Consolidated Financial Results
for the Three Months Ended
June 30, 2020

August, 2020
©DaikyoNishikawa Corporation All rights reserved.

Table of Contents

1. Financial Results

Page 2

2. Financial Forecast for Fiscal 2020

Page 10©DaikyoNishikawa Corporation All rights reserved.

P.1

1. Financial Results©DaikyoNishikawa Corporation All rights reserved.

P.2

Highlights

First Quarter Result■Sales decreased compared to the same period of the previous year
due to a significant reduction in production at major customers
because of the Corona-Virus Disease-2019■Operating profit loss occurred due to the impact of production cuts,
despite efforts to reduce costs in a difficult business environment■While implementing measures to prevent the spread of Corona-Virus
Disease-2019, DaikyoNishikawa carried out strategies set forth in themedium-term management plan and promote company-wide cost
reduction©DaikyoNishikawa Corporation All rights reserved.

P.3

Consolidated Profit and Loss Statement
Sales decreased due to a significant reduction in production at major customers
because of the Corona-Virus Disease-2019
Profit also decreased due to decline production(Millions of Yen)
Three Months
EndedJune. 30, 2019

Three Months
Ended
June. 30, 2020

Changes(Y on Y)

Changes (%)

Net Sales

49,644

27,118-22,526-45.4%

Operating Income

3,175-1,657-4,832－

Ordinary Income

3,200-1,604-4,804－

Profit Attributable toOwners of Parent

2,338-2,675-5,013－

Operating Profit
Margin

6.4%－－－

Net Income perShare

33.00yen-37.76yen-70.76yen－©DaikyoNishikawa Corporation All rights reserved.

P.4

Net sales increase or decrease factor(Millions of yen)・Declined production of major
customers due to spread theCorona-Virus Disease-2019

60,00050,00040,000－21,915

30,000－471

49,64476－21520,00027,11810,0000©DaikyoNishikawa Corporation All rights reserved.

要具売
上その他売
上

P.5

為替
影響

19.3

18.3
期
売
上
高製品
売
上

期
売
上高

Operating income increase or decrease factor(Millions of yen)
4,000
3,000
2,000

3,175
1,000-5,895

・Transferred some of thecosts derived from CoronaVirus Disease-2019 toextraordinary losses

0-1,000

193-2,000

99

316

437
・Cost reduction by reviewing
operations-3,000-4,000©DaikyoNishikawa Corporation All rights reserved.

17-1,657

P.6

Financial Results by Segment
Segment

Outline of business performanceJapan SALES：Decreased due to drastically decline production of majorcustomers due to spread of the Corona-Virus Disease-2019
 PROFIT：In spite of the effort to reduce costs, operating loss
occurred due to decline production

China/Korea

 SALES：Decreased due to decline production of major customers
because of wide spread of the Corona-Virus Disease-2019 infection
 PROFIT：Operating loss due to decline production

ASEAN

 SALES：Decreased due to decline production of major customers
 PROFIT：Decreased due to decline production

Americas SALES： Increased due to the impact of production growth of major
customers PROFIT：Increased due to the impact of production growth©DaikyoNishikawa Corporation All rights reserved.

P.7

Sales by Segment
Sales increased in Americas segment due to the expansion of vehicle production,
but decreased in other segments due to the impact of the COVID-2019(Millions of Yen)

Three Months
Ended
June. 30, 2019

Domestic

OverseasJapan

Three Months
Ended
June. 30, 2020

Changes(Y on Y)

Changes(%)(component ratio)

36,884(74.3)

13,287(49.0)-23,597(-25.3Pts)-64.0%

China/Korea

1,610829-780-48.5%

ASEAN

4,015

3,283-732-18.1%

Americas

7,133

9,717

2,584

36.2%

Overseas
Total

12,760(25.7)

13,831(51.0)

1,071(25.3Pts)

8.4%

49,644

27,118-22,526-45.4%(component ratio)

Total©DaikyoNishikawa Corporation All rights reserved.

