Note: This document has been translated from the Japanese original for reference purposes only. In the event of any discrepancy
between this translated document and the Japanese original, the original shall prevail.

Consolidated Financial Results for the Fiscal Year Ended December 31, 2022 [J-GAAP]
February 13, 2023
Company name:Tokyo Ohka Kogyo Co., Ltd.
Listing:
Tokyo Stock Exchange (Prime Market)
Securities Code:4186
URL: https://www.tok.co.jp/eng
Representative: Noriaki Taneichi, President and Chief Executive Officer
Inquiries: Daisuke Matsuyama, General Manager, Accounting Division TEL: +81-44-435-3000
Scheduled date of ordinary general meeting of shareholders: March 30, 2023
Scheduled date to commence dividend payments:
March 31, 2023
Scheduled date to file annual securities report:
March 30, 2023
Preparation of supplementary material on financial results: Yes
Holding of financial results briefing:
Yes (for Institutional Investors and Analysts)(Yen amounts are rounded down to millions, unless otherwise noted.)

1. Consolidated Financial Results for the Fiscal Year Ended December 31, 2022 (January 1, 2022 to December
31, 2022)(1) Consolidated Operating Results(% indicates the rate of increase/decrease year-on-year.)Net sales
Fiscal year ended
December 31, 2022
December 31, 2021

Operating income

Millions of yen% Millions of yen

175,434
140,055(Note) Comprehensive income:

25.3
19.1

% Millions of yen

30,181
20,70745.8
32.8

Fiscal year ended December 31, 2022
Fiscal year ended December 31, 2021

Basic earnings per
share
Fiscal year ended
December 31, 2022
December 31, 2021

Profit attributable toowners of parent

Ordinary income¥24,079 million¥22,998 million

Diluted earnings per
share% Millions of yen

30,966
21,66442.9
34.3

19,693
17,748

%

11.0
78.8

[4.7%][67.0%]

Ratio of ordinary
income to total assets

Return on equity

Operating margin

Yen

Yen

%

%

%

489.56430.73488.81429.91

12.1
11.5

13.6
10.4

17.2
14.8

(2) Consolidated Financial Position
Total assets
As ofDecember 31, 2022
December 31, 2021
(Reference)

Equity:Net assets

Equity ratio

Net assets per share

Millions of yen

Millions of yen%

Yen

238,075
217,264

180,960
165,19071.3
71.7

4,214.27
3,880.18

As of December 31, 2022: ¥169,745 million

As of December 31, 2021: ¥155,829 million(3) Consolidated Cash Flows
Cash flows fromoperating activities
Fiscal year ended
December 31, 2022
December 31, 2021

Cash flows frominvesting activities

Cash flows fromfinancing activities

Cash and cash equivalents
at end of period

Millions of yen

Millions of yen

Millions of yen

Millions of yen

18,991
19,758(12,383)(4,576)(8,610)(18,114)40,856
41,4692. Cash Dividends
Annual dividends per shareFirst
quarter-end
Fiscal year ended
December 31, 2021
Fiscal year ended
December 31, 2022
Fiscal year ending
December 31, 2023
(Forecast)

Yen

Secondquarter-end

Thirdquarter-end

Yen

Yen

Fiscalyear-end

Total cash
dividends(Total)Total

Payout ratio(Consolidated)

Dividend on
equity ratio(Consolidated)

Yen

Yen

Millions of yen

%

%

-

62.00

-

94.00

156.00

6,386

36.2

4.1

-

78.00

-

82.00

160.00

6,469

32.7

4.0

-

82.00

-

82.00

164.0034.2

3. Consolidated Financial Results Forecast for Fiscal Year Ending December 31, 2023 (January 1, 2023 to
December 31, 2023)(% indicates the rate of increase/decrease against the same period of the previous year)

Net salesFirst half
Full year

Operating income

Profit attributable toowners of parent

Ordinary income

Basic earnings
per share

Millions of yen%

Millions of yen%

Millions of yen%

Millions of yen%

Yen

89,000187,500

5.1
6.9

14,80031,000(0.1)
2.7

15,10031,600

(1.7)
2.0

7,900
19,400(18.8)(1.5)

