JFE Holdings’ Financial Results for First Quarterof Fiscal Year 2023 Ending March 31, 2024
— All financial information has been prepared in accordance with International Financial Reporting Standards (IFRS) —(Note: The following is an English translation of an original Japanese document)

August 3, 2023
Official name:
Listings:
Code:
English URL:
Representative:
Contact:

JFE Holdings, Inc.
Tokyo stock exchange5411
www.jfe-holdings.co.jp/en
Koji Kakigi, President and CEO
Hiroki Watanabe, Manager, Public Relations Section,
Investor Relations and Corporate Communications
Department
Phone:+81-3-3597-3842
Scheduled date to submit Quarterly Securities Report:
August 3, 2023
Preparation of supplementary materials for quarterly results: Yes
Quarterly results briefing:
Yes(Figures are rounded down to the nearest million yen.)

1. Consolidated Results in First Quarter of Fiscal 2023 (April 1 to June 30, 2023)(1) Consolidated Operating Results (cumulative total)(Percentages indicate year on year change)
Revenue(million yen)

1Q
1,262,086
FY 2023
1Q
1,253,600
FY 2022

Business
profit%Profit
Before tax%(million yen)%(million yen)

Profit(million yen)%

Profitattributableto ownersof parent%

Comprehensive
income(million yen)(million yen)

0.7

84,824 (27.3)

79,883 (29.6)

59,690 (29.8)

59,602(28.9)

91,875(20.3)

41.0

116,659

113,404

85,011

83,84435.3

115,269

9.6

32.0

Basic earnings per
share

Diluted earnings per
share

1Q FY 2023

102.60102.52

1Q FY 2022

145.61145.53

(yen)

32.7

34.7

(yen)

Note: Business profit is profit before tax excluding financial income and one-time items of a materially significant value.
(2) Consolidated Financial Position

Total assets

Total equity(million yen)(million yen)

Equity attributableto owners ofparent(million yen)

Total equity
attributable toowners of parent(%)

End 1Q FY 2023

5,576,403

2,265,814

2,194,098

39.3

End FY 2022

5,524,040

2,193,395

2,120,322

38.4

2. Dividends
Dividend per share (yen)InterimYear-end

FY 2022

80.00

50.00

30.00

FY 2023 (forecast)

100.00

50.00

50.00

Note:

%

Revisions to dividend forecast announced most recently: Yes

3. Forecasts of Consolidated Financial Results in Fiscal 2023 (April 1, 2023 to March 31, 2024)(Percentages represent changes from same period of previous fiscal year)
Revenue(million yen)%

Business
profit%(million yen)

Profit before
tax%(million yen)

Profitattributableto ownersof parent%Basicearnings
per share(yen)(million yen)

1H FY 2023

2,610,000

1.8

125,000(33.5)

115,000(36.6)

85,000(31.0)

146.32

FY 2023

5,380,000

2.1

290,000

23.0

270,000

28.4

190,000

16.8

327.05

Note: Revisions to consolidated financial results forecasts announced most recently: Yes

Notes1. Changes in significant subsidiaries during the term (changes in designated subsidiaries resulting in changes in
consolidated structure): No
2. Changes in accounting policies and accounting estimates
1) Changes in the accounting policies required by IFRS: No
2) Changes in the accounting policies other than 1) above: No
3) Changes in accounting estimates: No
3. Number of outstanding shares (common stock)
1) Outstanding shares at the end of the term (including treasury stock)
As of June 30, 2023: 614,438,399 shares
As of March 31, 2023: 614,438,399 shares
2) Treasury stock at the end of the term
As of June 30, 2023: 33,501,702 shares
As of March 31, 2023: 33,494,986 shares
3) Average number of shares during the term
1Q Fiscal 2023: 580,940,446 shares
1Q Fiscal 2022: 575,835,901 sharesThis report is not subject to auditing by a certified public accountant or an audit corporation.
Explanation of Appropriate Use of Results Forecasts, and Other Matters of Note
1. Forecasts and other forward-looking statements herein are based on information available on the date of publication of thisdocument as well as rational assumptions that we have made regarding certain factors. Actual results may vary significantly
from these forecasts due to a wide range of circumstances.
2. The supplementary financial data will be disclosed today via TDnet and published on our website.