P.8

Operating Income by Segment
Profit decreased except for Americas segment due to decline production(Millions of Yen)

Three Months
Ended
June. 30, 2019

DomesticOverseas

Japan

Three Months
Ended
June. 30, 2020

Changes(Y on Y)Changes(%)-3,270(－)-5,500(－)－(component ratio)

2,229(71.9)

China/Korea

104-27-132

－

ASEAN

479

314-165-34.5%

Americas

287

934

647

225.4%

OverseasTotal

871(28.1)

1,221(－)

349
(－)

40.1%

3,101

-2,049-5,150－(component ratio)

Total©DaikyoNishikawa Corporation All rights reserved.

P.9

2. Financial Forecast for Fiscal 2020

©DaikyoNishikawa Corporation All rights reserved.

P.10

Financial Forecast for Fiscal 2020
Outline Sales decreased 20.4% year on year to 145 billion yen
 Operating income decrease 94.4% year on year to 500 million yen
 DaikyoNishikawa forecasts the impact of the Corona-Virus Disease2019 shall gradually ease from the second quarter, but does not expect
to complete recovery to the previous year's level
Initiatives for Fiscal 2020
 Continue to carry out the strategies set out in the medium-term
management plan Preparations for new US plant operation in 2021
 Promote cost reduction/cost improvement for the entire company
 Thorough implementation of measures to prevent the spread of infection©DaikyoNishikawa Corporation All rights reserved.

P.11

FY2020 Forecast
Assuming a gradual recovery from the second quarter on(Millions of Yen)FY2020 ForecastChanges

FY2020 ForecastChanges(2nd Quarter)(Y on Y, %)(the full year)(Y on Y, %)Net Sales

60,000-36.5%

145,000-20.4%

OperatingIncome-2,100－

500-94.4%

Ordinary Income-1,300－

1,500-84.2%

Profit Attributable toOwners of Parent-2,200－0－

Net Income perShare-31.02yen－0.00yen－©DaikyoNishikawa Corporation All rights reserved.

P.12

Capital Investment, Depreciation and R&D Expenses≪Capital Investment≫≪Depreciation≫≪R&D Expenses≫

Headquarters relocation wasalmost completed, resulting in
capital investment decrease

A slight increase due to thestart of depreciation at thenew headquarters

Decrease due tostreamlining of R&Dexpenses※FY2020: Plan

※FY2020: Plan

35
(Billions of yen)

※FY2020: Plan

5

(Billions of yen)
14

(Billions of yen)

12430
25.0

25

10.7

1020

18.4
16.4

15

13.1

9.1

10.8
3.2

9.5
9.0

350

62

4
1
20

©DaikyoNishikawa Corporation All rights reserved.

3.0

2.9
2.6

8

10
7.2

3.00

P.13

Dividend
Annual dividend forecast per share remains 30 yenFY2016：
Excluding commemorative dividend

Payout Ratio

60.0%

43.3%
40.0%
20.0%

17.0%

17.7%

18.9%

23.2%

19.3%

0.0%

※Dividend payout ratio (forecast) for the fiscal year
ended March 2021 is not calculated because Profit
Attributable to Owners of Parent (forecast) is 0 yen

Dividend Per Share
40353025
2015
1050(Yen)

3434

1812
FY2016

28.25

28

16.25

1916

10.6255.625

9.25

FY2014FY20153030

17151716171513

FY2017FY2018FY2019FY2020interim of period

end of period(Plan)※On January 1, 2016, we split its common stock into four shares.
The annual dividend for FY2014 and the interim period for FY2015 are calculated as dividends per share, assuming that astock split was conducted.
©DaikyoNishikawa Corporation All rights reserved.

P.14

Important Information
This presentation material contains certain statements describing the future plans, strategies
and performance of DaikyoNishikawa Corporation and its consolidated subsidiaries. Thesestatements are not based on historical or present fact, but rather assumptions and estimates
based on information currently available. These future plans, strategies and performances are
subject to known and unknown risks, uncertainties and other factors. DaikyoNishikawa
Corporation’s actual performance, business activities and financial position may differ materiallyfrom the assumptions and estimates provided on account of the risks, uncertainties and otherfactors. The information contained on this presentation should not be considered as an offer, orsolicitation, to deal in any of the investments or funds.

Contact
DaikyoNishikawa Corporation
Corporate Planning Department
Phone: +81-82-493-5610©DaikyoNishikawa Corporation All rights reserved.