strategies. First is to broaden the value we provide for both economic value and social value to our customers and for
addressing social issues. Second is to fortify the management base. The overall objective of the plan is more growthof corporate value.
Net sales in the fiscal year were higher than one year earlier mainly because of an increase in sales of products with
substantial added value and revisions of prices for JSP products. The operating profit decreased from one year earlier
because of a big increase in the cost of raw materials. There was an extraordinary loss mainly because of an impairment
loss at consolidated subsidiaries in Japan and a fire at a consolidated subsidiary in South Korea.
Net sales in the fiscal year were 114,125 million yen, up 11.2% from the previous fiscal year. Operating profit
decreased 11.5% to 4,589 million yen, ordinary profit decreased 11.8% to 4,868 million yen and profit attributable toowners of parent decreased 4.1% to 2,893 million yen.
Results by business segment were as follows.
Extrusion Business
Sales of STYRENPAPER (foamed polystyrene sheet used in food packaging) and other materials for householdproducts increased due in part to price revisions. The sales volume of MIRABOARD, a material used for advertising
displays, increased. There were lower sales of materials used for food trays following a temporary rapid growth insales one year earlier, although demand remains strong as people stay at home.
Sales were higher than the previous fiscal year for industrial packaging products, including MIRAMAT (foamed
polyethylene sheet), which is used for industrial packaging materials and flat panel displays. The main reasons werehigher sales of general-purpose products, in addition to a significant increase in sales of value-added products.
Sales of MIRAFOAM (extruded board made of foamed polystyrene) and other construction and civil engineering
materials decreased. Sales of materials for fabrication in the building construction and housing markets were about
the same as one year earlier but sales of materials used for civil engineering applications were lower.
Overall segment sales increased due to higher sales of products with substantial added value and product pricerevisions. Earnings increased mainly because higher sales and other positive factors outweighed a sharp increase in
the cost of raw materials.
As a result, sales in extrusion business increased 3.9% to 39,076 million yen and operating profit increased 8.0% to
2,782 million yen.
Bead Business
ARPRO/P-BLOCK (expanded polypropylene), which is manufactured and sold worldwide, is used in a diverse arrayof applications. Major uses are automotive parts such as bumper cores and seat cores, cushioning and packaging
materials for returnable containers for components of all types, cushioning and packaging materials, insulation andcushioning materials for housing facilities, and impact protection materials for athletic fields. Sales of ARPRO/P-

1

JSP Corporation (7942) Full-year Results for the Fiscal Year Ended March 31, 2022