Attachments
1. Condensed Quarterly Consolidated Financial Statements and Notes ··············································· 2(1) Condensed Quarterly Consolidated Statement of Financial Position ··········································· 2(2) Condensed Quarterly Consolidated Statement of Profit or Loss and Condensed Quarterly
Consolidated Statement of Comprehensive Income (First Quarter) ············································ 4(3) Condensed Quarterly Consolidated Statement of Changes in Equity (First Quarter) ······················· 6(4) Condensed Quarterly Consolidated Statement of Cash Flow (First Quarter) ································· 8(5) Notes to Condensed Quarterly Consolidated Financial Statements ···········································10Notes Pertaining to the Presumption of a Going Concern ······················································10
2. Supplementary Information ····································································································1111. Condensed Quarterly Consolidated Financial Statements and Notes(1) Condensed Quarterly Consolidated Statement of Financial Position
As ofMarch 31, 2023

(million yen)
As ofJune 30, 2023

AssetsCurrent assets
Cash and cash equivalents

119,391

130,232

Trade and other receivables

776,115779,242

Contract assets

116,293

120,997

1,367,230

1,360,818

Income taxes receivable

22,957

21,428Other financial assets

18,937

24,605

Other current assets

96,759112,0122,517,685

2,549,337

40,92924,0582,558,615

2,573,395

1,891,053

1,891,573

Goodwill

14,911

15,013

Intangible assets

126,855

129,649

Right-of-use asset

98,611

96,997

Investment property
Investments accounted forusing equity method
Retirement benefit asset

53,55953,691

465,482

493,210

23,521

24,829Deferred tax assets

74,72871,965

Other financial assets

200,599

209,571

Other non-current assets

16,10016,505

Total non-current assets

2,965,425

3,003,007

5,524,040

5,576,403

Inventories

Subtotal
Assets held for sale
Total current assets
Non-current assets
Property, plant and equipment

Total assets2

As ofMarch 31, 2023

(million yen)
As ofJune 30, 2023

Liabilities and equity
Liabilities
Current liabilities
Trade and other payables
Bonds payable, borrowings,
and lease liabilities
Contract liabilities

703,212584,531

397,026

721,526

48,54356,603

Income taxes payable, etc.

32,3208,265

Provisions

10,781

14,255

Other financial liabilities

181,046

132,720

Other current liabilities

265,268

207,518

1,638,200

1,725,421

23,59815,857

1,661,798

1,741,248

1,465,939

1,368,492

120,663

118,879

Provisions

19,12818,176

Deferred tax liabilities

5,480

6,660

Other financial liabilities

41,32541,332Other non-current liabilities

16,30815,768

Total non-current liabilities

1,668,846

1,569,310

3,330,644

3,310,589

Share capital

147,143

147,143

Capital surplus

640,536

640,526

Retained earnings

1,397,735

1,448,333

Treasury shares(156,408)(156,420)

Subtotal
Liabilities directly associatedwith assets held for sale
Total current liabilities
Non-current liabilities
Bonds payable, borrowings,
and lease obligations
Retirement benefit liability

Total liabilities
EquityOther components of equity
Equity attributable to owners ofparentNon-controlling interests

91,315

114,515

2,120,322

2,194,098

73,07371,716

Total equity

2,193,395

2,265,814

5,524,040

5,576,403

Total liabilities and equity3(2) Condensed Quarterly Consolidated Statement of Profit or Loss and Condensed Quarterly
Consolidated Statement of Comprehensive Income
Condensed Quarterly Consolidated Statements of Income (First Quarter)
First Quarter of Fiscal
2022(April 1, 2022 –June 30, 2022)
1,253,600(million yen)First Quarter of Fiscal
2023(April 1, 2023 –June 30, 2023)
1,262,086

Cost of sales(1,084,332)(1,110,092)

