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 Year Ended October 31, 2023
(Based on Japanese GAAP)
December 7, 2023
Company name:

SENSHU ELECTRIC CO.,LTD.

Stock exchange listing: Tokyo
Stock code:
9824

URL

https://www.senden.co.jp/

Representative:

Representative Director,President
Senior Managing Director & Executive

Motohide NishimuraInquiries:

Officer & General Manager ofAdministration Division

Kazuto Narita

Scheduled date of ordinary general meeting of shareholders:
Scheduled date to file Securities Report:

January 26, 2024
January 29, 2024

Scheduled date to commence dividend payments:
Preparation of supplementary material on financial results:

January 29, 2024
Yes

Holding of financial results meeting:

Yes

TEL

06-6384-1101(for analysts)(Amounts less than one million yen are rounded down)

1. Consolidated financial results for the year ended October 31, 2023 (from November 1, 2022 to October 31, 2023)(1) Consolidated operating results
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%
Year ended October 31, 2023
124,967
10.0
8,366
12.1
8,770
11.1
5,920
11.4
Year ended October 31, 2022
113,633
22.9
7,464
57.4
7,894
57.8
5,314
48.3
(Note) Comprehensive income

Year ended October 31, 2023
Year ended October 31, 2022

Earnings per share¥6,517 million [17.6%]¥5,541 million [34.2%]
Profit attributable toOrdinary profit/total Operating profit/net
owners ofassets
sales
parent/equity
Yen%%%
332.89
12.3
8.9
6.7
–12.0
8.8
6.6

Diluted earnings pershareYen
333.10294.03

Year ended October 31, 2023
Year ended October 31, 2022

Reference: Share of profit (loss) of entities accounted for using equity method Year ended October 31, 2023
Year ended October 31, 2022¥– million¥– million(Notes) 1. The Company conducted a 2-for-1 stock split of common shares on November 1, 2022. “Earnings per share” is calculated on theassumption that the stock split was conducted at the beginning of the previous fiscal year.
2. Diluted earnings per share for the fiscal year ended October 31, 2022 is not stated because there are no residual shares having thedilutive effect.
(2) Consolidated financial position
Total assets
As of October 31, 2023
As of October 31, 2022
Reference: Equity

Net assets

Millions of yen
101,367
95,381

As of October 31, 2023
As of October 31, 2022

Millions of yen
50,714
46,399Equity ratio

Net assets per share%
49.7
48.4Yen2,843.95
2,578.24¥50,329 million¥46,123 million(Note) The Company conducted a 2-for-1 stock split of common shares on November 1, 2022. “Net assets per share” is calculated on theassumption that the stock split was conducted at the beginning of the previous fiscal year.

1(3) Consolidated cash flows

Year ended October 31, 2023
Year ended October 31, 2022

Cash flows fromoperating activities
Millions of yen
6,940
6,335

Cash flows frominvesting activities
Millions of yen(3,116)(3,727)

Cash flows from
Cash and cash equivalents
financing activities
at end of period
Millions of yen
Millions of yen(2,400)27,654(2,091)
26,181

2. Cash dividends
Annual dividends per share
1st quarter-end 2nd quarter-end 3rd quarter-end Fiscal year-end

Year ended October 31, 2022
Year ended October 31, 2023
Year ending October 31, 2024
(Forecast)of dividends
Total cash
Dividend payout Ratio
to net assets
dividends (Total) ratio (Consolidated) (Consolidated)

Total

Yen

Yen

Yen

Yen

Yen

Millions of yen%%––60.00
50.00

––

80.00
60.00

140.00110.001,2581,948

23.8
33.0

2.8
4.1

–60.00–60.00120.0034.1(Notes) 1. The amount of fiscal year-end dividend for the fiscal year ended October 31, 2023 has been changed from ¥50 to ¥60.
2. The Company conducted a 2-for-1 stock split of common shares on November 1, 2022, and the dividends for the fiscal year ended
October 31, 2022 represent the actual amounts of dividends before the stock split.
3. Forecast of consolidated financial results for the year ending October 31, 2024 (from November 1, 2023 to October 31, 2024)Percentages indicate year-on-year changes
Profit attributable toNet sales
Operating profit
Ordinary profit
Earnings per shareowners of parent
Millions of yen% Millions of yen% Millions of yen% Millions of yen%Yen
Six months ending
64,5004.3
4,300(0.1)
4,400(1.9)
3,000
0.2
171.74
April 30, 2024
Full year
131,000
4.8
8,700
4.0
8,900
1.5
6,150
3.9
352.06(Note) The Company’s Board of Directors resolved at a meeting held on September 11, 2023 to repurchase treasury shares. In addition, theCompany’s Board of Directors resolved at a meeting held on December 7, 2023 to cancel treasury shares. The earnings per share in theconsolidated financial results forecast for the fiscal year ending October 31, 2024 takes into account the effect of the purchase andcancellation of these treasury shares.
4. Notes(1) Changes in significant subsidiaries during the year ended October 31, 2023
(changes in specified subsidiaries resulting in the change in scope of consolidation):No(2) 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:
Yes
Changes in accounting policies due to other reasons:
Changes in accounting estimates:

No
No

Restatement of prior period financial statements:

No(3) Number of issued shares (common shares)
Total number of issued shares at the end of the period (including treasury shares)
As of October 31, 2023

21,000,000 shares As of October 31, 2022

21,000,000 shares

Number of treasury shares at the end of the period
As of October 31, 2023

3,303,008 shares As of October 31, 20223,110,570 shares

17,774,558 shares Year ended October 31, 2022

18,075,098 shares

Average number of shares during the period
Year ended October 31, 2023

(Note) The Company conducted a 2-for-1 stock split of common shares on November 1, 2022. “Total number of issued shares at the end of theperiod,” “number of treasury shares at the end of the period,” and “average number of shares during the period” are calculated on theassumption that the stock split had been conducted at the beginning of the previous fiscal year.

2Reference: Summary of non-consolidated financial results
1. Non-consolidated financial results for the year ended October 31, 2023 (from November 1, 2022 to October 31, 2023)(1) Non-consolidated operating results
Percentages indicate year-on-year changes
Net salesYear ended October 31, 2023
Year ended October 31, 2022

Millions of yen
117,772
107,221

Operating profit
%
9.8
23.4

Millions of yen
7,806
6,607

Earnings per share%
18.1
65.1

Millions of yen
8,137
6,893

Profit%18.0
62.2

Millions of yen
5,623
4,670%
20.4
51.4

Diluted earnings per shareYen316.36
258.41

Year ended October 31, 2023
Year ended October 31, 2022

Ordinary profit

Yen316.16–(Notes) 1. The Company conducted a 2-for-1 stock split of common shares on November 1, 2022. “Earnings per share” is calculated on theassumption that the stock split was conducted at the beginning of the previous fiscal year.
2. Diluted earnings per share for the fiscal year ended October 31, 2022 is not stated because there are no residual shares having thedilutive effect.
(2) Non-consolidated financial position
Total assets
As of October 31, 2023
As of October 31, 2022
Reference: Equity

Net assets

Millions of yen
95,94690,329As of October 31, 2023
As of October 31, 2022

Millions of yen
47,32543,613Equity ratio

Net assets per share%
49.3
48.2

Yen
2,670.84
2,435.81¥47,265 million¥43,575 million(Note) The Company conducted a 2-for-1 stock split of common shares on November 1, 2022. “Net assets per share” is calculated on theassumption that the stock split was conducted at the beginning of the previous fiscal year.
* Financial results reports are exempt from audit conducted by certified public accountants or an audit corporation.
* Proper use of forecasts of financial results, and other special matters(Caution concerning forward-looking statements)
The forward-looking statements, including earnings forecasts, contained in these materials are based on information currently available to theCompany and on certain assumptions deemed to be reasonable. These statements do not purport that the Company pledges to realize suchstatements. Actual performance and other results may differ materially due to various factors.

3

Consolidated financial statements
Consolidated balance sheets(Millions of yen)
As of October 31, 2022

As of October 31, 2023

AssetsCurrent assets
Cash and deposits
Notes and accounts receivable - trade27,16522,57228,534
23,313

Electronically recorded monetary claims - operating
Securities

10,831
23

11,3029

MerchandiseWork in process

6,575
250

6,914
247

Raw materials and supplies
Other238
267

257
271

Allowance for doubtful accounts

(14)

(18)

67,91070,83010,895

12,028

Accumulated depreciation(4,604)(4,944)

Buildings and structures, net

6,290

7,083

Total current assets
Non-current assetsProperty, plant and equipment
Buildings and structures

Machinery, equipment and vehicles

1,414

1,534

Accumulated depreciation(1,098)(1,172)

Machinery, equipment and vehicles, net

316

361

10,381

12,282

221
(127)

199
(96)

Leased assets, net

93

103

Construction in progress
Other

632
368

463
391

(305)

(331)

6360

17,77920,355Land
Leased assets
Accumulated depreciation

Accumulated depreciation
Other, net
Total property, plant and equipment
Intangible assets
Goodwill

156

122

Other

182

180

Total intangible assets

339

303

Investment securities
Long-term loans receivable

1,695
5

2,310
–

Long-term time deposits
Deferred tax assets

3,000
896

3,000715

Other
Accumulated depreciation

4,523
(381)