BLOCK and other high-performance products were affected by restrictions on economic activity in response toanother wave of new coronavirus variant and shortages of semiconductors and other components. But monetary sales
and sales volume were higher than one year earlier because of the gradual recovery in the demand for JSP highperformance products and the increasing number of new automotive component applications. In Japan, sales in theautomobile sector increased. In North America, sales are slowly increasing as operations are affected by the lower
output of automakers. In South America, sales increased in the automobile sector. In Europe, there were strong sales
in the automobile sector and other market sectors. In Asia, sales in the packaging materials sector increased in China
and Taiwan.
The sales volume of expandable polystyrene bead products, chiefly STYRODIA, decreased because of lower demand
for these products in the fisheries and agriculture sectors. Although sales increased, mainly due to price revisions,further action is being taken to respond to the continuing increase in the cost of raw materials.
Sales of FOAMCORE (a hybrid molded product), which is used as a material for prefabricated bathroom unit ceilings
and marine floats, increased mainly due to a recovery in demand.
Overall segment sales increased because of a recovery in demand in the automobile and other sectors. Earnings
decreased as the benefits of price revisions were offset by the higher cost of raw materials.
As a result, sales in bead business increased 14.4% to 68,513 million yen and operating profit decreased 26.2% to2,620 million yen.
Other
Sales of general packaging materials increased in Japan as sales in the automotive parts transportation and other market
sectors recovered. In China, strong demand for packaging materials for many types of components resulted in higher
sales.
As a result, sales in the other segment increased 26.2% to 6,536 million yen and operating profit increased 119.9% to212 million yen.
(2) Financial Position
Total assets as of March 31, 2022 were 134,527 million yen, up 5,473 million yen from March 31, 2021.
Current assets increased 6,046 million yen to 68,503 million yen mainly due to increases in notes and accounts
receivable-trade of 1,726 million yen, merchandise and finished goods of 1,677 million yen and raw materials andsupplies of 1,236 million yen.
Non-current assets decreased 573 million yen to 66,024 million yen.
Total liabilities as of March 31, 2022 were 44,295 million yen, up 803 million yen from March 31, 2021.
Current liabilities increased 1,822 million yen to 33,098 million yen mainly due to an increase in notes and accounts
payable-trade of 1,756 million yen.
Non-current liabilities decreased 1,018 million yen to 11,197 million yen mainly due to a decrease in long-termborrowings of 810 million yen.
As a result, net assets totaled 90,231 million yen and the shareholders’ equity ratio was 63.9%, the same as at the endof the previous financial year.
(3) Cash Flows
Cash flows from operating activities
Net cash provided by operating activities totaled 5,972 million yen, a decrease of 6,239 million yen from the previous
fiscal year. Inflows included 4,149 million yen from profit before income taxes, 6,832 million yen from depreciation
and an increase of 1,377 million yen in trade payables. Outflows included increases in trade receivables of 1,620
million yen and inventories of 2,640 million yen, and income taxes paid of 1,691 million yen.
Cash flows from investing activities
Net cash used in investing activities totaled 5,888 million yen, an increase of 713 million yen from the previous fiscal
year. This included an outflow of 5,658 million yen for the purchase of non-current assets.
2

JSP Corporation (7942) Full-year Results for the Fiscal Year Ended March 31, 2022

Cash flows from financing activities
Net cash used in financing activities totaled 2,565 million yen, an increase of 299 million yen from the previous fiscal
year. Inflows included proceeds from long-term borrowings of 3,800 million yen. Outflows included 4,356 million
yen for the repayment of long-term borrowings, which was mainly allocated from operating cash flows, and cash
dividends paid of 1,490 million yen.
As a result, cash and cash equivalents totaled 10,520 million yen as of March 31, 2022, down 1,757 million yen fromMarch 31, 2021.
(4) Outlook
The outlook for the global economy for the fiscal year ending March 2023 is becoming increasingly uncertain. One
reason is the rising cost of raw materials as geopolitical risk continues to climb. Other reasons are the absence of any
signs of an end to global supply chain disruptions and lockdowns in China in response to an upturn in COVID-19
cases. However, the global economy is expected to recover as countries end pandemic-related restrictions while
continuing to implement safety measures.
In this difficult business climate, we plan to revise prices of products to reflect the higher cost of raw materials, utilities
and logistics. In addition, we will continue to address sustainability management issues.
Based on these assumptions and forecasts, our outlook for business segment performance is as follows.
Extrusion BusinessWe forecast higher sales of STYRENPAPER (expanded polystyrene sheet used in food packaging) and other materials
for household products because of increasing demand for these materials following the launch of environmentally
responsible products.
For MIRAMAT (expanded polyethylene sheet), a material used for industrial packaging and flat panel displays, andother industrial packaging products, we expect that demand for protective packaging materials for flat panel displays
will remain strong.
We forecast higher sales of MIRAFOAM (extruded board made of expanded polystyrene) and other construction andcivil engineering materials based on the outlook for increasing demand for energy efficient houses and buildings.
Sales may be negatively affected by a decline in purchases of residences caused by the rising cost of building materials.
Overall, we expect sales in this business to increase because of higher sales and revisions of prices of JSP products.
We forecast lower earnings because of the impact of higher cost of raw materials.
Bead BusinessWe forecast higher sales of ARPRO/P-BLOCK (expanded polypropylene), which we manufacture and sell around theworld, based on the expectation for a recovery in demand following the pandemic downturn to offset the negative
effect on production at automobile manufacturers due to continuing shortages of semiconductors and othercomponents.
We forecast higher sales in the expandable polystyrene bead products, chiefly STYRODIA, based on the outlook fora higher demand for bean bag cushions and other functional bead products.
Overall, we expect an increase in sales due to the recovery of sales of ARPRO/P-BLOCK and the revision of productprices to offset higher prices of raw material. Earnings are expected to increase due to higher sales and revisions of
product prices.
Other
We forecast lower sales in the general packaging materials and packaging materials for automotive parts in Japan and
China.

