TOKYO ELECTRON

Summary of Consolidated Financial Results for the Year Ended
March 31, 2021 (Japanese GAAP)

April 30, 2021

Name of Listed Company:
Security Code:
URL:
Representative:
Contact:

Tokyo Electron Limited
8035
https://www.tel.com
Toshiki Kawai, Representative Director, President & CEO
Ken Sasagawa, Vice President of Accounting Dept.
Telephone: +81-3-5561-7000
Scheduled start date of dividends payment: May 28, 2021
Preparation of supplementary materials for the financial results: Yes
Earnings release conference: Yes (for investors and analysts)

Stock Exchange Listing: Tokyo

Note: Amounts are rounded down to the nearest million yen.
1. Consolidated Financial Results for the Year Ended March 31, 2021 (April 1, 2020 to March 31, 2021)(1) Consolidated Operating Results
Note: Percentages indicate changes from the same period of the previous fiscal year.
Year ended
March 31, 2020

March 31, 2021%

Net sales (Millions of yen)%

1,127,286 (11.8)

1,399,102

24.1

237,292 (23.6)

320,68535.1

Ordinary income (Millions of yen)

244,979 (23.8)

322,10331.5

Net income attributable to owners of parent (Millions of yen)

185,206 (25.4)

242,941

31.2

Basic

1,170.57

1,562.20

DilutedOperating income (Millions of yen)

Net income per share of common stock (Yen):
1,164.02

1,553.29

Return on equity (%)

21.8

26.5

Ordinary income to total assets (%)

19.3

23.8

21.0

22.9

Operating income to net sales (%)
Comprehensive income:Year ended March 31, 2021:

305,801 million yen, 63.5%

Year ended March 31, 2020:

187,084 million yen, (22.9)%

Profit (loss) on equity method: Year ended March 31, 2021:
Year ended March 31, 2020:

1,110 million yen
794 million yen(2) Consolidated Financial Position
As ofMarch 31, 2020
Total assets (Millions of yen)
Total net assets (Millions of yen)

1,425,364

829,692

1,024,562

64.1

71.1

5,267.96

6,512.18

Equity ratio (%)
Net assets per share (Yen)
Equity:March 31, 2021

1,278,495

1,012,977 million yen (as of March 31, 2021)
819,301 million yen (as of March 31, 2020)(3) Consolidated Cash Flows
Year ended
March 31, 2020

March 31, 2021

Cash flows from operating activities

253,117

Cash flows from investing activities

15,951(18,274)

Cash flows from financing activities(250,374)(114,525)

Cash and cash equivalents at end of period

247,959

265,9931

145,888

TOKYO ELECTRON

2. Dividends
Year ended
March 31, 2020

Year ending
March 31, 2022

March 31, 2021

(Forecast)

1Q-end dividends per share (Yen)

-

-

-

2Q-end dividends per share (Yen)

246.00360.00524.003Q-end dividends per share (Yen)

-

-

-

Year-end dividends per share (Yen)

342.00421.00537.00

Annual dividends per share (Yen)

588.00781.001,061.00

Total dividends (Millions of yen)

92,213

121,937

Payout ratio (%)

50.2

50.0

Dividend on equity (%)

11.1

13.3

50.0

Note: The year-end dividends per share for the year ended March 31, 2021 shown above are forecast. Please refer to the press
Note: release "Announcement on Dividends Forecast Revision for the Fiscal Year Ended March 31, 2021" published today.
3. Financial Forecasts for the Year Ending March 31, 2022 (April 1, 2021 to March 31, 2022)
Note: Percentages indicate changes from the same period of the previous fiscal year.
Year ending
September 30, 2021

March 31, 2022%%

Net sales (Millions of yen)

840,000-

1,700,000

Operating income (Millions of yen)

218,000-

442,000-

Ordinary income (Millions of yen)

218,000-

442,000-

Net income attributable to owners of parent (Millions of yen)

163,000-

330,000-

Net income per share (Yen)

