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

Summary of Consolidated Financial Results
for the Six Months Ended September 30, 2021
(Based on Japanese GAAP)
October 29, 2021
Company name:
SUN-WA TECHNOS CORPORATION
Stock exchange listing: Tokyo
Stock code:
Representative:

8137
URL https://www.sunwa.co.jp/
President and Representative Director
Hiroyuki Tanaka

Inquiries:

Executive Officer and General Manager
Administration Headquarters

Katsuya Tamaki

TEL

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

November 11, 2021
December 1, 2021

Preparation of supplementary material on quarterly financial results:
Holding of quarterly financial results meeting:

Yes
Yes

03-5202-4011(for analysts)(Amounts less than one million yen are rounded down)

1. Consolidated financial results for the six months ended September 30, 2021 (from April 1, 2021 to September 30, 2021)(1) Consolidated operating results (cumulative)
Percentages indicate year-on-year changes
Profit attributable toNet sales
Operating profit
Ordinary profit
owners of parent
Millions of yen% Millions of yen% Millions of yen% Millions of yen%Six months ended September 30, 2021
70,97814.8
2,108 134.2
2,195 115.0
1,551 119.7
Six months ended September 30, 2020
61,813(8.6)
900(1.0)
1,020
(1.5)
705
2.4
Earnings per share

Diluted earnings per share

Yen
98.23
44.75

Six months ended September 30, 2021
Six months ended September 30, 2020

Yen––(2) Consolidated financial position
Total assets

Net assets

Millions of yen
85,924
76,381

As of September 30, 2021
As of March 31, 2021

Equity ratio

Millions of yen
37,09735,030%43.2
45.9

2. Cash dividends
Annual dividends per share

Year ended March 31, 2021
Year ending March 31, 2022

1st quarter-end

2nd quarter-end

3rd quarter-end

Fiscal year-end

Yen––

Yen
17.00
17.00

Yen–

Yen
17.00

Yen
34.00

–

17.00

34.00

Year ending March 31, 2022 (Forecast)Total

3. Forecast of consolidated financial results for the year ending March 31, 2022 (from April 1, 2021 to March 31, 2022)
Net sales
Full year

Millions of yen
148,700

Percentages 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
10.3
4,200
95.1
4,340
69.0
3,040
70.2
192.51

1

4. Notes(1) Changes in significant subsidiaries during the six months ended September 30, 2021
(changes in specified subsidiaries resulting in the change in scope of consolidation):No(2) Application of special accounting methods for preparing quarterly consolidated financial statements:

Yes(3) 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:
Changes in accounting policies due to other reasons:

Yes
NoChanges in accounting estimates:
Restatement of prior period financial statements:

NoNo(4) Number of issued shares (common shares)
Total number of issued shares at the end of the period (including treasury shares)
As of September 30, 2021

16,044,000 shares As of March 31, 2021

16,044,000 shares

Number of treasury shares at the end of the period
As of September 30, 2021

237,332 shares As of March 31, 2021

267,312 shares

Average number of shares during the period (cumulative from the beginning of the fiscal year)
Six months ended September 30, 2021

15,791,675 shares Six months ended September 30, 2020

215,776,856 shares

Quarterly consolidated financial statements
Consolidated balance sheets(Millions of yen)
As of March 31, 2021
AssetsCurrent assets
Cash and depositsNotes and accounts receivable - trade
Notes and accounts receivable - trade, and contract assets
Electronically recorded monetary claims - operating
MerchandiseWork in process
Other
Allowance for doubtful accounts
Total current assets

As of September 30, 2021

13,11336,392
–
6,061
7,935
0
1,036
(109)

16,692–37,308
7,258
11,053
9
1,602
(111)

64,43073,813

Non-current assets
Property, plant and equipment
Intangible assets
Investments and other assets

2,590
170
9,190

2,552
173
9,385

Total non-current assets

11,951

12,111

76,381

85,924

16,554
12,901
4,148
500
393
–
1,873

19,57915,950
4,417
2,900
571
41
2,742

36,372

46,203

2,400
199

–
177

104

109

978
1,295

1,002
1,333

4,978

2,623

Total liabilities

41,35048,827

Net assets
Shareholders' equity
Share capital
Capital surplus
Retained earnings
Treasury shares

