Note:This document is a translation of a part of the original Japanese version and provided for reference purposes only. In the event of any
discrepancy between the Japanese original and this English translation, the Japanese original shall prevail.

Consolidated Financial Results
for the Six Months Ended June 30, 2023 [Japanese GAAP]

August 10, 2023
Company name:
SAKATA INX CORPORATION
Stock exchange listing: Tokyo
Code number:
4633
URL:
https://www.inx.co.jp/english/
Representative:
Yoshiaki Ueno
Representative Director, President & CEOContact:
Daisuke Sugahara
General Manager, Finance & Accounting Div.
Phone:+81-6-6447-5823
Scheduled date of filing quarterly securities report:
August 10, 2023
Scheduled date of commencing dividend payments:
September 1, 2023
Availability of supplementary briefing material on quarterly financial results: Yes
Schedule of quarterly financial results briefing session:
Yes(Amounts of less than one million yen are rounded down)
1. Consolidated Financial Results for the Six Months Ended June 30, 2023 (January 1, 2023 to June 30, 2023)(1) Consolidated Operating Results(% indicates changes from the previous corresponding period.)Net sales

Operating income

Million yen%
Million yen%Six months ended
June 30, 2023
110,151
6.4
5,045
148.7
June 30, 2022
103,53316.8
2,028(59.8)(Note) Comprehensive income: Six months ended June 30, 2023:
Six months ended June 30, 2022:

Basic earnings
per share
Six months ended
June 30, 2023
June 30, 2022

Net income attributableto owners of parent

Ordinary income
Million yen%

Million yen%

3,812
2,400(1.9)%]
45.5%]

58.8(40.6)

6,427
156.7
2,503
(57.2)
12,081million[12,313million[¥¥

Diluted earnings
per share
Yen

Yen

76.20
42.84

-(2) Consolidated Financial Position
Total assets
Million yen
As ofJune 30, 2023
192,218
December 31, 2022
177,403(Note) Equity: As of June 30, 2023:¥
As of December 31, 2022:¥Net assets

Equity ratio

Million yen%

104,169
92,952
96,682million
86,272million

50.3
48.6

2. Dividends
Annual dividends
1st
2nd
3rd
quarter-end quarter-end quarter-end
Yen

Year-end

TotalYen

Yen

Yen

Yen

Fiscal year ended December 31, 2022
15.00
Fiscal year ending December 31, 2023
15.00
Fiscal year ending December 31, 2023 (Forecast)(Note) Revision to the forecast for dividends announced most recently: Yes-15.0030.00-16.00

31.00

3. Consolidated Financial Results Forecast for the Fiscal Year Ending December 31, 2023 (January 1, 2023 to December31, 2023)(% indicates changes from the previous corresponding period.)
Operating income Ordinary income

Net income
Basic earnings
attributable toper shareowners of parent

Million yen%

Million yen%

Yen

Full year
226,000
4.9
10,000 142.4
12,100 143.9(Note) Revision to the financial results forecast announced most recently: Yes

7,900

73.4

157.87

Net sales
Million yen%%

Million yen* Notes:(1) Changes in significant subsidiaries during the six months ended June 30, 2021
(changes in specified subsidiaries resulting in changes in scope of consolidation):No(2) Accounting policies adopted specially for the preparation of quarterly consolidated financial statements: No(3) Changes in accounting policies, changes in accounting estimates and retrospective restatement
1) Changes in accounting policies due to the revision of accounting standards:
2) Changes in accounting policies other than 1) above:3) Changes in accounting estimates:
4) Retrospective restatement:

NoNoNoNo(4) Total number of issued shares (common shares)
1) Total number of issued shares at the end of the period (including treasury shares):
June 30, 2023:
54,172,361shares
December 31, 2022:
54,172,361shares2) Total number of treasury shares at the end of the period:
June 30, 2023:
4,127,468shares
December 31, 2022:
4,143,541shares
3) Average number of shares during the period:
Six months ended June 30, 2023:
Six months ended June 30, 2022:

50,035,674shares
56,037,577shares* This consolidated financial results are not subject to quarterly review procedures by Certified Public Accountants or audit
firm.
* Explanation of appropriate use of financial forecasts and other special notes
The above financial forecasts are based on the current available information in the Company and certain reasonableassumption to the Company, and we don't commit to achieve these forecasting numbers. Actual results may differ fromthese forecasts by a variety of reasons.
* Supplementary information will be disclosed on TDnet on August 10, 2023 and will be uploaded on the Company'swebsite.

Quarterly Consolidated Financial Statements
Quarterly Consolidated Balance Sheets(Million yen)
As of December 31,2022

As of June 30,2023

AssetsCurrent assets
Cash and deposits
Notes and accounts receivable - trade

12,12053,862

14,42357,891

Merchandise and finished goods
Work in process

13,164
1,514

17,233
1,601

Raw materials and supplies

18,66914,804

Other
Allowance for doubtful accounts

2,394(575)

3,116(630)

101,150

108,440

Buildings and structures, net
Machinery, equipment and vehicles, net

19,858
10,391

20,307
10,774

Land
Leased assets, net
Construction in progress

9,816
231
3,814

10,045251
4,329

Other, net

4,273

4,557

Total property, plant and equipment

48,38550,266

Total current assets
Non-current assets
Property, plant and equipment

Intangible assets
Goodwill

441

459

Other

1,901

3,506

Total intangible assets

2,342

3,965

Investment securities

23,942

27,703

Other

2,592

2,905

Allowance for doubtful accounts(1,010)(1,064)

Total investments and other assets

25,52429,54576,252

83,778

177,403

192,218

Investments and other assets

Total non-current assets
Total assets- 1 -(Million yen)
As of December 31,2022

As of June 30,2023

Liabilities
Current liabilities
Notes and accounts payable - trade
Electronically recorded obligations - operating
Short-term borrowings

23,121
14,316
11,046

23,674
12,393
11,493Current portion of long-term borrowings
Accrued expenses

1,979
4,656

3,611
4,843

Income taxes payable
Provision for bonuses
Other524
547
2,951

538
506
3,162

Total current liabilities

59,14360,223Bonds payable
Long-term borrowings
Retirement benefit liability

1,000
11,2444,869

1,000
12,527
4,956

Asset retirement obligations
Other74
8,119

75
9,266

Total non-current liabilities

25,307

27,82684,45088,049

Capital stock

7,472

7,472

Capital surplus
Retained earnings
Treasury shares

5,672
71,729(4,015)

5,673
74,836(3,999)Total shareholders' equity

80,85983,982

Valuation difference on available-for-sale securities

1,111

1,842

Deferred gains or losses on hedges
Foreign currency translation adjustment
Remeasurements of defined benefit plans(0)5,010(709)

011,494(638)

Total accumulated other comprehensive income

5,412

12,699Non-current liabilities

Total liabilities
Net assets
Shareholders' equity

Accumulated other comprehensive income

Non-controlling interests

6,680

7,486

Total net assets

92,952

104,169

177,403

192,218

Total liabilities and net assets- 2 -Quarterly Consolidated Statements of Income and Comprehensive Income
Quarterly Consolidated Statements of Income (For the six months)(Million yen)
For the six months
ended June 30,2022

For the six monthsended June 30,2023

Net sales

103,533

110,151

Cost of sales

84,45486,757Gross profit

19,07823,394

Selling, general and administrative expenses

17,05018,348Operating income

2,028

5,045

Interest income
Dividend income

25
172

70
72

Equity in earnings of affiliates
Foreign exchange gains

331-

866
535

Other

225

308

Total non-operating income

755

1,854

Interest expenses
Foreign exchange losses

187
62

395
-

Other

30

77

Total non-operating expenses

280

472

2,503

6,427

Gain on sales of investment securities

1,442

-

Total extraordinary income1,442-

Non-operating income

Non-operating expenses

Ordinary income
Extraordinary income

Extraordinary losses
Loss on valuation of shares of subsidiaries and associates-280