4,681
(428)

4,142

4,253

Investments and other assets

Other,net
Allowance for doubtful accounts

(387)

(400)

Total investments and other assets

9,352

9,878

Total non-current assets
Total assets

427,471

30,537

95,381

101,367(Millions of yen)
As of October 31, 2022

As of October 31, 2023

Liabilities
Current liabilities
Notes and accounts payable - trade41,21443,050

Short-term borrowings
Current portion of bonds payable

631
114

691
64

Current portion of long-term borrowings
Lease liabilities

2024

522

Accrued expenses
Income taxes payable

438
1,840

493
1,561

Provision for bonuses
Other

767
870

773
1,051

Total current liabilities

45,92247,713

107

42

Long-term borrowings
Lease liabilities

60
29

54
49

Deferred tax liabilities
Provision for retirement benefits for directors (and other18

Non-current liabilities
Bonds payableofficers)
Retirement benefit liability

178–2,2492,120

Asset retirement obligations
Guarantee deposits received

6148

7202

Other

278

453

3,059

2,939

48,98250,652

Share capital
Capital surplus

2,575
2,690

2,575
2,757

Retained earnings
Treasury shares

44,255(4,454)

48,574(5,142)

Total shareholders' equity

45,066

48,764

660

961

390
6446
156

1,056

1,565

38
237

59
326

Total non-current liabilities
Total liabilities
Net assets
Shareholders' equity

Accumulated other comprehensive income
Valuation difference on available-for-sale securities
Foreign currency translation adjustment
Remeasurements of defined benefit plans
Total accumulated other comprehensive income
Share acquisition rights
Non-controlling interests
Total net assets
Total liabilities and net assets

546,399

50,714

95,381

101,367

Consolidated statements of income and consolidated statements of comprehensive income
Consolidated statements of income(Millions of yen)
Fiscal year ended
October 31, 2022

Fiscal year ended
October 31, 2023

Net sales

113,633

124,967

Cost of sales

96,539106,287

Gross profit

17,093

18,680Freight and packing costs
Provision of allowance for doubtful accounts

1,305
41,372
22

Salaries and bonuses
Welfare expenses

3,450
945

3,613
1,029

Provision for bonuses
Retirement benefit expenses

740
276

746
274

Travel, transportation and communication expenses
Depreciation

246
481

288
524

Amortization of goodwill
Other

17
2,160

34
2,406

Total selling, general and administrative expenses

9,629

10,313

7,464

8,366

Interest income
Dividend income

18
53

18
70

Rental income from buildings
Foreign exchange gains

129
64

135
31

Gain on sale of scraps
Other49
217

59
202

Total non-operating income

533

517

Selling, general and administrative expenses

Operating profit
Non-operating income

Non-operating expenses
Interest expenses
Depreciation
Guarantee commission

2351
1050
12

Other

3747

Total non-operating expenses

103

113

7,894

8,770

15––
3

Ordinary profit
Extraordinary losses
Impairment losses
Loss on valuation of investment securities

153

Profit before income taxes

Total extraordinary losses

7,878

8,766

Income taxes - current

2,571

2,788

Income taxes - deferred

(63)

(0)

Total income taxes

2,508

2,788

Profit5,370

5,97855

57

5,314

5,920

Profit attributable to non-controlling interests
Profit attributable to owners of parent

6

Consolidated statements of comprehensive income(Millions of yen)

ProfitOther comprehensive income

Fiscal year ended

Fiscal year ended

October 31, 2022

October 31, 2023
5,370

5,978

Valuation difference on available-for-sale securities
Foreign currency translation adjustment

(124)
279

301
87

Remeasurements of defined benefit plans, net of tax

16150

170

539

Comprehensive income

Total other comprehensive income

5,541

6,517

Comprehensive income attributable toComprehensive income attributable to owners of parent

5,464

6,429

7688

Comprehensive income attributable to non-controllinginterests

7Consolidated statements of changes in equity
Fiscal year ended October 31, 2022
(Millions of yen)
Shareholders' equity
Share capital
Balance at beginning of period

Capital surplus

2,575

Retained earnings

3,412

40,032

Cumulative effects ofchanges in accounting
policies

Total shareholders'equity

Treasury shares(4,201)

41,818(92)

Restated balance

2,575

3,412

(92)

39,939(4,201)

41,725

Changes during period
Dividends of surplus

(455)

(455)

Dividends fromsurplus,interim dividend

(542)

(542)

Profit attributable to ownersof parent

5,314

5,314

Purchase of treasury shares(1,028)(1,028)

Disposal of treasury shares

29

23

53

Cancellation of treasury
shares

(751)

751

–

Net changes in items otherthan shareholders' equity
Total changes during period
Balance at end of period

