February 14, 2022

Summary of Consolidated Financial Results
for the Third Quarter of Fiscal Year Ending March 31, 2022
(Nine Months Ended December 31, 2021)[Japanese GAAP]
Company name:
Stock code:
Representative:
Contact:IWAKI CO.,LTD.
Listing: Tokyo Stock Exchange, First Section
6237
URL: https://www.iwakipumps.co.jp/
Shigeru Fujinaka, President
Makoto Inoue, Executive Officer,
Senior General Manager of Business Management Head OfficeTel: (81)3-3254-2931
Scheduled date of filing of Quarterly Report:
February 14, 2022
Scheduled date of payment of dividend:
Preparation of supplementary materials for quarterly financial results: Yes
Holding of quarterly financial results meeting:None(All amounts are rounded down to the nearest million yen)

1. Consolidated Financial Results for the Third Quarter Ended December 31, 2021
(April 1, 2021 – December 31, 2021)(1) Consolidated results of operations(Percentages represent year-on-year changes)
Profit attributable to
Net sales
Operating profit
Ordinary profit
owners of parent
Million yen% Million yen% Million yen% Million yen%
Nine months ended Dec. 31, 2021
23,927
18.5
1,946
89.4
2,608
88.6
2,052
46.5
Nine months ended Dec. 31, 2020
20,199 (5.2)
1,027 (35.5)
1,382 (29.1)
1,401
(8.1)
Note: Comprehensive income (million yen) Nine months ended Dec. 31, 2021: 2,342 (up 72.9%)
Nine months ended Dec. 31, 2020: 1,354 (up 14.0%)
Diluted net income per
Net income per share
share
Nine months ended Dec. 31, 2021
Nine months ended Dec. 31, 2020

Yen

Yen

93.65
63.60

-

(2) Consolidated financial position
Total assets
Net assets
Capital adequacy ratio
Million yen
Million yen%
As of Dec. 31, 2021
35,66023,99867.1
As of Mar. 31, 2021
32,211
22,52069.7
Reference: Owner’s equity (million yen)
As of Dec. 31, 2021: 23,928
As of Mar. 31, 2021: 22,456

2. Dividends
1Q-endYen

2Q-endDividend per share
3Q-endYear-end

Yen

Yen

Total

Yen

8.00
21.00
Fiscal year ended Mar. 31, 2021
12.00
Fiscal year ending Mar. 31, 2022
19.00
Fiscal year ending Mar. 31, 2022 (forecasts)
Note: Revisions to the most recently announced dividend forecasts: Yes
Regarding revisions to the dividend forecast, please see the press release dated today (February 14, 202 2) concerning therevisions to the earnings forecast and dividend forecast (Japanese version only).

Yen

29.00
31.00

3. Consolidated Earnings Forecasts for the Fiscal Year Ending March 31, 2022 (April 1, 2021 – March 31, 2022)(Percentages represent year-on-year changes)
Profit attributable to Net income per
Net sales
Operating profit
Ordinary profit
owners of parent
shareMillion yen%
Million yen% Million yen% Million yen%
Yen
Full year
31,860
13.1
2,014
18.0
2,852
28.4
2,228
6.6
101.72
Note: Revisions to the most recently announced consolidated earnings forecasts: Yes
Regarding revisions to the earnings forecast, please see the press release dated today (February 14, 2022) concerning therevisions to the earnings forecast and dividend forecast (Japanese version only).

* Notes(1) Changes in consolidated subsidiaries during the period (changes in scope of consolidation): None
(2) Application of special accounting methods for presenting quarterly consolidated financial statements: Yes
Note: Please refer to page 8 “2. Quarterly Consolidated Financial Statements and Notes, (3) Notes to Quarterly Consolidated
Financial Statements, Application of Special Accounting Methods for Presenting Quarterly Consolidated Financial
Statements” for details.

(3) Changes in accounting policies and accounting-based estimates, and restatements
1) Changes in accounting policies due to revisions in accounting standards, others:

Yes2) Changes in accounting policies other than 1) above:None3) Changes in accounting-based estimates:

None4) Restatements:

None

Note: Please refer to page 8 “2. Quarterly Consolidated Financial Statements and Notes, (3) Notes to Quarterly Consolidated
Financial Statements, Changes in Accounting Policies” for details.