Gross profit

169,267

151,993

Selling, general and administrative expenses
Share of profit of entities accounted for using
equity method
Other income(91,483)(96,173)

21,46917,70424,65422,851Other expenses(7,249)(11,550)

Business profit

116,659

84,824

Operating profit

116,659

84,824

Finance income

437

805

Finance costs(3,692)(5,746)

Profit before tax

113,404

79,883

Income tax expense(28,393)(20,193)

Profit85,011

59,690Owners of parent

83,84459,602

Non-controlling interests

1,166

87

Profit85,011

59,690

Revenue

Profit attributable toEarnings per share
Basic earnings per share (yen)145.61102.60

Diluted earnings per share (yen)145.53102.52

4

Condensed Quarterly Consolidated Statements of Comprehensive Income (First Quarter)

ProfitFirst Quarter of
Fiscal 2022
(April 1, 2022 –June 30, 2022)
85,011(million yen)First Quarter of
Fiscal 2023
(April 1, 2023 –June 30, 2023)
59,690(1,273)

5,005(2,564)

5,621

(626)

(2,824)(4,465)

7,801

Other comprehensive income:Items that will not be reclassified to profit or loss
Remeasurements of defined benefit plans
Net change in fair value of equity instruments
designated as measured at fair value through othercomprehensive income
Share of other comprehensive income of investments
accounted for using equity method
Total of items that will not be reclassified to profit orloss
Items that may be reclassified to profit or loss
Exchange differences on translation of foreign
operations
Effective portion of cash flow hedges
Share of other comprehensive income of investments
accounted for using equity method
Total of items that may be reclassified to profit or loss
Total other comprehensive income
Comprehensive income

16,782(1,168)

10,4001,183

19,10934,72330,258115,269

12,79824,38332,184
91,875Comprehensive income attributable to
Owners of parent
Non-controlling interests
Comprehensive income

113,676
1,593
115,269

91,712
162
91,8755

(3) Condensed Quarterly Consolidated Statement of Changes in Equity
First Quarter of Fiscal 2022 (April 1, 2022 – June 30, 2022)(million yen)
Equity attributable to owners of parent
Other components of equity
Net change infair value ofequityinstruments
Remeasurements
designated asof defined benefit
measured at
plans
fair value
through othercomprehensive
incomeCapitalsurplusRetainedearnings

Treasuryshares147,143652,233

1,294,875(180,580)－

55,560

Profit－－83,844－－－

Other comprehensive income

－

－

－

－

(978)

(3,187)

Share capital

Balance as of April 1, 2022

Comprehensive income－－

83,844－(978)(3,187)Purchase of treasury shares

－

－

－

(10)

－

－

Disposal of treasury shares

－

(1)

－

2

－

－

Dividends－－(46,118)－－－

Share-based payment transactions

－

60

－

－

－

－

Changes in scope of consolidation

－

－

－

－

－

－

Transfer from other components ofequity to retained earnings

－

－

(882)

－

978

(95)

Transfer to non-financial assets

－

－

－

－

－

－

Other

－

－

－

－

－

－

－

58

(47,001)

(7)

978

(95)

147,143652,292

1,331,718(180,588)－

52,277

Total transactions with owners
Balance as of June 30, 2022

Equity attributable to owners of parent
Other components of equity
Exchangedifferences on
Effective
translation of portion of cash
flow hedges
foreign
operations
Balance as of April 1, 2022

Noncontrollinginterests

Total

Total

Total equity

16,086

2,949

74,596

1,988,268

82,4702,070,739－－－

83,844

1,166

85,011Other comprehensive income

35,648(1,650)29,832

29,832426

30,258Comprehensive income

35,648(1,650)29,832

113,676

1,593

115,269

Purchase of treasury shares

－

－

－

(10)

－

(10)

Disposal of treasury shares

－

－

－

0

－

0

ProfitDividends－－－(46,118)(1,320)(47,439)

Share-based payment transactions

－

－

－

60

－

60

Changes in scope of consolidation

－

－

－

－

4

4

Transfer from other components of equity
to retained earnings

－

－

882

－

－

－

Transfer to non-financial assets－(3,633)(3,633)(3,633)－(3,633)

