April 23, 2021

Summary Report of Consolidated Financial Results
for the first quarter ended March 31, 2021
Registered company name:

Canon Marketing Japan Inc.

Stock listing:Code number:Tokyo Stock Exchange, First Section
8060

URL:

https://cweb.canon.jp/eng/ir

Representative director:

Masachika Adachi, President

Contact:

Masahiko Banno, General Manager Accounting Div. Accounting Headquarters

Dividend payable date (as planned):
U.S. Accounting Standards Applied:No

1.Consolidated business results for the for the three months ended March 31, 2021(From January 1, 2021 to March 31, 2021)(1) Consolidated Results of Operations(Amounts less than one million yen are truncated)
Net sales

Three months ended
March 31, 2021
March 31, 2020
[Note] Comprehensive Income:

140,359%(0.8)

141,483(6.3)

Millions of yen(Percentage represents increases or decreases from the previous year)
Profit attributable
Operating income
Ordinary income
to owners of parent
Millions of yen
Millions of yen%
% Millions of yen%
10,581
36.2
10,906
40.0
7,989
94.6
7,767

10.7

7,791

7.4

4,104(14.1)

Three months ended March 31, 2021 : 8,392 million yen [138.1%]
Three months ended March 31, 2020 : 3,525 million yen [(48.4%)]
Basic earnings
per share

Diluted net income
per share

Yen

Yen

March 31, 2021

61.62

61.61

March 31, 2020

31.66

31.65

Three months ended(2) Consolidated Financial Position
Total assets
First quarter ended March 31, 2021

Millions of yen
507,761

Millions of yen
349,297

506,604

346,114

Year ended December 31, 2020
[Reference] Shareholders' equity:(Amounts less than one million yen are truncated)
Equity ratio
Net asset per share

Net assets%
68.7

Yen2,688.6768.2

2,664.20

First quarter ended March 31, 2021 : 348,631 million yen
Year ended December 31, 2020 : 345,458 million yen

2.Dividends
Dividend per shareFirst quarter-end
Year ended December 31, 2020

Yen-

Year ending December 31, 2021-

Second quarter-end

Year ending December 31, 2021

Yen
20.00

Year-end

Yen---(forecast)Third quarter-end-

Annual

Yen

Yen

40.00

60.00

60.00

[Note] Revision of cash dividend forecast for this period : No
[Note]The interim dividend for the fiscal year ending December 31, 2021 remains undecided because financial results forecasts have yet to bemade for the first six months of the fiscal year ending December 31, 2021. The year-end dividend for the fiscal year ending December 31, 2021
will be an amount calculated by subtracting the interim dividend from the full-year dividend.
3.Consolidated financial forecast for the fiscal year ending December 31, 2021

Full year(Amounts less than one million yen are truncated)(Percentage represents increases or decreases from the previous year)
Profit attributable
Basic earnings
Net sales
Operating income
Ordinary incometo owners of parent
per share
Yen
Millions of yen % Millions of yen% Millions of yen% Millions of yen %8.6
567,000 4.0
34,00034,800 (1.2)
23,500 6.8
181.23[Note] Revision of forecast for this period : Yes-1-*Others(1) Material changes in subsidiaries during this period(Changes in scope of consolidations resulting from change is subsidiaries) :(2) Application of a specified accounting procedure :

None
Yes

(3) Changes in accounting policies and accounting estimates, retrospective restatement( i ) Changes in accounting policies based on revisions of accounting standard :None( ii ) Changes in accounting policies other than ( i ) :None( iii ) Changes in accounting estimates :None( iv ) Retrospective restatement :None(4) Number of issued and outstanding shares (common stock)( i ) Number of issued and outstanding shares at the end of the period (including treasury stock)
131,079,972
As of March 31, 2021 :As of December 31, 2020 :

131,079,972( ii ) Number of treasury stock at the end of the period
As of March 31, 2021 :

1,413,122

As of December 31, 2020 :

1,412,822( iii ) Average number of shares
As of March 31, 2021 :

129,666,964

As of March 31, 2020 :

129,666,081* Audits by CPAs or audit corporations are not required for quarterly financial results.
Disclaimer :Earnings projections are based on information available at the time these materials were announced, and theCompany cannot guarantee that they will be realized. Also, actual results may differ from the estimated figures
given due to various factors.