(4) Number of outstanding shares (common shares)
1) Number of shares outstanding at the end of the period (including treasury shares)
As of Dec. 31, 2021:

22,490,910 shares

As of Mar. 31, 2021:

22,490,910 shares

As of Mar. 31, 2021:

451,856 shares

2) Number of treasury shares at the end of the period
As of Dec. 31, 2021:

585,863 shares

3) Average number of shares outstanding during the period
Nine months ended Dec. 31, 2021: 21,915,850 shares

Nine months ended Dec. 31, 2020:

22,033,902 shares* The current quarterly financial report is not subject to quarterly review by certified public accountants or auditing firms.
* Cautionary statement with respect to forward-looking statements
Note concerning forward-looking statements
Forecasts of future performance in these materials are based on assumption judged to be valid and information available to
Iwaki’s management at the time the materials were prepared, but are not promises by Iwaki regarding future performance.
Actual results may differ materially from the forecasts.
How to view supplementary information at the quarterly financial results meeting
The supplementary information materials for quarterly financial results are disclosed on the Company’s website today(February 14, 2022).

IWAKI CO.,LTD. (6237) Financial Results for the Third Quarter of FY3/22

Contents of Attachments
1. Qualitative Information on Quarterly Consolidated Financial Performance2(1) Explanation of Results of Operations

2(2) Explanation of Financial Position

2(3) Explanation of Consolidated Earnings Forecasts and Other Forward -looking Statements

3

2. Quarterly Consolidated Financial Statements and Notes

4(1) Quarterly Consolidated Balance Sheet

4(2) Quarterly Consolidated Statements of Income and Comprehensive Income

6

Quarterly Consolidated Statement of Income
For the Nine-month Period

6

Quarterly Consolidated Statement of Comprehensive Income
For the Nine-month Period

7(3) Notes to Quarterly Consolidated Financial Statements

8

Going Concern Assumption

8

Significant Changes in Shareholders’ Equity

8

Application of Special Accounting Methods for Presenting Quarterly Consolidated Financial Statements

8

Changes in Accounting Policies

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IWAKI CO.,LTD. (6237) Financial Results for the Third Quarter of FY3/22

1. Qualitative Information on Quarterly Consolidated Financial Performance(1) Explanation of Results of Operations
During the first nine months of the fiscal year ending March 31, 2022, the Japanese economy showed signs ofrecovery as the severity of the recent pandemic situation gradually eased due to progress in COVID-19
vaccinations. However, the identification of new mutant strains and other factors means that the outlook
remains uncertain, both in Japan and overseas.
Meanwhile, capital investment is expected to pick up on the back of improved corporate earnings and otherfactors, and orders continue to be brisk with a focus on semiconductor manufacturing equipment. Nevertheless,the situation remains unpredictable due to factors such as supply shortages for raw materials and parts anddisruptions in international logistics, especially marine transportation.
In Japan, Iwaki took many actions to improve its corporate value based on the core policy of “winning byimproving customer satisfaction.” Overseas, there were activities encompassing 21 affiliated companies in 15
countries to increase sales. The Iwaki Group continued to accelerate the implementation of various measures
for achieving numerical targets of the Iwaki Group 10-year vision of net sales of 40 billion yen and an
operating margin of 10% in the fiscal year ending on March 31, 2025 based on the policy of “supplying theworld’s best products as All Iwaki,”
As a result, sales to the semiconductor/liquid crystal market were still strong, increasing by 59.6%
year-on-year, and driving up overall sales. In addition, sales in the first nine months were higher than one year
earlier in all other markets.
Sales in Japan increased 11.1% from one year earlier to 13,322 million yen as a result of higher sales
particularly in the semiconductor/liquid crystal, medical equipment and surface treatment equipment markets.
Overseas, sales in Europe increased 43.8% to 2,911 million yen. They rose year-on-year in all markets, evenwhen excluding those of the four Iwaki Nordic Group companies (Denmark, Sweden, Finland, and Norway). In
addition, the profit and loss of the Iwaki Nordic Group was included in the results for the entire period (in thesame period of the previous fiscal year, the results were included from the third quarter). Sales in the UnitedStates rose 18.5% to 3,083 million yen because sales were higher than one year earlier in all markets,particularly in the water treatment market. In Asia, sales rose in the semicondu ctor/liquid crystal and surface
treatment equipment markets, mainly for South Korea and Taiwan. As a result, sales were 2,225 million yen(up 45.3% year-on-year). Sales in China were up 13.1% to 1,514 million yen. Sales to the semiconductor/liquid
crystal and new energy markets increased, although the recovery in the medical equipment market was
lackluster.
By product category, sales in the core magnetic drive pump category were strong. Sales of pneumatic drive
pumps for the semiconductor/liquid crystal market have also made a significant contribution to the increase insales.
As a result, consolidated net sales increased 18.5% to 23,927 million yen.
Higher sales contributed to an increase in earnings. Operating profit incre ased 89.4% to 1,946 million yen,ordinary profit increased 88.6% to 2,608 million yen and profit attributable to owners of parent increased
46.5% to 2,052 million yen.
There is no business segment information because chemical pumps are the only business of the Iwaki Group.
(2) Explanation of Financial Position
AssetsThe balance of current assets at the end of the third quarter of the current fiscal year was 26,099 million yen,
up 3,374 million yen from the end of the previous fiscal year. This was mainly due to increases of 773 million
yen in electronically recorded monetary claims-operating, 607 million yen in merchandise and finished goods
and 716 million yen in raw materials and supplies. The balance of non-current assets was 9,561 million yen at
the end of the third quarter, up 74 million yen from the end of the previous fiscal year. This was mainly