Other

－

－

－

－

166

166

－

(3,633)(2,750)(49,700)(1,149)(50,850)

51,735(2,334)

101,678

2,052,244

82,9142,135,158

Total transactions with owners
Balance as of June 30, 2022

6

First Quarter of Fiscal 2023 (April 1, 2023 – June 30, 2023)(million yen)
Equity attributable to owners of parent
Other components of equity

Capitalsurplus

Share capital

Balance as of April 1, 2023

Retainedearnings

TreasurysharesNet change infair value ofequityinstruments
Remeasurements
designated asof defined benefit
measured at
plans
fair value
through othercomprehensive
income147,143

640,536

1,397,735(156,408)－

42,446

Profit－－59,602－－－Other comprehensive income

－

－

－

－

5,140

2,774

Comprehensive income－－

59,602

－

5,140

2,774

Purchase of treasury shares

－

－

－

(12)

－

－

Disposal of treasury shares

－

(0)

－

0

－

－

Dividends－－(17,447)－－－

Share-based payment transactions

－

45

－

－

－

－

Changes in scope of consolidation

－

(1)

－

－

－

－

－

(53)

－

－

－

－

－

－

8,442

－

(5,140)(3,301)

Transfer to non-financial assets

－

－

－

－

－

－

Other

－

－

－

－

－

－

－

(9)

(9,004)(11)(5,140)(3,301)

147,143

640,526

1,448,333(156,420)－

41,919Changes in ownership interest in
subsidiaries
Transfer from other components ofequity to retained earnings

Total transactions with owners
Balance as of June 30, 2023

Equity attributable to owners of parent
Other components of equity
Exchangedifferences on
Effective
translation of portion of cash
flow hedges
foreign
operations
Balance as of April 1, 2023
Profit47,941928

Noncontrollinginterests

Total

Total

Total equity

91,3152,120,322

73,073

2,193,395－－－

59,602

87

59,690

Other comprehensive income

21,401

2,792

32,10932,10975

32,184Comprehensive income

21,401

2,792

32,10991,712

162

91,875Purchase of treasury shares

－

－

－

(12)

－

(12)

Disposal of treasury shares

－

－

－

0

－

0

(924)

(18,372)

Dividends－－－(17,447)

Share-based payment transactions

－

－

－

45

－

45

Changes in scope of consolidation

－

－

－

(1)

(1,323)(1,324)

－

－

－

(53)

59

5

－

－

(8,442)－－－

Transfer to non-financial assets

－

(467)

(467)

(467)

－

(467)

Other

－

－

－

－

670

670

－

(467)

(8,910)(17,936)(1,519)(19,455)

69,342

3,253

114,515

2,194,098

71,7162,265,814

Changes in ownership interest in
subsidiaries
Transfer from other components of equity
to retained earnings

Total transactions with owners
Balance as of June 30, 2023

7

(4) Condensed Quarterly Consolidated Statement of Cash Flow (First Quarter)
First Quarter of
Fiscal 2022
(April 1, 2022 –June 30, 2022)(million yen)First Quarter of
Fiscal 2023
(April 1, 2023 –June 30, 2023)

Cash flows from operating activities
Profit before tax

113,404

79,883

Depreciation and amortization

65,461

69,825

Increase (decrease) in allowance(1,463)2,190

Interest and dividend income (loss)(3,257)(3,789)Interest expenses
Share of loss (profit) of investments accounted forusing equity method
Decrease (increase) in trade and otherreceivables
Decrease (increase) in inventories

3,474

5,269

(21,469)(17,704)(17,767)

8,368(154,486)

14,455

Increase (decrease) in trade and other payables(34,350)(116,516)

Other(76,128)(116,369)

Subtotal(126,583)(74,386)

Interest and dividends received

8,174

6,401

Interest paid

(3,326)(5,326)

Income taxes refund (paid)(49,406)(37,800)