1,047.89-

2,121.49

Note: From the beginning of the year ending March 31, 2022, the Company applies “Accounting Standard for Revenue Recognition”
Note: (ASBJ Statement No. 29). Financial forecasts above include the effects of the new standards. Accordingly, percentages ofNote: changes from the same period of the previous fiscal year are not indicated.
Notes(1) Changes in significant subsidiaries during the period(Changes in specified subsidiaries associated with changes in scope of consolidation): None
(2) Changes in accounting policies, changes in accounting estimates and restatements
1. Changes in accounting policies along with changes in accounting standards: None
2. Other changes of accounting policies besides the number 1 above: None
3. Changes in accounting estimates: None
4. Restatements: None
(3) Number of shares issued and outstanding (common stock)
1. Number of shares issued and outstanding (including treasury stock)
As of March 31, 2021:

157,210,911 shares

As of March 31, 2020:

157,210,911 shares

2. Number of shares of treasury stock
As of March 31, 2021:

1,659,611 shares

As of March 31, 2020:

1,685,556 shares

3. Average number of shares outstanding
Year ended March 31, 2021:

155,511,991 sharesYear ended March 31, 2020:

158,219,782 shares

Note: The number of shares of treasury stock includes the Company’s shares held by "Executive compensation Board Incentive Plan (BIP) trust"and "share-delivering Employee Stock Ownership Plan (ESOP) trust". (615,237 shares as of March 31, 2021, 472,030 shares as ofMarch 31, 2020)
In addition, these Company’s shares are included in the treasury stock which is deducted in calculating the average number of shares.

2

TOKYO ELECTRON(Reference) Non-consolidated Financial Results for the Year Ended March 31, 2021 (April 1, 2020 to March 31, 2021)(1) Operating results
Note: Percentages indicate changes from the same period of the previous fiscal year.
Year ended
March 31, 2020

March 31, 2021%

Net sales (Millions of yen)
Operating income (Millions of yen)%

1,029,433 (11.1)

1,292,883

25.6

101,737 (30.4)

164,015

61.2

Ordinary income (Millions of yen)

209,769 (40.5)

260,109

24.0

Net income (Millions of yen)

177,514 (43.2)

211,449

19.1

Basic

1,121.95

1,359.70

Diluted

1,115.68

1,351.94

Net income per share of common stock (Yen):(2) Financial position
As ofMarch 31, 2020
Total assets (Millions of yen)
Total net assets (Millions of yen)
Equity ratio (%)
Net assets per share (Yen)
Equity:March 31, 2021

1,005,178

1,034,506

479,859

625,913

46.7

59.4

3,018.59

3,949.36

614,327 million yen (as of March 31, 2021)
469,467 million yen (as of March 31, 2020)* Status of implementation of audit proceduresThis Summary of Consolidated Financial Results is outside the scope of external auditor's audit procedures under the Financial
Instruments and Exchange Act.
* Explanation of the appropriate use of financial forecast:
The financial forecasts and estimates in this Summary of Consolidated Financial Results are based on information available to
the Company at the time of report issuance and certain assumptions judged to be reasonable by the Company, and therefore
are not guarantees of future performance. Consequently, actual results may differ substantially from those described in thisSummary of Consolidated Financial Results. Please refer to "1. Overview of Operating Results and Consolidated Financial
Conditions (3) "Future Forecast" on page 7. The Company plans to hold an online conference for investors and analysts on
April 30, 2021. Supplementary materials to be used at the conference will be posted on the Company's website.

3

File Name:TOKYO ELECTRON

1. Overview of Operating Results and Consolidated Financial Conditions(1) Overview of Operating Results(i) Business Environment during the Fiscal Year Ended March 31, 2021
During the fiscal year under review, although the global economy was affected by the novel coronavirus (COVID-19) pandemic, there
are signs of a return to positive economic growth, driven by the implementation of economic stimulus policies by national governments.
In the electronics industry, where the Tokyo Electron (TEL) Group operates, the market for semiconductor production equipment is
expanding as demand for semiconductors increases, driven by the transition to a data society due to the expansion of the use ofcommunications technologies such as IoT, AI and 5G. Although it will be necessary to continue to monitor the impact of COVID-19,
the market for semiconductor production equipment is expected to grow further.

