Note: This document has been translated from the Japanese original for reference purposes only. In the event of any discrepancy
between this translated document and the Japanese original, the original shall prevail. The Company assumes no responsibility forthis translation or for direct, indirect or any other forms of damages arising from the translation.

Business Results for the First Quarter ofFiscal Year Ending March 31, 2025
(April 1, 2024 – June 30, 2024)
Kanto Denka Kogyo Co., Ltd.
(Tokyo Stock Exchange Prime Market,Securities Code: 4047)

August 9, 2024

Statement of Income
 Sales volume of Specialty Gases increased due to the improved operating rates of semiconductor
manufacturers.
 Battery materials sales volume and unit sales price both decreased due to the slowdown in EV
market growth. Fees paid under licensing agreement posted to net sales.
 Sales volume of Fundamental Chemicals decreased due to withdrawal of some products. In addition,
unit sales prices decreased due to the inflow of overseas products.
 Loss on valuation of inventories significantly decreased.
(Q1 FY2023 －2.1billion yen、 Q1 FY2024 －300 million yen ）Net sales
Operating profit
Ordinary profit
Profit before income taxes
Profit attributable to owners ofparent
Basic earnings per share (yen)（Billions of yen）

Q1 FY2023

Q1 FY2024

Difference% change

16.3
(1.4)
(0.8)
(0.4)

15.4
1.2
1.9
1.8

-0.8
2.6
2.7
2.3

-5.3
－－－

(0.3)

1.1

1.4－

(5.40)

20.29

25.69
© Kanto Denka Kogyo Co., Ltd. All rights reserved.

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Balance Sheet（Billions of yen）

Q1 FY2024

Difference% change

125.3

126.3

1.00.8Cash and deposits

25.4

22.0-3.3-13.2

Trade receivables

16.1

16.9

0.8

5.2

Inventories

17.4

17.3

-0.1

-0.6

Non-current assets (tangible + intangible)

49.7

52.6

2.8

5.8

59.7

59.0

-0.7

-1.2

Interest-bearing debt

41.6

39.0

-2.6

-6.4

Trade payables

8.3

9.1

0.8

10.5

Income taxes payable

0.2

0.2

-0.1

-24.5

65.5

67.2

1.7

2.6

51.1

52.1

1.0

FY2023
AssetsLiabilities

Net assets
Equity ratio (%)© Kanto Denka Kogyo Co., Ltd. All rights reserved.

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Performance Forecast By Segment (Consolidated)（Billions of yen）

Net sales

Operating profit

Q1 FY2023

Q1 FY2024

Difference

Q1 FY2023

Q1 FY2024

Difference

2.4

1.9

-0.4

0.0(0.3)

-0.3

12.7

12.2

-0.5(1.7)

1.3

3.0

Other*

1.1

1.2

0.0

0.2

0.2

0.0

Total

16.3

15.4

-0.8(1.4)

1.2

2.6(Reference) Fluorochemicals
for semiconductors(non-consolidated)

8.2

9.9

1.7

0.2

1.1

0.8

Capital investment

1.9

4.2

2.3

Depreciation

1.9

1.9

0.0

R&D expenses

0.2

0.4

0.1

Fundamental Chemicals
Fine Chemicals* "Other" includes the Ferrochemicals, Commercial
Business, Facilities Divisions, and consolidation
adjustments.

© Kanto Denka Kogyo Co., Ltd. All rights reserved.

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Consolidated Operating Profit: Difference Analysis(Q1 FY2023 vs. Q1 FY2024)（Billions of yen）

Recording of a loss on valuation of inventories of lithium compounds inthe Q1 FY2023（Q1 FY2023 : –¥2.0 billion、: Q1 FY2024 –¥300 million）

30

20

Unit prices for lithium compounds
and electricity down
Unit price for tungsten up

10Consolidation adjustments: –¥500million, fixed costs: –¥300 million,subsidiaries, etc.: –¥300 million-1.1+1.7-0.0

1.20△ 10△ 20+2.6(1.4)-0.5(Q1 FY2023)
Operating profit

Sales/production Raw material andfuel prices

Depreciation

Inventory impactOther(Q1 FY2024)
Operating profit© Kanto Denka Kogyo Co., Ltd. All rights reserved.

5Performance Forecast By Segment (Consolidated):H1 Forecast
 Q2 FY2024 Revised Forecasts ：USD/JPY Rate: ¥150（Previous Forecasts： ¥145 ） Specialty gases exceeded the previous forecast due to higher utilization rates at semiconductor
manufacturers.
 Battery materials fell short of the initial forecast due to the slowdown in the EV market growth and thepostponement of inquiries related to the U.S. Inflation Reduction Act (IRA), which had been expectedfrom Q2.
 Loss on valuation of inventories decreased as inventory was reduced more than expected.
(H1 FY2024 Previous Forecasts : －1.0billion yen、 Revised Forecasts : －400 million yen ） FY2024 forecasts remain unchanged as the company is currently examining the H2 outlook for battery(Billions of yen)materials.

Net sales

Fundamental
Chemicals
Fine Chemicals
OtherTotal

Operating profit

H1 FY2023
Results

H1 FY2024
PreviousForecasts

H1 FY2024
Revised
Forecasts

H1 FY2023
Results

H1 FY2024
PreviousForecasts

H1 FY2024
Revised
Forecasts

4.3

4.2

4.0

(0.0)

(0.1)

(0.3)

28.2
2.2
34.8

24.7
2.1
31.0

25.0
2.1
31.1

(0.8)
0.4
(0.4)

1.0
0.1
1.0

2.1
0.1
1.9

© Kanto Denka Kogyo Co., Ltd. All rights reserved.

6Notes• This document does not constitute disclosure material as
defined by the Financial Instruments and Exchange Act andother laws and regulations, and therefore the Company
does not guarantee its accuracy or completeness.
• Performance forecasts in this document were created basedon information available as of the date of this document's
publishing, and actual results may differ versus forecasted
figures due to a variety of factors arising in the future.

© Kanto Denka Kogyo Co., Ltd. All rights reserved.

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