Net cash provided by (used in) operating activities(171,142)(111,112)(58,964)(72,492)

1,640

1,161

(3,228)(4,890)

Proceeds from sale of investments

209

5,927

Other

212

1,678

(60,131)(68,616)

Cash flows from investing activities
Purchase of property, plant and equipment,
intangible assets, and investment property
Proceeds from sale of property, plant andequipment, intangible assets, and investment
property
Purchase of investments

Net cash provided by (used in) investing activities8

(million yen)First Quarter of
Fiscal 2023
(April 1, 2023 –June 30, 2023)

First Quarter of
Fiscal 2022
(April 1, 2022 –June 30, 2022)
Cash flows from financing activities
3,659

37,339

Increase (decrease) in commercial papers

267,000

194,000

Proceeds from long-term borrowings

60,087765

Repayments of long-term borrowings(43,589)(21,354)

Proceeds from issuance of bonds

30,000－

Payments for redemption of bonds(10,000)

－

(10)

(12)

Dividends paid to owners of parent(46,118)(17,447)

Other(13,211)(12,971)

Net cash provided by (used in) financing activities

247,817

180,320

9,556

10,402

26,09910,993

Net increase (decrease) in short-term borrowings

Payments for purchase of treasury shares

Effect of exchange rate change on cash and cash
equivalents
Net increase (decrease) in cash and cash
equivalents
Net increase (decrease) in cash and cash
equivalents resulting from transfer to assets held forsale
Cash and cash equivalents at beginning of period

-

(152)

101,773

119,391

Cash and cash equivalents at end of period

127,873130,2329

(5) Notes to the Condensed Quarterly Consolidated Financial Statements
Notes Pertaining to the Presumption of a Going Concern
There is no item for this period102. Supplementary Information(1) Consolidated Results in First Quarter and Earnings Forecasts for Fiscal 2023
(billion yen)
Fiscal 2022
1Q

1H

Fiscal 2023

Full year

1Q

1H

ChangeFull year

1Q

1H

Full year

Fiscal 2023
Forecast(May 8)Full year

Steel Business932.6 1,918.9

3,770.0(15.4)(38.9)(111.1)Engineering Business

98.2

219.0

512.5

111.1

230.0

550.0

12.9

11.0

37.5

550.0

Trading Business

379.5

750.2

1,514.1

370.3

780.0

1,620.0

(9.2)

29.8

105.9

1,620.0

Adjustments
Revenue
Business profit 1

3,881.1

917.2 1,880.0

4,000.0(156.8) (323.9)(638.9) (136.7) (280.0)(560.0)

20.1

43.9

78.9

(630.0)1,253.6 2,564.3

5,268.7 1,262.0 2,610.0

5,380.0

8.4

45.7

111.3

5,540.0

A

116.6

187.9

235.8

84.8

125.0

290.0

(31.8)(62.9)

54.2

290.0

B

(3.2)

(6.6)

(14.8)(4.9)(10.0)(20.0)

(1.7)

(3.4)

(5.2)

(20.0)

Steel Business

93.0

148.2

146.8

68.1

87.0

200.0

(24.9)(61.2)

53.2

200.0

Engineering Business

(1.2)

(3.9)

13.4

(0.1)

5.0

25.0

1.1

8.9

11.6

25.0

Trading Business

21.1

40.6

65.1

14.7

26.0

48.0

(6.4)

(14.6)(17.1)

48.0

Adjustments

0.4

(3.6)

(4.3)

(2.9)

(3.0)

(3.0)

(3.3)

0.6

1.3

(3.0)

113.4

181.2

221.0

79.8

115.0

270.0

(33.6)(66.2)

49.0

270.0

-

-

(10.7)

-

-

-

0.0

0.0

10.7

-

113.4

181.2

210.2

79.8

115.0

270.0

(33.6)(66.2)

59.8

270.0

(29.5)(57.9)(47.6)(20.2)(30.0)(80.0)

9.3

27.9(32.4)(80.0)

83.8

123.2

162.6

59.6

85.0

190.0

(24.2)(38.2)

27.4

190.0

Finance income / costs
Segment Profit

Total

A+B

Exceptional Items 2
Profit before tax
Tax Expense and Profit (Loss)
Attributable to Non-controlling
Interests
Profit Attributable to Owners of Parent
1

Business profit: Profit that excludes financial income and exceptional items from profit before tax. It is a benchmark indicator of thecompany’s consolidated earnings.
2

Exceptional Items: One-time items of a materially significant value.