2

IWAKI CO.,LTD. (6237) Financial Results for the Third Quarter of FY3/22

because of an increase of 71 million yen in buildings and structures.
As a result, total assets increased 3,449 million yen from the end of the previous fiscal year to 35,660 million
yen.
Liabilities
The balance of current liabilities at the end of the third quarter was 9,748 million yen, up 2,014 million yen
from the end of the previous fiscal year. This was mainly due to increase s of 3,115 million yen inelectronically recorded obligations-operating and 355 million yen in short-term borrowings, while there was adecrease of 1,509 million yen in notes and accounts payable-trade. The balance of non-current liabilities was
1,913 million yen at the end of the third quarter, down 44 million yen from the end of the previous fiscal year.
This was mainly due to a decrease of 75 million yen in long -term borrowings.
As a result, total liabilities increased 1,970 million yen from the end of the previous fiscal year to 11,661
million yen.
Net assets
The balance of net assets at the end of the third quarter was 23,998 million yen, up 1,478 million yen from theend of the previous fiscal year. The main factors include an increase of 1,340 million yen in retained earnings.
Consequently, the capital adequacy ratio was 67.1% (69.7% at the end of the previous fiscal year).
(3) Explanation of Consolidated Earnings Forecasts and Other Forward -looking Statements
The forecast for the fiscal year ending on March 31, 2022 has been revised to reflect the results of operationsin the first nine months. For more information, please see the press release dated today (February 14, 2022)
concerning the revisions to the earnings forecast and dividend forecast (Japanese version only).

3

IWAKI CO.,LTD. (6237) Financial Results for the Third Quarter of FY3/22

2. Quarterly Consolidated Financial Statements and Notes(1) Quarterly Consolidated Balance Sheet(Thousands of yen)
Third quarter of FY3/22(As of Dec. 31, 2021)

FY3/21(As of Mar. 31, 2021)
AssetsCurrent assets
Cash and deposits

7,127,637

7,698,432

Notes and accounts receivable-trade

6,396,840--

6,749,550

Electronically recorded monetary claims-operating

3,168,898

3,941,916

Merchandise and finished goods

2,587,283

3,195,233

Notes and accounts receivable-trade, and contract assets

Work in process
Raw materials and supplies

57,518

168,487

3,131,450

3,847,751

Other282,115

527,939

Allowance for doubtful accounts(26,955)(29,812)22,724,788

26,099,499

Total current assets
Non-current assets
Property, plant and equipment
Buildings and structures
Accumulated depreciation and impairment
Buildings and structures, net
Machinery, equipment and vehicles
Accumulated depreciation and impairment
Machinery, equipment and vehicles, net
Tools, furniture and fixtures
Accumulated depreciation and impairment
Tools, furniture and fixtures, net
Land
Leased assets
Accumulated depreciation