(ii) Overview of Profit and Loss during the Fiscal Year Ended March 31, 2021
In this environment, the consolidated business results for the fiscal year under review are as follows.
Net sales for the fiscal year increased 24.1% from the previous fiscal year to 1,399,102 million yen. Domestic net sales increased
22.1% from the previous year to 197,566 million yen, while overseas net sales increased 24.5% to 1,201,535 million yen to accountfor 85.9% of net sales.
Cost of sales increased 23.5% to 834,157 million yen and gross profit increased 25.0% to 564,945 million yen. As a result, the grossprofit margin expanded by 0.3 points to 40.4%.
Selling, general and administrative (SG&A) expenses increased 13.8% to 244,259 million yen, while the ratio to consolidated net sales
declined by 1.6 points to 17.5%.
As a result, operating income increased 35.1% to 320,685 million yen and operating profit ratio increased 1.9 points to 22.9%. After
netting of non-operating income of 5,492 million yen and non-operating expenses of 4,074 million yen, ordinary income increased
31.5% to 322,103 million yen.
Income before income taxes was 317,038 million yen (year-on-year growth of 29.6%) and net income attributable to owners of parent
was 242,941 million yen (year-on-year growth of 31.2%).
As a result, net income per share was 1,562.20 yen compared to net income per share of 1,170.57 yen in the previous fiscal year.

4File Name:TOKYO ELECTRON(iii) Overview of Operations by Business Segment during the Fiscal Year Ended March 31, 2021
The overview of each business segment is as described below.

Semiconductor Production Equipment
Due to the expanded use of communications technologies mentioned above, capital investment in semiconductors for logic/foundries
has been robust in a wide range of areas, from the cutting-edge to mature generations of semiconductors. In addition, capital
investment in NAND flash memory increased significantly during the current fiscal year, reflecting the transition to a data society.
Furthermore, capital investments in DRAM that had been adjusted also started to recover due to an improvement in the balance
between supply and demand toward the second half of the fiscal year. Consequently, net sales to external customers in this segment
during the fiscal year under review were 1,315,200 million yen (year-on-year growth of 24.0%).

Flat Panel Display (FPD) Production Equipment
The FPD production equipment market underwent positive growth year-on-year, with an increase in capital investment in small to
medium-sized OLED panels for mobile devices in addition to robust capital investment in large-sized LCD panels for televisions.
Consequently, net sales to external customers in this segment during the fiscal year under review were 83,772 million yen (year-onyear growth of 26.8%).

Other
Net sales to external customers in this segment during the fiscal year under review totaled 129 million yen (year-on-year decreaseof 34.1%).

(For reference）
Consolidated Operating Results（Millions of yen）

Year ended
March 31,
2020
Net Sales
Semiconductor Production Equipment
Japan
North America
EuropeSouth Korea
TaiwanChina
Southeast Asia, and Others
FPD Production Equipment
OthersOperating Income
Ordinary Income
Net Income Attributable to Owners of Parent

1,127,286
1,060,997
159,141
205,772
58,899151,577
256,401
193,667
35,53766,092
197
237,292
244,979
185,206

Year ended March 31, 2021
First
SecondFull Year
1Q
2Q
Half
3Q
4Q
Half
314,823 353,337 668,160 291,725 439,216 730,942 1,399,102
303,772 331,684 635,457 264,305 415,438 679,743 1,315,200
49,150 56,852 106,002 36,149 53,669 89,819 195,821
42,343 44,009 86,352 34,501 31,202 65,704 152,057
15,774 16,311 32,086 12,797 18,619 31,416
63,50267,013 72,199 139,213 39,318 101,407 140,725 279,938
50,926 53,914 104,840 52,513 88,283 140,796 245,637
73,957 79,123 153,081 70,541 102,222 172,763 325,844
4,605
9,274 13,880 18,483 20,033 38,516
52,397
11,013 21,623 32,636 27,388 23,747 51,135
83,772
37
29
66
31
31
63
129
73,849 73,579 147,429 62,868 110,388 173,256 320,685
75,089 73,138 148,228 62,424 111,451 173,875 322,103
56,452 55,559 112,012 46,167 84,761 130,928 242,941

Note: Intersegment sales or transfers are eliminated.