(2) Consolidated Financial Indices （1H Fiscal 2023 Forecasts）
Fiscal 2022

1H Fiscal 2023

Return on Sales (ROS)1

4.5%

4.8%

0.3%

Return on Assets (ROA)2

4.4%

4.6%

0.2%
(0.0%)

Return on Equity (ROE)3

Change

7.9%

7.9%

EBITDA4

505.4 billion yen

270.0 billion yen-

Interest-bearing debt outstanding

1,862.9 billion yen

1,900.0 billion yen

37.1 billion yen

Debt / EBITDA multiple5
Equity attributable to owners of parent
D/E Ratio6

3.7x

3.5x

-

2,120.3 billion yen

2,200 billion yen

79.7 billion yen

67.8%

67.1%

(0.7%)ROS = Business profit / Revenue
ROA (full year) = Business profit / Total assets, ROA (first half) = Business profit x 2 / Total assets
3
ROE (full year) = Profit attributable to owners of parent / Equity attributable to owners of parent
ROE (first half) = Profit attributable to owners of parent x 2 / Equity attributable to owners of parent
4
EBITDA = Business profit + Depreciation and amortization
5
Debt / EBITDA multiple (full year) = Interest-bearing debt outstanding / EBITDA
Debt / EBITDA multiple (half year) = Interest-bearing debt outstanding / (EBITDA x 2)
6
D/E ratio = Debt outstanding / Equity attributable to owners of parent. For debt having a capital component*, a portion of its issue priceis deemed to be capital, as assessed by rating agencies.
12* For debt having a capital component, a portion of its issue price is deemed to be capital, as assessed by rating agencies.
Borrowing Execution Date
Amount Borrowed
Assessment of Equity Content
Amount Deemed to be Capital(or Bond Issuance Date)(or Amount of Bond)
June 30, 2016
167.5 billion yen
50%*
83.8 billion yen
March 19, 2018
100.0 billion yen
50%*
50.0 billion yen**
June 10, 2021
35.0 billion yen
50%
17.5 billion yen
March 20, 2023
205.0 billion yen
50%
102.5 billion yen***On December 1, 2022, the assessment of equity content was changed from 25% to 50% by the rating agency.
**Of the subordinated loans totaling 300 billion yen raised on March 19, 2018, 200 billion yen was repaid in advance of maturity, and a
new subordinated loan of 205 billion yen was raised on March 20, 2023.

11

(3) Crude Steel Production (JFE Steel)Fiscal 2022

Non-consolidated
Consolidated

Fiscal 2023

Non-consolidated
Consolidated(million tons)

1Q

2Q

1H

3Q

4Q

2H

Full year

6.43
6.77
6.05
6.38

6.21
6.59
6.30*
6.70*

12.64
13.37
12.30*
13.10*

5.48
5.81

5.97
6.29

11.45
12.11
12.30*

24.10
25.48
24.60**estimate(4) Shipments (JFE Steel on non-consolidated basis)(million tons)

1Q

2Q

1H

3Q

4Q

2H

Full year

Fiscal 2022

5.54

5.32

10.86

5.25

5.64

10.88

21.74

Fiscal 2023

5.23

5.70*

10.90**estimate(5) Export Ratio on Value Basis (JFE Steel on non-consolidated basis)

(%)

1Q

2Q

1H

3Q

4Q

2H

Full year

Fiscal 2022

48.5

45.0

46.7

41.0

43.6

42.2

44.5

Fiscal 2023

44.2

44*

44*
*estimate(6) Foreign Exchange Rate (Yen/US dollar)(JPY/USD)