196.01479.86* Notes(1) Changes in significant subsidiaries during the period (changes in specified subsidiaries resulting in the change inscope of consolidation): None
(2) Changes in accounting policies, changes in accounting estimates, and restatement(i) Changes in accounting policies due to revisions to accounting standards and other regulations: Yes(ii) Changes in accounting policies due to other reasons: None(iii) Changes in accounting estimates: None(iv) Restatement: None
(Note): Please refer to “3. Consolidated Financial Statements and Major Notes, (5) Notes to Consolidated Financial
Statements (Changes in Accounting Policies)” on page 15.
(3) Number of issued shares (common shares)(i) Total number of issued shares at the end of the period (including treasury shares)
As of December 31, 2022
As of December 31, 2021

(ii)

42,600,000 shares
42,600,000 shares

Number of treasury shares at the end of the period
As of December 31, 2022
As of December 31, 2021

2,321,258 shares
2,439,651 shares(iii) Average number of shares outstanding during the period
Fiscal year ended December 31, 2022
Fiscal year ended December 31, 2021

40,226,781 shares
41,205,908 shares(Reference) Overview of Non-Consolidated Financial Results
1. Non-Consolidated Financial Results for the Fiscal Year Ended December 31, 2022 (from January 1,
2022 to December 31, 2022)(1) Non-Consolidated Operating Results
Net sales
Fiscal year ended
December 31, 2022
December 31, 2021

Operating income

Ordinary income

ProfitMillions of yen%

Millions of yen%

Millions of yen%

Millions of yen%

99,61784,32718.1
17.5

15,70911,56135.9
85.9

20,363
16,401

24.2
86.4

15,81916,987

(6.9)
159.2

Basic earnings
per share
Fiscal year ended
December 31, 2022
December 31, 2021(% indicates year-on-year changes.)

Diluted earnings
per share
Yen

Yen

393.25412.25392.65411.47(2) Non-Consolidated Financial Position
Total assets

Net assets

Equity ratio

Net assets per share

As of
December 31, 2022

Millions of yen

Millions of yen

175,185

137,292

78.3

3,404.22

December 31, 2021

164,548

129,395

78.5

3,216.61(Reference) Equity:

As of December 31, 2022: ¥137,117 million%

Yen

As of December 31, 2021: ¥129,180 million* The Financial Results report is outside the scope of an audit by certified public accountants or an audit firm.
* Explanation of the proper use of earnings forecasts and other special notes
The earnings forecasts stated in this report are based on the information available as of the date of the release of this report, and actual results may
differ from these forecasts due to a variety of factors.