–

(722)

4,316

(252)

3,340

2,575

2,690

44,255(4,454)45,066

Accumulated other comprehensive income
Valuationdifference on
available-for-salesecurities

Balance at beginning of period

785

Foreigncurrencytranslation
adjustment

Total
accumulatedof defined benefit
otherplanscomprehensive
incomeRemeasurements

131(10)906

Share
acquisitionrightsNon-controlling
Total net assetsinterests–

160

Cumulative effects ofchanges in accounting
policies
Restated balance

42,886
(92)

785

131

(10)

906

–

160

42,793

Changes during period
Dividends of surplus(455)

Dividends fromsurplus,interim dividend(542)

Profit attributable to ownersof parent

5,314

Purchase of treasury shares(1,028)

Disposal of treasury shares

53

Cancellation of treasury
shares–Net changes in items otherthan shareholders' equity

(124)

258

16

Total changes during period

(124)

258

Balance at end of period

660

390

8150

38

76

265

16150

38

76

3,606

6

1,056

38

237

46,399Fiscal year ended October 31, 2023
(Millions of yen)
Shareholders' equity
Share capital
Balance at beginning of period

Capital surplus

2,575

Retained earnings

2,690

Total shareholders'equity

Treasury shares

44,255(4,454)45,066

Changes during period
Dividends of surplus

(715)

(715)

Dividends fromsurplus,interim dividend

(886)

(886)

Profit attributable to ownersof parent

5,920

5,920

Purchase of treasury shares
Disposal of treasury shares

67(736)

(736)

48

115

Net changes in items otherthan shareholders' equity
Total changes during period
Balance at end of period

–

67

4,318

(687)

3,697

2,575

2,757

48,574(5,142)

48,764

Accumulated other comprehensive income
Valuationdifference on
available-for-salesecurities

Balance at beginning of period

660

Foreigncurrencytranslation
adjustment

Total
accumulatedof defined benefit
otherplanscomprehensive
incomeRemeasurements

390

6

1,056

Shareacquisitionrights

38

Non-controlling
Total net assetsinterests

237

46,399Changes during period
Dividends of surplus(715)

Dividends fromsurplus,interim dividend(886)

Profit attributable to ownersof parent

5,920

Purchase of treasury shares(736)

Disposal of treasury shares

115

Net changes in items otherthan shareholders' equity

301

56

150

508

2088617

Total changes during period

301

56

150

508

20

88

4,315

Balance at end of period

961

446

156

1,565

59

326

50,7149Consolidated statements of cash flows(Millions of yen)

Cash flows from operating activities
Profit before income taxes

Fiscal year ended

Fiscal year ended

October 31, 2022

October 31, 2023
7,878

8,766

Depreciation
Amortization of goodwill

547
17598
34

Increase (decrease) in retirement benefit liability
Increase (decrease) in provision for bonuses

5986

86
5

Increase (decrease) in allowance for doubtful accounts
Interest and dividend income

4(72)

16(89)

Interest expenses
Loss (gain) on cancellation of insurance policies

2(99)

3(26)

Rental income
Impairment losses(129)
15(135)–Decrease (increase) in trade receivablesDecrease (increase) in inventories(4,110)(1,635)(1,211)(310)

Increase (decrease) in trade payables
Increase (decrease) in accrued consumption taxes

5,331
133

1,793
89

Other, net

15298

Subtotal

8,046

9,922

Interest and dividends received

72

89

Interest paid
Income taxes paid

(2)
(1,779)(3)(3,068)Net cash provided by (used in) operating activities

6,335

6,940

Cash flows from investing activities
Payments into time deposits(3,966)(1,156)

Proceeds from withdrawal of time deposits
Purchase of short-term and long-term investment securities

845
(87)

1,270(262)Proceeds from sale of investment securities
Purchase of property, plant and equipment70(413)80(3,057)2131618

Purchase of insurance funds
Proceeds from cancellation of insurance funds

(266)
307

(275)
140

Purchase of shares of subsidiaries resulting in change in scopeof consolidation

(208)

–

Other, net

(25)

108

(3,727)(3,116)(1,028)
(988)

(736)
(1,610)

(74)

(54)

Proceeds from sale of property, plant and equipment
Proceeds from collection of loans receivable

Net cash provided by (used in) investing activities
Cash flows from financing activities
Purchase of treasury shares
Dividends paid
Other, net
Net cash provided by (used in) financing activities(2,091)(2,400)Effect of exchange rate change on cash and cash equivalents

168

49

Net increase (decrease) in cash and cash equivalents

685

1,472

Cash and cash equivalents at beginning of period

25,49626,181

Cash and cash equivalents at end of period

26,181

27,65410