5File Name:TOKYO ELECTRON(2) Overview of Consolidated Financial Conditions(i) Financial Conditions
Current assets at the end of the current fiscal year were 1,015,696 million yen, an increase of 53,212 million yen compared to the endof the previous fiscal year. This was mainly due to an increase of 41,566 million yen in trade notes and accounts receivable, anincrease of 36,632 million yen in cash and deposits, an increase of 23,279 million yen in inventories, and a decrease of 63,485 million
yen in short-term investments included in securities.
Tangible fixed assets increased by 21,387 million yen from the end of the previous fiscal year, to 196,967 million yen.
Intangible fixed assets increased by 6,241 million yen from the end of the previous fiscal year, to 17,163 million yen.
Investments and other assets increased by 66,026 million yen from the end of the previous fiscal year, to 195,536 million yen.
As a result, total assets increased by 146,868 million yen from the end of the previous fiscal year, to 1,425,364 million yen.
Current liabilities decreased by 54,917 million yen from the end of the previous fiscal year, to 327,661 million yen. This was largely
due to a decrease in customer advances of 53,603 million yen.
Long-term liabilities increased by 6,915 million yen from the end of the previous fiscal year, to 73,140 million yen.
Net assets increased by 194,870 million yen from the end of previous fiscal year, to 1,024,562 million yen. This was largely due to anincrease of 242,941 million yen in net income attributable to owners of parent, a decrease resulting from the payment of 109,542
million yen in year-end dividends for the previous fiscal year and an interim dividend for the current fiscal year, and an increase of
45,998 million yen in net unrealized gains on investment securities. As a result, the equity ratio was 71.1%.

(ii) Cash Flows
Cash and cash equivalents at the end of the current fiscal year increased by 18,033 million yen compared to the end of the previous
fiscal year, to 265,993 million yen. The combined balance including 45,559 million yen in time deposits and short-term investmentswith maturities of more than three months that are not included in cash and cash equivalents was 311,553 million yen, a decrease of
26,853 million yen from the end of the previous fiscal year. The overall situation regarding cash flows for the fiscal year was as
described below.
Cash flows from operating activities were positive 145,888 million yen, a decrease of 107,229 million yen compared to the same
period of the previous fiscal year. The major positive factors were 317,038 million yen in income before income taxes, 33,843 million
yen in depreciation and amortization. The major negative factors were 87,772 million yen in payment of income taxes, a decrease incustomer advances of 54,851 million yen, an increase in trade notes and accounts receivable of 37,736 million yen, and an increase
in inventories of 17,226 million yen.
Cash flows from investing activities were negative 18,274 million yen compared to positive 15,951 million yen in the same period of
the previous fiscal year. This was largely due to the payment of 53,806 million yen for the purchase of fixed assets, and an inflow of
35,000 million yen from a decrease in short-term investments.
Cash flows from financing activities were negative 114,525 million yen compared to negative 250,374 million yen in the same periodof the previous fiscal year. This was largely due to the payment of 109,542 million yen in dividends.

6File Name:TOKYO ELECTRON(3) Future forecast
Although it will be necessary to continue to monitor the impact of COVID-19, the market for semiconductor production equipment is
expected to undergo further growth in the future with the robust increase in demand for semiconductors set against the backdrop of
the transition to a data society due to the expansion of use of communications technologies such as IoT, AI, 5G. Based on the current
business and economic environment, the consolidated financial forecasts for next fiscal year (the year ending March 31, 2022) are
expected to see an increase in revenue and earnings as set out below.

From the beginning of the year ending March 31, 2022, the Company applies “Accounting Standard for Revenue Recognition”(ASBJ Statement No. 29). Financial forecasts include the effects of the new standards. Accordingly, percentages of changes from thesame period of the previous fiscal year are not indicated.

Consolidated Forecast
Year ending March 31, 2022
Net Sales
Semiconductor Production Equipment
FPD Production Equipment
Operating Income
Ordinary Income
Net Income Attributable to Owners of Parent

Interim
840.0
814.0
26.0
218.0
218.0
163.0

(Billions of yen, Y/Y change)
Full Year－ 1,700.0－－ 1,643.0
－
57.0
－
－
442.0
－
－
442.0
－
－
330.0
－
－

Note: Intersegment sales or transfers are eliminated.

Note: The financial forecasts and estimates stated in this announcement are based on certain assumptions judged to be reasonable
by the Company in light of information currently available concerning economic conditions in Japan and overseas, fluctuations inforeign exchange rates, and other factors that may have an impact on performance. The company does not promise that the forecasts
or estimates will be accurate.
They are therefore susceptible to the impact of many uncertainties, including market conditions, competition, the launching of new
products (and their success or failure), and global conditions in the semiconductor related industry. Consequently, actual sales andprofits may differ substantially from the projections stated in this announcement.