○Table of contents of the attached document
1. Overview of Operating Results, Etc. ························································································ 2(1) Overview of Operating Results for the Fiscal Year Ended December 31, 2022···································· 2(2) Overview of Financial Position as of December 31, 2022 ···························································· 3(3) Overview of Cash Flows for the Fiscal Year Ended December 31, 2022 ··········································· 4(4) Future Outlook ············································································································ 4
2. Basic Policy for Selection of Accounting Standards ······································································ 5
3. Consolidated Financial Statements and Major Notes ····································································· 6(1) Consolidated Balance Sheet ······························································································ 6(2) Consolidated Statement of Income and Consolidated Statement of Comprehensive Income ···················· 8Consolidated Statement of Income ······················································································ 8Consolidated Statement of Comprehensive Income ··································································· 9(3) Consolidated Statement of Changes in Equity ········································································10(4) Consolidated Statement of Cash Flows ················································································12(5) Notes to Consolidated Financial Statements ···········································································13(Notes Concerning Going Concern Assumption) ·····································································13(Basis of Preparation of the Consolidated Financial Statements) ·················································· 13(Changes in Accounting Policies) ·····················································································15(Additional Information) ·································································································16(Consolidated Balance Sheet) ·························································································· 17(Consolidated Statement of Income) ··················································································17(Consolidated Statement of Changes in Equity) ·····································································19(Consolidated Statement of Cash Flows) ·············································································21(Segment Information, Etc.) ····························································································· 21(Omission of Disclosure) ·································································································24(Per Share Information) ··································································································25(Significant Subsequent Events) ························································································ 26
4. Other ··························································································································· 26
Change of Officers ········································································································26-1-1. Overview of Operating Results, Etc.
(1) Overview of Operating Results for the Fiscal Year Ended December 31, 2022(i) Operating results for the fiscal year ended December 31, 2022
For the fiscal year ended December 31, 2022, the global economy continued to be on a gradual recovery trend
overall, despite factors such as prolonged U.S.-China trade friction, COVID-19, the situation in Russia and Ukraine,and continued uncertainty in the financial environment due to the rise in policy rates in countries against the
backdrop of rapid hike in prices.
In the electronics market including semiconductors and displays which are the main customers for the Group's
products, demand for semiconductors grew from a year earlier as increased demand for data servers and the spreadof 5G and IoT contributed to the market growth although demand for smartphones and PCs decreased year on year.
Under these circumstances, the Group launched “tok Medium-Term Plan 2024,” a three-year medium-term plan
starting from FY2022, under the management vision to become “The e-Material Global Company®” contributing
to a sustainable future through chemistry. Under the slogan of the Plan “Boost up TOK!!,” we have worked to attainthe long-term vision TOK Vision 2030 by promoting the following five company-wide strategies: (1) Increase global
market share of cutting-edge photoresists, (2) Acquire and create core technologies in electronic materials and new
fields, (3) Secure stable supply of high-quality products and establish an optimal production system for the Group,(4) Improve employee engagement and promote people-oriented management, and (5) Build sound and efficientmanagement foundation.
First of all, in FY2022, to establish a system enabling us to quickly respond to diversifying customer needs, we
strengthened cooperation between sales and development functions and reorganized the development department.
We also promoted initiatives to increase global market share of cutting-edge photoresists and acquire and create
core technologies in electronic materials and other new fields.
Next, in anticipation of a future increase in semiconductor demand, we have made human capital investments
such as securing and developing human resources, established a supply system at overseas sites, expanded
inspection capacity by constructing a new inspection building at the Koriyama Plant, our main production site inJapan, and purchased a site for a plant in Kikuchi city, Kumamoto prefecture, with an aim to further improve thequality of our products and strengthen our global production system. We have also focused on supply chain
management to prepare for procurement risk of raw materials and worked to maintain and improve a stable supply
system.
Furthermore, as part of our efforts to improve employee engagement, we have established a system that allows
employees to perform at their full potential through personnel system reform and work-style reform. We have also
promoted people-oriented management by introducing an employee engagement indicator into the evaluation of
officers’ remuneration to ensure management is strongly aware of employee engagement.
To respond to the rapidly changing management environment, we have enhanced discussions at the managementlevel on the Group's risk management and compliance systems and accelerated our activities to reduce greenhousegas emissions, one of social issues, by expressing our endorsement for the recommendations of the Task Force on
Climate-related Financial Disclosures (TCFD) and declaring our aim to achieve carbon neutrality by 2050. We havealso taken various measures to strengthen our management foundation such that we formulated the “Declaration of
Health and Productivity Management” and enhanced or expanded/implemented existing initiatives to maintain andimprove our employees’ health, as well as we established a new organization specializing in improvement ofoperational efficiency to accelerate the promotion of digital transformation (DX) within the Company.
In addition, we established a solid partnership with AIMECHATEC, Ltd. by transferring the Equipment Business(excluding certain parts) to and acquiring shares of the company, with an aim to further develop our Materials &Equipment (M&E) strategy in collaboration with our Material Business.
Moreover, the Company has shifted to the Prime Market in the new market segment of the Tokyo Stock
Exchange.
As a result, for the fiscal year ended December 31, 2022, the Group recorded net sales of ¥175,434 million (up25.3% year-on-year). In terms of profit, the Group recorded operating income of ¥30,181 million (up 45.8% yearon-year), ordinary income of ¥30,966 million (up 42.9% year-on-year), and profit attributable to owners of parentof ¥19,693 million (up 11.0% year-on-year), with both sales and profits hitting record highs for three consecutive
years, mainly due to results of sales activities, increased sales of high value-added products, and effects of theweakening yen despite the impact of soaring raw material prices.