3,727
3,548
23,827
(300)

3,727
3,549
25,110(267)30,802

32,119

4,235
(7)

4,365
612

Total assets
Liabilities
Current liabilities
Notes and accounts payable - trade
Electronically recorded obligations - operating
Short-term borrowings
Current portion of long-term borrowings
Income taxes payable
Provisions
Other
Total current liabilities
Non-current liabilities
Long-term borrowings
Long-term accounts payable - otherProvision for retirement benefits for directors (and otherofficers)
Retirement benefit liability
Other
Total non-current liabilities

Total shareholders' equity
Accumulated other comprehensive income
Valuation difference on available-for-sale securities
Foreign currency translation adjustment
Total accumulated other comprehensive income
Total net assets
Total liabilities and net assets

34,2284,97835,030

37,09776,381

85,924

Consolidated statements of income (cumulative) and consolidated statements of comprehensive income(cumulative)
Consolidated statements of income (cumulative)(Millions of yen)Six months ended

Six months ended

September 30, 2020

September 30, 2021

Net sales
Cost of sales

61,81355,09370,97862,229Gross profit

6,719

8,749

Selling, general and administrative expenses

5,819

6,640

900

2,108

Interest income
Dividend income

660

851

Purchase discounts
Rental income from buildings

1767

2067

Operating profit
Non-operating incomeOther48

53

Total non-operating income

200201

Interest expenses
Loss on sale of trade receivables

26
15

2220

Foreign exchange losses
Other

27
964
8

Total non-operating expenses

79

115

1,020

2,195

Gain on sale of investment securities

7–

Total extraordinary income

7–9–Non-operating expenses

Ordinary profit
Extraordinary income

Extraordinary losses
Loss on valuation of membership
Total extraordinary losses
Profit before income taxes

9–

1,019

2,195

Income taxes

313

643

Profit705

1,551

Profit attributable to owners of parent

705

1,5514

Consolidated statements of comprehensive income (cumulative)(Millions of yen)

ProfitOther comprehensive income
Valuation difference on available-for-sale securities
Foreign currency translation adjustment
Total other comprehensive income
Comprehensive income

Six months ended

Six months ended

September 30, 2020

September 30, 2021
705

1,551

1,104(230)

129
620

874

749

1,580

2,300

1,580

2,300

––

Comprehensive income attributable toComprehensive income attributable to owners of parent
Comprehensive income attributable to non-controllinginterests

5Consolidated statements of cash flows(Millions of yen)

Cash flows from operating activities
Profit before income taxes

Six months ended

Six months ended

September 30, 2020

September 30, 2021

1,019

2,195

Depreciation
Increase (decrease) in allowance for doubtful accounts

165
(17)

152
(9)

Interest and dividend income
Interest expenses

(66)
26

(60)
22

Foreign exchange losses (gains)
Loss (gain) on sale of investment securities

(14)
(7)

(5)
–

Decrease (increase) in trade receivables
Decrease (increase) in inventories

3,452(735)(1,496)(2,910)

Increase (decrease) in trade payables
Other, net(1,143)
(533)

5,604
408

Subtotal

2,144

3,90066(25)

60
(22)

Interest and dividends received
Interest paid
Income taxes paid

(489)

(475)

Net cash provided by (used in) operating activities

1,696

3,462

Purchase of property, plant and equipment
Purchase of investment securities

(30)
(24)

(31)
(22)

Proceeds from sale of investment securities
Other, net

17(25)–(36)

Net cash provided by (used in) investing activities

(62)

(90)

Cash flows from investing activities

Cash flows from financing activities
Increase (decrease) in short-term borrowings

252

247

Repayments of lease obligations
Purchase of treasury shares

(59)
–(50)
(0)

Dividends paid

(268)

(268)

Net cash provided by (used in) financing activities

(75)

(71)

Effect of exchange rate change on cash and cash equivalents

(104)

278

Net increase (decrease) in cash and cash equivalents

1,454

3,579

Cash and cash equivalents at beginning of period

11,568

12,629Cash and cash equivalents at end of period

13,022

16,208

6