(4) Basic Policy on Profit Allocation and Payment of Dividends for the Current and Next Fiscal YearsTEL utilizes capital reserves to raise corporate value through earnings growth and provide returns directly to shareholders byconcentrating investment in high-growth areas and linking dividend payments to business performance.
Basic policy concerning shareholder return is as follows.

Shareholder Return Policy• Our dividend policy is to link dividend payments to business performance on an ongoing basis and a payout ratio is around
50% based on net income attributable to owners of parent, with the conditions that an annual dividend per share is not less than
150 yen.
Note: A dividend policy review is required if TEL does not generate net income for two consecutive fiscal years.
• TEL will flexibly consider share buybacks.

7

File Name:TOKYO ELECTRON

The year-end dividend for the current fiscal year (the year ended March 31, 2021) is scheduled to be 421 yen per share. The
dividend for the full year will be 781 yen per share, which includes the interim dividend of 360 yen per share.
Dividends are forecasted for the next fiscal year (the year ending March 31, 2022) to be 1,061 yen per share for the entire year
which consists of an interim dividend of 524 yen and year-end dividend of 537 yen, in accordance with the above consolidated
forecast for net income attributable to owners of parent for the next fiscal year pursuant to the stated dividend policy.

2Q-endDividend per share
Year-end

Total

Current fiscal year
(ended March 31, 2021)

360 yen421 yen781 yenNext fiscal year
(ending March 31, 2022)

524 yen

537 yen

1,061 yen

2. Basic philosophy on the selection of accounting standards
The consolidated financial statements of TEL group have been prepared in conformity with accounting principles generally acceptedin Japan. In regard to the application of IFRS, we will pay close attention to domestic and international implementation adoption trends
and respond accordingly.

8

TOKYO ELECTRON

Consolidated Balance Sheets(Millions of yen)
As of

As of

March 31, 2020

March 31, 2021

ASSETS
Current assets
Cash and deposits

149,906

186,538

Trade notes and accounts receivable

150,134

191,700

Securities

188,500

125,014Merchandise and finished goods

267,625

269,772

Work in process

69,51480,742

Raw materials and supplies

54,92464,828Prepaid consumption tax

69,03482,704

Others12,94914,493

Allowance for doubtful accounts
Total current assets

(105)

(99)

962,484

1,015,696

Long-term assets
Tangible fixed assets
Buildings and structures

179,379

208,475

Accumulated depreciation(107,139)(113,679)

Buildings and structures, net

72,23994,795

Machinery and carriers

138,555

159,634

Accumulated depreciation(102,844)(119,554)

Machinery and carriers, net

35,71040,080Land

26,29826,929Construction in progress

29,41322,391Others

39,08944,350(27,172)(31,579)

Accumulated depreciation
Others, net

11,917

12,770175,580

196,967

Others

10,921

17,163

Total intangible fixed assets

10,921

17,163

Investment securities

38,374

105,065

Deferred tax assets

64,72953,128Net defined benefit assets

5,837

12,021Others21,98026,728

Allowance for doubtful accounts(1,413)(1,407)

Total tangible fixed assets
Intangible fixed assets

Investments and other assets

Total investments and other assets
Total long-term assets
Total assets

9129,509

195,536

316,011409,667

1,278,495

1,425,364

TOKYO ELECTRON

Consolidated Balance Sheets(Millions of yen)
As of

As of

March 31, 2020

March 31, 2021

LIABILITIESCurrent liabilities
Trade notes and accounts payable

95,93890,606

Income taxes payable

52,65449,272Customer advances

135,326

81,722

Accrued employees’ bonuses

29,13934,254

Accrued warranty expenses

14,534

14,415

Others54,98657,389Total current liabilities

382,578

327,661Long-term liabilities
Net defined benefit liabilities

60,635

62,137

Others

5,588

11,002

Total long-term liabilities

66,224

73,140448,802400,801

54,961

54,961

Total liabilities
NET ASSETS
Shareholders' equity
Common stock
Capital surplus

78,01178,011Retained earnings

702,990

835,240

Treasury stock, at cost

(29,310)(30,744)