-2-Consolidated Quarterly Balance Sheets(Amounts less than one million yen are truncated)
As of December 31, 2020
AssetsCurrent assets
Cash and deposits
Notes and accounts receivable-trade
Securities
Merchandise and finished goods
Work in process
Raw materials and supplies
Short-term loans receivable
Other current assets
Allowance for doubtful receivables
Total current assets
Non-current assets
Property, plant and equipment
Buildings and structures, netMachinery, equipment and vehicles, netTools, furniture and fixtures, net
Rental assets, net
Land
Lease assets, net
Construction in progress
Total property, plant and equipment
Intangible assets
SoftwareLease assets
Utilization rights
Other intangible assets
Total intangible assets
Investments and other assets
Investments in securities
Long-term loans receivable
Prepaid pension and severance costs
Deferred tax assets
Lease deposits
Other investments and other assets
Allowance for doubtful receivables
Total investments and other assets
Total non-current assets
Total assets-3-

As of March 31, 2021

59,631
105,328500
27,091
103
631
180,006
7,122(66)
380,349

65,943
97,533500
29,733
177
575
180,0166,240(33)
380,687

43,402
87
3,004
7,281
28,35916
1,577
83,72943,085
85
2,934
6,761
28,35913
2,887
84,127

5,373
1
294
0
5,669

5,664
0
303
0
5,969

11,30235
415
19,2193,427
2,659(205)
36,855
126,255
506,604

11,55825415
19,068
3,296
2,805
(193)
36,977127,074
507,761

Consolidated Quarterly Balance Sheets(Amounts less than one million yen are truncated)
As of December 31, 2020
Liabilities
Current liabilities
Notes and accounts payable-trade
Lease obligations
Accrued expenses
Accrued income taxes
Consumption taxes payable
Accrued bonuses
Accrued directors’ bonuses
Accrued product warranties
Accrued loss on order received
Other current liabilities
Total current liabilities
Long-term liabilities
Lease obligations
Deferred tax liabilities
Allowance for long-term continuous service rewards
Accrued pension and severance costs
Other long-term liabilities
Total long-term liabilities
Total liabilities
EquityShareholders' equity
Common stock
Capital surplus
Retained earnings
Treasury stock
Total shareholders' equity
Accumulated other comprehensive income (loss)
Net unrealized gains on available-for-sale securities
Deferred gains or losses on hedges
Foreign currency translation adjustments
Defined retirement benefit plans
Total accumulated other comprehensive income (loss)
Non-controlling interests
Total equity
Total liabilities and equity-4-

As of March 31, 2021

44,10754
16,166
7,004
5,547
5,664
75
453
8
29,356
108,440

47,07451
12,924
3,486
4,679
14,15612463
1024,136
106,99574
1
951
47,883
3,139
52,049160,49062
1
1,037
47,6182,748
51,468
158,463

73,30382,814
188,481(2,103)
342,495

73,30382,814191,284(2,104)345,297

4,230(29)5(1,243)2,962
655
346,114506,6044,470
15
68(1,220)
3,333
666
349,297507,761

Consolidated Quarterly Statements of Income(Amounts less than one million yen are truncated)
Three months of FY2020(from January 1, 2020
to March 31, 2020)
Net sales
Cost of sales
Gross profit
Selling, general and administrative expenses
Operating income
Non-operating income
Interest income
Dividend income
Gain on investments in partnership
Other, net
Total non-operating income
Non-operating expenses
Interest expense
Foreign exchange losses
Other, net
Total non-operating expenses
Ordinary income
Extraordinary income
Gain on sales of fixed assets
Gain on sales of shares of subsidiaries and associates
Other, net
Total extraordinary income
Extraordinary losses
Loss on sales and disposal of fixed assets
Loss on sales of shares of subsidiaries and associates
Other, net
Total extraordinary losses
Net income before income taxes
Income taxes
Net income
Net income attributable to non-controlling interests
Net income attributable to owners of parent-5-

Three months of FY2021(from January 1, 2021
to March 31, 2021)

141,483
94,61746,86539,097
7,767

140,359
93,07947,27936,698
10,581

58
26－
65
150

68
22
152
169
413

2
33
90
127
7,791

2
27
58
88
10,906

279
－
34
314

4
895
2
902

26
737
4
767
7,338
3,191
4,146
41
4,104

19－
－
19
11,789
3,777
8,012
22
7,989

Consolidated Quarterly Statements of Comprehensive Income(Amounts less than one million yen are truncated)
Three months of FY2020(from January 1, 2020
to March 31, 2020)
Net income
Other comprehensive income (loss)
Net unrealized gains or losses on available-for-sale securities
Deferred gains / (losses) on hedges
Foreign currency translation adjustments
Defined retirement benefit plans, net of tax
Total other comprehensive income (loss)
Comprehensive income
Comprehensive income attributable toOwners of parent
Non-controlling interests-6-

Three months of FY2021(from January 1, 2021
to March 31, 2021)