Total extraordinary losses-280

Income before income taxes

3,945

6,147

Income taxes - current
Income taxes - deferred

1,183
247

1,592
296

Total income taxes

1,431

1,888

Net income

2,514

4,258

Net income attributable to non-controlling interests
Net income attributable to owners of parent- 3 -

113

445

2,400

3,812

Quarterly Consolidated Statements of Comprehensive Income (For the six months)(Million yen)
For the six months
ended June 30,2022

For the six months
ended June 30,2023

Net income

2,514

4,258

Other comprehensive income
Valuation difference on available-for-sale securities

(919)

748

Deferred gains or losses on hedges

31

Foreign currency translation adjustment
Remeasurements of defined benefit plans, net of tax

8,082
57

5,425
75

Share of other comprehensive income of affiliates
accounted for using equity method

2,575

1,572

Total other comprehensive income

9,799

7,823

12,31312,081

11,241

11,1001,072981

Comprehensive income
Comprehensive income attributable toComprehensive income attributable to owners of parent
Comprehensive income attributable to non-controllinginterests- 4 -Quarterly Consolidated Statements of Cash Flows(Million yen)
For the six months
ended June 30,2022
Cash flows from operating activities
Income before income taxes
Depreciation and amortization

For the six months
ended June 30,2023

3,945
2,334

6,147
2,367

Amortization of goodwill
Increase (decrease) in allowance for doubtful accounts

51
856
37

Increase (decrease) in net defined benefit liability
Increase (decrease) in provision for bonuses

(55)
(20)

71
(46)

Loss on valuation of shares of subsidiaries and associates
Interest and dividend income
Interest expenses

(198)
187

280
(143)
395

(331)
(1,442)(866)-

Equity in (earnings) losses of affiliates
Loss (gain) on sales of investment securities(813)(1,272)(3,585)

1,938(2,381)(2,875)

Other, net(34)(1,022)

Subtotal(2,335)

5,068Interest expences paid

371
(191)

325
(403)

Income taxes paid

(992)

(1,241)(3,147)

3,748

Purchase of property, plant and equipment(2,407)(1,694)

Proceeds from sales of property, plant and equipment
Purchase of intangible assets
Purchase of investment securities
Proceeds from sales of investment securities

8(1,052)
(15)
4,628

46(1,616)(611)-

Payments of loans receivableCollection of loans receivable

(16)
29

(30)
35

Other, net

381

(155)

1,555

(4,026)

Decrease (increase) in notes and accounts receivable - trade

Decrease (increase) in inventories
Increase (decrease) in notes and accounts payable - trade
including electronically recorded obigations - operating

Interest and dividend income received

Net cash provided by (used in) operating activities
Cash flows from investing activities

Net cash provided by (used in) investing activities- 5 -(Million yen)
For the six months
ended June 30,2022

For the six months
ended June 30,2023

Cash flows from financing activities
Net increase (decrease) in short-term loans payable
Proceeds from long-term loans payable

10,051
1,581

(246)
3,646

Repayments of long-term loans payable
Proceeds from share issuance to non-controllingshareholders(2,553)(1,193)

146-

Cash dividends paid
Dividends paid to non-controlling interests
Purchase of treasury shares

(876)
(642)
(8,192)

(750)
(175)
(0)

Other, net

(114)

(125)

Net cash provided by (used in) financing activities

(600)

1,155

Effect of exchange rate change on cash and cash equivalents

603

1,209

Net increase (decrease) in cash and cash equivalents(1,589)2,086

Cash and cash equivalents at beginning of period

12,115

11,721-12

10,525

13,820

Increase (decrease) in cash and cash equivalents resulting
from change in scope of consolidation
Cash and cash equivalents at end of period- 6 -