Total shareholders' equity

806,652

937,468

20,126

66,124(52)(79)

Foreign currency translation adjustments(4,111)

10,441

Accumulated remeasurements of defined benefit plans(3,313)(978)Total accumulated other comprehensive income (loss)

12,64875,508

10,391

11,585

829,692

1,024,562

1,278,495

1,425,364

Accumulated other comprehensive income
Net unrealized gains (losses) on investment securities
Net deferred gains (losses) on hedging instruments

Share subscription rights
Total net assets
Total liabilities and net assets

10

TOKYO ELECTRON

Consolidated Statements of Income(Millions of yen)
Year ended

Year ended

March 31, 2020

March 31, 2021

1,127,286

1,399,102

Cost of sales

675,344834,157

Gross profit

451,941

564,945

Salaries and allowances

25,197

26,174

Research and development expenses

120,268

136,648

Net sales

Selling, general & administrative expenses

Others69,18381,436

Total selling, general and administrative expenses

214,649244,259

237,292

320,685

Operating income
Non-operating income
Dividend income

802

778

Share of profit of associates accounted for using the equity method

794

1,110

Revenue from grants

1,330

1,130

Foreign exchange gain

2,539

-

Others

2,985

2,472

Total non-operating income

8,452

5,492

Non-operating expenses
Foreign exchange loss

-

3,147

Commission for purchase of treasury stock

174-

Others591

926

Total non-operating expenses

765

4,074

244,979

322,103

Gain on sales of fixed assets

34

24

Gain on change in equity

136-

Total unusual or infrequent profit

171

24

483

1,354

Ordinary income
Unusual or infrequent profit

Unusual or infrequent loss
Loss on disposal and sales of fixed assets

-

3,327

OthersProvision for loss on liquidation of subsidiaries and associates

41

408

Total unusual or infrequent loss

524

5,090

Income before income taxes

244,626

317,038

Provision for income taxes and enterprise taxes

65,177

82,568Deferred income taxes(5,757)(8,471)

Total income taxes

59,41974,096

Net income

185,206

242,941

Net income attributable to owners of parent

185,206

242,941

11

TOKYO ELECTRON

Consolidated Statements of Comprehensive Income(Millions of yen)

Net income

Year ended

Year ended

March 31, 2020

March 31, 2021

185,206

242,941

7,099

45,982Other comprehensive income (loss)
Net unrealized gains (losses) on investment securities
Net deferred gains (losses) on hedging instruments

632

Foreign currency translation adjustments(8,461)

14,536

Remeasurements of defined benefit plans

3,278

2,266

(45)

41

1,878

62,860187,084

305,801

187,084

305,801

Share of other comprehensive income of associates
accounted for using the equity method
Total other comprehensive income (loss)
Comprehensive income(Breakdown)Comprehensive income attributable to owners of parent

12

TOKYO ELECTRON

Consolidated Statements of Changes in Net Assets
Year ended March 31, 2020

(Millions of yen)
Shareholders' equity

Common stock

Balance at beginningof period

54,961

Capital surplus

Retained earnings

78,011

Treasury stock

748,827(11,821)

Total shareholders'equity869,977

Changes of items during
the period
Cash dividends(95,513)(95,513)

Net income attributableto owners of parent

185,206

185,206

Repurchase of treasury
stock(154,096)(154,096)(1,616)

2,684

1,067

(133,922)

133,922-

Disposal of treasury
stock
Cancellation of treasury stock

10

Others10

Net changes except forshareholders' equity
Total changes of items
during the period--(45,836)(17,488)(63,325)

Balance at end of period

54,96178,011

702,990(29,310)806,652

Accumulated other comprehensive income
Net unrealized gains Net deferred gains(losses) on hedging(losses) on
instruments
investment securities
Balance at beginningof period

13,024Foreign currencytranslation
adjustments

(34)

4,366

Total accumulated
Accumulated
remeasurements of other comprehensive
income (loss)
defined benefit plans(6,585)

10,770Share subscription
rights7,368

Total net assets

888,117

Changes of items during
the period
Cash dividends(95,513)

Net income attributableto owners of parent

185,206

Repurchase of treasury
stock(154,096)