7,571,174

7,779,027(3,988,958)(4,125,452)

3,582,216

3,653,575

3,005,576

3,166,685(2,563,625)(2,685,396)

441,951

481,289

2,013,058

2,048,296(1,675,948)(1,736,523)

337,110

311,773

1,041,934

1,043,399

343,294

346,440(140,243)(163,178)

Leased assets, net

203,051

183,262

Construction in progress

84,481

7,287

Other

37,184

41,861(28,490)(32,544)

Accumulated depreciation
Other, net

8,694

9,316

5,699,439

5,689,903

Goodwill

769,340

723,995

Trademark right

33,04428,448

Total property, plant and equipment
Intangible assets

Other

333,210

417,416

1,135,596

1,169,860

Investment securities

1,893,584

1,892,567

Deferred tax assets

460,137

526,787

Total intangible assets
Investments and other assets

Other
Total investments and other assets
Total non-current assets
Total assets

4298,217282,345

2,651,939

2,701,700

9,486,975

9,561,465

32,211,764

35,660,964

IWAKI CO.,LTD. (6237) Financial Results for the Third Quarter of FY3/22

FY3/21(As of Mar. 31, 2021)(Thousands of yen)
Third quarter of FY3/22(As of Dec. 31, 2021)

Liabilities
Current liabilities
Notes and accounts payable-trade

3,804,556

2,294,902

Electronically recorded obligations-operating

675,571

3,791,384

Short-term borrowings

820,592

1,175,738

Current portion of long-term borrowings

75,00075,000

Lease obligations

76,25975,361

Income taxes payable

280,804

432,694

Provision for bonuses

752,791

434,691

Provision for bonuses for directors (and other officers)

90,332

57,246

Provision for product warranties

73,23586,420Other

1,084,479

1,325,027

Total current liabilities

7,733,624

9,748,468

Long-term borrowings

637,500

562,500

Lease obligations

154,294

134,370

Retirement benefit liability

264,352

243,292

Asset retirement obligations

196,119

223,112

Non-current liabilities

Other

705,395

750,249

1,957,661

1,913,524

9,691,286

11,661,992

Share capital

1,044,691

1,044,691

Capital surplus

675,384

664,691

Retained earnings

20,673,009

22,013,632

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

Treasury shares(456,247)(586,764)

Total shareholders’ equity

21,936,836

23,136,250

Valuation difference on available-for-sale securities

102,329

1,111

Foreign currency translation adjustment

123,917523,762

Remeasurements of defined benefit plans

293,781

267,819

Total accumulated other comprehensive income

520,029

792,693

63,61170,02722,520,477

23,998,972

32,211,764

35,660,964

Accumulated other comprehensive income

Non-controlling interests
Total net assets
Total liabilities and net assets

5

IWAKI CO.,LTD. (6237) Financial Results for the Third Quarter of FY3/22(2) Quarterly Consolidated Statements of Income and Comprehensive Income
Quarterly Consolidated Statement of Income(For the Nine-month Period)First nine months of FY3/21(Apr. 1, 2020 – Dec. 31, 2020)(Thousands of yen)First nine months of FY3/22(Apr. 1, 2021 – Dec. 31, 2021)

Net sales

20,199,979

23,927,495

Cost of sales

13,348,589

15,647,339

Gross profit

6,851,389

8,280,156

Selling, general and administrative expenses

5,823,762

6,333,345

Operating profit

1,027,626

1,946,810

Interest income

2,594

1,524

Dividend income
Share of profit of entities accounted for using
equity method
Foreign exchange gains

18,06916,224395,362

637,418-

14,344Other

31,111

26,825

Total non-operating income

447,137

696,337

Interest expenses

17,60819,423

Commission expenses

3,723

7,397

Foreign exchange losses
Loss on amortization of restricted stock
remuneration
Other

55,509

-

6,944

-

8,181

8,034

Total non-operating expenses

91,96734,856

1,382,797

2,608,291-

95

Non-operating income

Non-operating expenses

Ordinary profit
Extraordinary income
Gain on sale of non-current assets
Gain on sale of investment securities-