4,146

8,012

(1,042)
(13)
1433
(621)
3,525

238
4473
23
380
8,392

3,485
39

8,360
32

Consolidated Quarterly Statements of Cash Flows(Amounts less than one million yen are truncated)
Three months of FY2020(from January 1, 2020
to March 31, 2020)Three months of FY2021(from January 1, 2021
to March 31, 2021)

Cash flows from operating activities
Net income before income taxes
Depreciation and amortization
Increase (decrease) in allowance for doubtful receivables
Increase (decrease) in accrued pension and severance costs
Decrease (increase) in prepaid pension and severance costs
Increase (decrease) in accrued bonuses
Interest and dividend income
Interest expense
Loss (gain) on sales and disposal of property, plant and equipment, net
Loss (gain) on sales of investments in securities
Loss (gain) on sales of shares of subsidiaries and associates
Loss (gain) on investments in partnership
Decrease (increase) in notes and accounts receivable-trade
Decrease (increase) in inventories
Increase (decrease) in notes and accounts payable-trade
Other, net
SubtotalInterest and dividends received
Interest paid
Income taxes paid
Net cash provided by operating activities

7,338
2,948
1500
(5)
8,522
(85)
2(254)(14)
737
0
11,657(491)(3,037)(10,284)
17,53682(2)(7,397)
10,218

11,7892,625(44)
(90)
(11)
8,507
(91)
2
15
(2)
(895)
(152)
7,710
(2,676)2,968(6,022)
23,63189(2)(6,770)16,947

Cash flows from investing activities
Payments for purchases of property, plant and equipment
Proceeds from sales of property, plant and equipment
Payments for purchases of intangible assets
Payments for purchases of investments in securities
Proceeds from sales of investments in securities(5,794)
1,003(1,323)(76)
85(5,967)6(646)
(1)
312

828

1,062

0(95)
(5,372)0(354)(5,589)(20)(0)(3,833)(26)(3,881)(44)920
54,49355,414(15)(0)(5,115)(21)(5,153)
107
6,311
60,131
66,443

Proceeds from sales of shares of a subsidiary resulting in change
in scope of consolidation
Decrease (increase) in short-term loans receivable, net.
Other, net
Net cash provided by (used in) investing activities
Cash flows from financing activities
Repayments of finance lease obligations
Payments for purchases of treasury stock
Dividends paid
Dividends paid to non-controlling interests
Net cash used in financing activities
Effect of exchange rate changes on cash and cash equivalents
Net increase (decrease) in cash and cash equivalents
Cash and cash equivalents at beginning of period
Cash and cash equivalents at end of period-7-Consolidated Quaterly Segment Information
I. Three months of FY2020 (from January 1, 2020 to March 31, 2020)
Information on net sales and income (loss) by reportable segment(Amounts less than one million yen are truncated)

Reportable segment
Consumers

Enterprise

24,641

48,190

Area

Professional

Other

Total

Adjustment Consolidated

141,483-Net sales
Sales - external customers
Sales - intersegment
TotalOperating income (loss)

59,342

8,314

995

141,483

8

2,415

2,664

374

1,610

7,072

(7,072)-

24,64950,60662,006

8,688

2,605

148,556(7,072)

141,483

22

3,670

3,586

656

(148)

7,787

(19)

7,767

[Note]
1. Other includes call center business and BPO service business, which are not included in reportable segments.
2. Adjustment of Operating income (loss) is the elimination of intersegment transactions.
3. Total amount of Operating income (loss) for Reportable segments, Other and Adjustment is equal to the Operating income of Consolidated
Quarterly Statements of Income.

Ⅱ. Three months of FY2021 (from January 1, 2021 to March 31, 2021)
Information on net sales and income (loss) by reportable segment(Amounts less than one million yen are truncated)

Reportable segment
Consumers

Enterprise

30,62644,577

Area

Professional

Other

Total

Adjustment Consolidated

140,359-Net sales
Sales - external customers
Sales - intersegment
Total
Operating income (loss)

56,655

7,824

675

2,733

359

1,867

7,648

(7,648)-59,389

8,184

2,543

148,007(7,648)140,359678(635)

10,562

19

10,58112

2,674

30,63947,252

3,014

3,554

3,950

140,359[Note]
1. Other includes call center business and BPO service business, which are not included in reportable segments.
2. Adjustment of Operating income (loss) is the elimination of intersegment transactions.
3. Total amount of Operating income (loss) for Reportable segments, Other and Adjustment is equal to the Operating income of Consolidated
Quarterly Statements of Income.
*NOTE*(Changes in Reporting Segments)
Part of the organization that conducted direct sales to medium-sized/second-tier companies in the Area segment was transferred to theEnterprise segment in 2021. Accordingly, results for 2020 have been reclassified between the segments.

-8-