Disposal of treasury
stock

1,067

Cancellation of treasury stock-

Others10

Net changes except forshareholders' equity

7,102

(17)

(8,478)

3,271

1,878

3,022

4,900

Total changes of items
during the period

7,102

(17)

(8,478)

3,271

1,878

3,022

(58,424)

Balance at end of period

20,126(52)(4,111)(3,313)

12,648

10,391

829,692

13

TOKYO ELECTRON

Consolidated Statements of Changes in Net Assets
Year ended March 31, 2021

(Millions of yen)
Shareholders' equity

Common stock

Balance at beginningof period

54,961

Capital surplus

Retained earnings

78,011

Treasury stock

702,990(29,310)

Total shareholders'equity806,652

Changes of items during
the period
Cash dividends(109,542)(109,542)

Net income attributableto owners of parent

242,941

242,941

Repurchase of treasury
stock
Disposal of treasury
stock(4,339)(4,339)(1,149)

2,906

1,757

Net changes except forshareholders' equity
Total changes of items
during the period--

132,249(1,433)130,816

Balance at end of period

54,96178,011

835,240(30,744)

937,468

Accumulated other comprehensive income
Net unrealized gains Net deferred gains(losses) on(losses) on hedging
investment securities
instruments
Balance at beginningof period

20,126

Foreign currencytranslation
adjustments(52)(4,111)

Accumulated
Total accumulated
remeasurements of other comprehensive
defined benefit plansincome (loss)(3,313)

12,648

Share subscription
rights

10,391

Total net assets

829,692

Changes of items during
the period
Cash dividends(109,542)

Net income attributableto owners of parent

242,941

Repurchase of treasury
stock(4,339)

Disposal of treasury
stock

1,757

Net changes except forshareholders' equity

45,998(26)

14,553

2,335

62,8601,194

64,054

Total changes of items
during the period

45,998(26)

14,553

2,335

62,8601,194

194,870

Balance at end of period

66,124(79)

10,441(978)75,508

11,585

1,024,562

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TOKYO ELECTRON

Consolidated Statements of Cash Flows(Millions of yen)
Year ended

Year ended

March 31, 2020

March 31, 2021

Cash flows from operating activities
Income before income taxes

244,626

317,038

Depreciation and amortization

29,107

33,843

Amortization of goodwill
Increase (decrease) in accrued employees' bonuses

196

199

(3,802)

4,612

-

3,327

Provision for loss on liquidation of subsidiaries and associates
Decrease (increase) in trade notes and accounts receivable(5,370)(37,736)

Decrease (increase) in inventories(44,065)(17,226)

Increase (decrease) in trade notes and accounts payable

22,337(8,255)Decrease (increase) in prepaid consumption tax(19,508)(13,549)

Increase (decrease) in accrued consumption tax

6,140(5,699)

Increase (decrease) in customer advances

58,630(54,851)

Others

4,387

10,289Subtotal

292,679

231,990

Receipts from interest and dividends

2,326

1,669

Income taxes paid or refund (paid)(41,888)(87,772)

Net cash provided by operating activities

253,117

145,888

Cash flows from investing activities(10,449)(568)-

10,506

Payment for purchase of short-term investments(90,000)(45,000)

Proceeds from redemption of short-term investments

170,000

80,000

Payment for purchase of fixed assets(49,369)(53,806)

Payment for acquisition of intangible assets(3,383)(7,124)

Payment into time deposits
Proceeds from time deposits

OthersNet cash provided by (used in) investing activities(845)(2,281)

15,951(18,274)

Cash flows from financing activities
Payment for purchase of treasury stock(154,096)(4,339)Dividends paid

(95,513)(109,542)

(764)

(643)

(250,374)(114,525)

OthersNet cash used in financing activities
Effect of exchange rate changes on cash and cash equivalents(3,369)4,946

Net increase (decrease) in cash and cash equivalents

15,324

18,033

Cash and cash equivalents at beginning of period

232,634

247,959

Cash and cash equivalents at end of period

247,959

265,99315

TOKYO ELECTRON

Notes
Going concern: None

Changes in accounting policies, changes in accounting estimates and restatements: None