1Q

2Q

1H

3Q

4Q

2H

Full year

Fiscal 2022

126.5

136.6

131.6

144.0

133.2

138.6

135.1

Fiscal 2023

135.8

142*

139*

140*

139*
*estimate(7) Average Selling Price (JFE Steel on non-consolidated basis)(thousand yen/ton)

1Q

2Q

1H

3Q

4Q

2H

Full year

Fiscal 2022

126.7

136.7

131.6

136.3

124.0

129.9

130.8

Fiscal 2023

128.5

127*

128*
*estimate(8) Engineering Business Orders (including intersegment transactions, IFRS basis)(billion yen)

Field

1H
Fiscal 2022

Waste to Resource
Carbon Neutral
Combined Utility Services
Core Infrastructure

150.9
24.8
11.5
98.8

1H
Fiscal 2023
Forecast
126.0
21.0
11.0
122.0

Total

286.0

280.0

ChangeFiscal 2023
Forecast(24.9)
(3.8)
(0.5)
23.2

224.0*
81.0*
17.0*
258.0*(6.0)

580.0*(9) Capital Investment and Depreciation and Amortization (JFE Holdings)(billion yen)

Fiscal2022

Fiscal 2023
Forecast

Capital Investment

325.6

430.0*

Depreciation & Amortization

269.6

280.0**estimate12(on construction basis)*estimate(10) Breakdown of Changes in Segment Profit (IFRS)

a. First quarter of Fiscal 2023, compared to same period of Fiscal 2022
- 33.6 billion yen: 113.4 billion yen in first quarter of fiscal 2022 → 79.8 billion yen in first quarter of fiscal 2023
Change(billion yen)
Steel Business- Cost
5.0 Operational enhancement-

Sales volume and mix(10.0)

Crude steel volume: 6.43→6.05 million tons-

Sales prices and raw materials

120.0

Improved spreads due to the reflection of highprices of main raw materials, metals, and othercommodities in selling prices-

Unrealized gains (losses) on inventories(107.0)Inventory valuation -66.0, carry over -32.0, foreignexchange valuation -9.0-

Others(32.9)-

Total(24.9)

Group companies -7.0, foreign exchanges effects
on trade -5.0, depreciation expense -4.0, etc.

Engineering and Trading businesses, and Adjustments(8.7)

b. Fiscal 2023 forecast, compared to Fiscal 2022
49.0 billion yen: 221.0 billion yen in fiscal 2022 → 270.0 billion yen in fiscal 2023 forecast
Change(billion yen)
Steel Business
Structural reforms effect 20.0, operational
enhancement 20.0, resolution of blast furnace- Cost63.0
refurbishment impact and resolution of production
reduction impact 23.0-

Sales volume and mix

10.0

Increase in volume due to gradual recovery insteel demand, Crude steel volume: 24.1→about
24.6 million tons-

Sales prices and raw materials

145.0

Improved spreads due to the reflection of highprices of main raw materials, metals, and othercommodities in selling prices-

Unrealized gains (losses) on inventories(98.0)

Inventory valuation -91.0, carry over 4.0, foreignexchange valuation -11.0-

Others(66.8)

Depreciation expense -12.0, foreign exchanges
effects on trade -10.0, etc.

-

Total

53.2

Engineering and Trading businesses, and Adjustments(4.2)

c. Fiscal 2023 forecast, compared to previous forecast
0.0 billion yen: 270.0 billion yen (previous forecast) → 270.0 billion yen in fiscal 2023 forecast

Steel Business- CostChange(billion yen)
0.0-

Sales volume and mix(8.0)

Crude steel volume: 25.0→about 24.6 million tons-

Sales prices and raw materials

70.0

Improved spreads due to the reflection of highprices of main raw materials, metals, and othercommodities in selling prices-

Unrealized gains (losses) on inventories(35.0)

Inventory valuation -9.0, carry over -36.0, foreignexchange valuation 10.0-

Others

(27.0)

Foreign exchanges effects on trade -21.0, etc.

-

Total

0.0

Engineering and Trading businesses, and Adjustments

0.0

###
13