3

JSP Corporation (7942) Full-year Results for the Fiscal Year Ended March 31, 2022

Sales and earnings forecasts for the fiscal year ending March 31, 2023 are as follows.
i. Forecast for consolidated business performance in the fiscal year ending March 31, 2023
Net sales

Full year
Assumptions
Exchange rates:
Dubai crude oil:

Million yen

128,000

Operating profit%

12.2

Million yen

4,300

%

Million yen

(6.3)

4,500

%

(7.6)

Million yen

3,100

%

7.1

JPY120/USD, JPY130/EUR, JPY19.0/CNY
USD110/BL

ii. Segment information summary

Extrusion Business
Bead Business
Other
Subtotal
Adjustments
Total(Percentages represent year-on-year changes)
Profit attributable toOrdinary profit
owners of parent

Fiscal year ended March 31, 2022 (Results)
Net sales
Operating profit
39,0762,782
68,513
2,620
6,536
212
114,125
5,615(1,026)
114,125
4,589(Million yen)
Fiscal year ending March 31, 2023 (Forecast)
Net sales
Operating profit
41,5002,100
80,500
3,200
6,000
100
128,000
5,400(1,100)128,000
4,300

iii. Capital expenditures
The forecast for capital expenditures is 7,800 million yen. This includes investments for reconstruction of a factory
as related assets were destroyed by a fire at a consolidated subsidiary in South Korea in March 2021. Substantial
investments will be made to promote automation, labor efficiency and energy conservation for an effective
rationalization of production systems. The forecast for depreciation expenses increases 200 million yen from one year
earlier to 7,000 million yen.
Forecasts of future performance in this report are based on assumptions judged to be valid and information currently
available. Actual results may differ significantly from these forecasts for a number of factors.
(5) Profit Allocation Policy and Dividends for the Current and Next Fiscal Years
Distributing earnings to shareholders is one of the highest priorities of JSP. Our policy is to make stable dividend
payments after taking into consideration all applicable factors, including consolidated performance in each fiscal year
and the need to retain earnings for strengthening the base of future business activities.
Retained earnings are used to increase financial soundness, R&D expenditures for new products and technologies,
and capital expenditures for new businesses.
As prescribed in Article 459, Paragraph 1 of the Companies Act of Japan, the JSP Articles of Incorporation allow the
Board of Directors to approve the payment of dividends from retained earnings. The basic policy is to pay an interim
and year-end dividend based on resolutions of the Board of Directors.
For the fiscal year that ended on March 31, 2022 in consideration of results of operations, the operating environment,
dividend stability and other items, we plan to pay a dividend of 50 yen per share. Since an interim dividend of 25 yen
per share has been paid, this will result in a year-end dividend of 25 yen per share. In the fiscal year ending on March
31, 2023, we plan to pay an interim and year-end dividend of 25 yen per share each, a total of 50 yen.
2. Basic Approach for the Selection of Accounting Standards
We will continue to prepare consolidated financial statements using Generally Accepted Accounting Principles inJapan for the time being to permit comparisons with prior years and with the financial data of other companies.
We will take suitable actions with regard to the application of International Financial Reporting Standards (IFRS) by
taking into account associated factors worldwide.
* This summary report is solely a translation of “Kessan Tanshin” (in Japanese, including the attachments), which has been
prepared in accordance with accounting principles and practices generally accepted in Japan, for the convenience of readers
who prefer an English translation.

4