137,347

Gain on step acquisitions

347,712-

Insurance claim income-

39,668

Other

-

1,005

347,712

178,116

6,197

10,546

Total extraordinary income
Extraordinary losses
Loss on retirement of non-current assets
Loss on sale of non-current assets-

862

Settlement package-

55,0006,197

66,4081,724,312

2,719,999

313,718

651,028

1,410,593

2,068,971

Total extraordinary losses
Profit before income taxes
Income taxes
ProfitProfit attributable to non-controlling interests
Profit attributable to owners of parent

6

9,276

16,512

1,401,316

2,052,459

IWAKI CO.,LTD. (6237) Financial Results for the Third Quarter of FY3/22

Quarterly Consolidated Statement of Comprehensive Income(For the Nine-month Period)(Thousands of yen)First nine months of FY3/21
First nine months of FY3/22(Apr. 1, 2020 – Dec. 31, 2020) (Apr. 1, 2021 – Dec. 31, 2021)
Profit1,410,593

2,068,971

21,693(101,301)(49,440)

289,058

6,091(25,962)(34,136)

112,182(55,791)

273,977

1,354,802

2,342,948

1,346,951

2,325,122

7,850

17,825

Other comprehensive income
Valuation difference on available-for-sale securities
Foreign currency translation adjustment
Remeasurements of defined benefit plans, net of tax
Share of other comprehensive income of entities
accounted for using equity method
Total other comprehensive income
Comprehensive income
Comprehensive income attributable to:Comprehensive income attributable to owners ofparentComprehensive income attributable tonon-controlling interests

7

IWAKI CO.,LTD. (6237) Financial Results for the Third Quarter of FY3/22(3) Notes to Quarterly Consolidated Financial Statements
Going Concern Assumption
Not applicable.
Significant Changes in Shareholders’ Equity
Not applicable.
Application of Special Accounting Methods for Presenting Quarterly Consolida ted Financial Statements
Calculation of tax expense
At Iwaki and certain consolidated subsidiaries, the tax expenses were calculated by first estimating theeffective tax rate after the application of tax effect accounting with respect to profit before inc ome taxes during
the fiscal year, and multiplying that rate by the quarterly profit before income taxes.
Changes in Accounting Policies
Application of the Accounting Standard for Revenue Recognition
Iwaki started to apply the Accounting Standard for Reven ue Recognition (Accounting Standards Board ofJapan (ASBJ) Statement No. 29, March 31, 2020) and the Implementation Guidance on Accounting Standard
for Revenue Recognition (ASBJ Guidance No. 30, March 26, 2021) at the beginning of the first quarter of the
fiscal year ending in March 2022. Based on this standard, revenue expected to be received in exchange for theprovision of goods and services is recognized when the control of the goods and services is transferred tocustomers.
In prior years, revenue for some export sales was recognized by using the shipping date standard. Due to theuse of this new standard, revenue for these sales is now recognized when risk concerning the products istransferred to the customer in accordance with trade terms stipulated by International Commercial Terms(Incoterms) and other guidelines.
For sales of products in Japan, the alternate treatment specified in Paragraph 98 of the Implementation
Guidance on Accounting Standard for Revenue Recognition is also applied. Revenue is recognized when aproduct is shipped in cases where the time between the shipment of a product and the transfer of control to acustomer is the normal length of time.
The new revenue recognition standard is applied in accordance with the transitional treatment prescribed in theproviso to Paragraph 84 of this standard. There was no effect on retained earnings at the beginning of thecurrent fiscal year.
In addition, the application of this standard had no effect on earnings in the first nine months.
Due to the application of the new revenue recognition standard, the “notes and accounts receivable-trade” itemin the current assets section of the consolidated balance sheet in the previous fiscal year is, beginning with thefirst quarter of the current fiscal year, presented as “notes and accounts receivable-trade, and contract assets.”
In accordance with the transitional treatment prescribed in Paragraph 89 -2 of this new standard, no
reclassification has been made to the prior year ’s consolidated financial statements to conform to the newpresentation.

This financial report is solely a translation of “Kessan Tanshin” (in Japanese, including attachments), which has been
prepared in accordance with accounting principles and practices generally accepted in Jap an, for the convenience ofreaders who prefer an English translation.

8