16

TOKYO ELECTRON

Segment information(i) General information about reportable segments
A reportable segment is a component or an aggregated component of TEL Group. For each of the components, discrete financial
information is available and the operating result is regularly reviewed by management to make decisions about resources to beallocated to the segment and assess its performance.
The operation of TEL Group consists of segments by products and services based on business units (BUs), and TEL Groupidentifies as a reportable segment, "semiconductor production equipment (SPE)" and "flat panel display (FPD) production equipment".
Products of the SPE segment consist of coater/developers, etch systems, deposition systems, cleaning systems, wafer probers usedin the wafer testing process and other semiconductor production equipment such as wafer bonders/debonders.
The SPE segment principally develops, manufactures, sells such products and provide services on them.
Products of the FPD production equipment segment consist of coater/developers, etch/ash systems used in the manufacture offlat panel displays and inkjet printing systems used in the manufacture of OLED displays. The FPD production equipment segmentprincipally develops, manufactures, sells such products and provide services on them.
(ii) Means to measure net sales and profit or loss in each reportable segment
The method used to account for each reportable segment is similar to those applied to prepare consolidated financial statements.
Intersegment revenues or transfers are based on prevailing market prices.

(iii) Net sales and profit or loss in reportable segments
Year ended March 31, 2021

(Millions of yen)
Reportable Segments
Semiconductor
Production
Equipment

FPD Production
Equipment

1,315,200

83,772129

1,399,102-

1,399,102-

21,952

21,952(21,952)-

1,315,200

83,77222,082

1,421,055(21,952)

1,399,102

362,526

8,823

534

371,884(54,846)

317,038

Others *1

Total

Adjustments *2 Consolidated *3

Sales
Sales to external customers
Intersegment sales or transfers
Net sales
Segment profit (loss)-

Notes:*1. "Others" includes all other operating segments which are not included in the reportable segments, including group-wide logistic
services, facility maintenance and insurance.
*2. "Adjustments" for segment profit (loss) totaling (54,846) million yen mainly consists of research and development costs of (21,669)
million yen pertaining to the fundamental research and element research of TEL, provision for loss on liquidation of subsidiaries andassociates of (3,327) million yen, and other general and administrative costs that do not belong to reportable segments.
*3. Segment profit (loss) is adjusted against income before income taxes in Consolidated Statements of Income.

17

TOKYO ELECTRON(iv) Impairment loss on fixed assets in reportable segments
None(v) Amortization and balance of goodwill in reportable segments
As of and for the year ended March 31, 2021

(Millions of yen)
Semiconductor
Production Equipment

FPD Production
Equipment

Total Reportable
Segment

Amortization

199

-

199

Balance at end of the period

733

-

733

(vi) Income related to negative goodwill in reportable segments
None

18

TOKYO ELECTRONPer share information
Year ended
March 31, 2021
Net assets per share (Yen)

6,512.18

Net income per share (Yen)

1,562.20

Fully diluted net income per share (Yen)

1,553.29

Notes:
1. Net income per share and fully diluted net income per share are calculated based on the following elements.
Net income per share (Yen)
Net income attributable to owners of parent (Millions of yen)

242,941

Net income not pertaining to owners of common stock (Millions of yen)-

Net income attributable to owners of parent pertaining to common stock(Millions of yen)

242,941

The average number of common stock (Thousands of share)

155,511

Fully diluted net income per share (Yen)The adjustments to net income attributable to owners of parent (Millions of yen)-

Increase in common stock (Thousands of share)

892[Share subscription rights (Thousands of share)][892]

Details of dilutive shares, not included in the computation of fully diluted
net income per share as there is no dilution effect.

-

2. The shares of the Company held by "Executive compensation Board Incentive Plan (BIP) trust" and "share-delivering Employee
Stock Ownership Plan (ESOP) trust", which are recorded in “Treasury stock, at cost” under shareholders’ equity, are included in thetreasury stock which is deducted from the number of shares issued and outstanding as of the end of the period when calculating
net assets per share. The shares held by the trusts are also included in the treasury stock which is deducted from the number ofshares used to calculate the average number of shares outstanding in the period when calculating net income per share and fully diluted
net income per share.

The number of treasury shares deducted in the calculation of net assets per share was 615 thousand shares as of the end of
this fiscal year, and the average number of treasury shares deducted in the calculation of net income per share and fully diluted
net income per share was 568 thousand shares in this fiscal year.

Significant subsequent event
None

19