-2-

Overview of sales by segment is as follows.
(ii) Overview by segment(Material Business)
Net sales in the Material Business, excluding internal transactions, were ¥170,329 million (up 23.7% yearon-year), mainly due to strong sales of electronic functional materials and high-purity chemicals.
(Millions of yen, %)Fiscal year ended
December 31, 2021

Fiscal year ended
December 31, 2022

Net sales

137,725

170,329

32,604

23.7

Operating income

26,43834,755

8,317

31.5

Change%Overview by division is as follows.
[Electronic Functional Materials Division]
Net sales in the Electronic Functional Materials Division significantly increased from a year earlier to ¥91,868
million (up 15.6% year-on-year), mainly due to sales increase resulting from strong sales of semiconductor
photoresists used in the cutting-edge semiconductor process and high-density integration materials in addition tosteady demand for legacy semiconductors.
[High-Purity Chemicals Division]
Net sales in the High-Purity Chemicals Division significantly increased from a year earlier to ¥77,460 million(up 34.0% year-on-year), mainly due to significant increase in sales of chemicals attached to semiconductor
photoresists resulting from continued sales efforts and strong demand for those used in the cutting-edge
semiconductor process.
(Equipment Business)[Process Equipment Division]
Net sales in the Process Equipment Division, excluding internal transactions, increased from a year earlier to¥5,105 million (up 119.1% year-on-year), mainly due to a progress in acceptance inspections of ordered products,
such as a wafer handling system Zero Newton®.
(Millions of yen, %)Net sales
Operating income(loss)

Fiscal year ended
December 31, 2021

Fiscal year ended
December 31, 2022

2,329

5,105

2,775

119.1

(290)

790

1,081

－

Change%(2) Overview of Financial Position as of December 31, 2022
(Assets)
Total assets as of December 31, 2022 increased by ¥20,811 million from December 31, 2021 to ¥238,075
million.
Total current assets increased by ¥11,752 million from December 31, 2021 to ¥130,636 million, mainly due
to increases in raw materials and supplies of ¥4,628 million and accounts receivable - trade of ¥1,815 million.
Total non-current assets increased by ¥9,058 million from December 31, 2021 to ¥107,439 million, mainly
due to an increase of ¥9,077 million in property, plant and equipment.
(Liabilities)
Total liabilities as of December 31, 2022 increased by ¥5,041 million from December 31, 2021 to ¥57,115
million, mainly due to increases of ¥2,367 million in notes and accounts payable - trade and ¥2,675 million inaccounts payable - other.
(Net assets)
Total net assets as of December 31, 2022 increased by ¥15,769 million from December 31, 2021 to ¥180,960
million, mainly due to an increase of ¥12,745 million in retained earnings.
As a result, the equity ratio as of December 31, 2022 stood at 71.3%.

-3-

(3) Overview of Cash Flows for the Fiscal Year Ended December 31, 2022
(Cash flows from operating activities)
Net cash provided by operating activities during the fiscal year ended December 31, 2022 decreased by ¥766
million from a year earlier to ¥18,991 million, mainly due to an increase in cash outflow due to increases ininventories and income taxes paid despite an increase in cash inflow due to an increase in profit before income
taxes.
(Cash flows from investing activities)
Net cash used in investing activities was ¥12,383 million, an increase of ¥7,807 million from a year earlier, mainly
due to purchase of property, plant and equipment.
(Cash flows from financing activities)
Net cash used in financing activities decreased by ¥9,503 million from a year earlier to ¥8,610 million, mainly
because there was no purchase of treasury shares during the fiscal year ended December 31, 2022.
As a result, cash and cash equivalents decreased by ¥612 million to ¥40,856 million compared to the previous
fiscal year-end.
(Reference) Cash flow indicators
FY2018FY2019FY2020

FY2021

FY2022Equity ratio (%)

78.8

77.5

75.3

71.7

71.3

Equity ratio at market value (%)

67.2

95.0

149.6

125.7

101.3

Interest-bearing debt to cash
flow ratio (%)

69.9

92.4

49.9

58.4

59.2

Interest coverage ratio (times)

392.1

200.2

377.0

272.3

258.8

Equity ratio: Equity/Total assets
Equity ratio at market value: Market capitalization/Total assets
Interest-bearing debt to cash flow ratio: Interest-bearing debt/Cash flow
Interest coverage ratio: Cash flow/Interest payment(Note 1) All ratios are calculated based on the financial figures on a consolidated basis(Note 2) Market capitalization is calculated based on the number of shares issued and outstanding excluding
treasury shares(Note 3) Cash flow is derived from cash flows from operating activities.
(Note 4) Interest-bearing debt includes all liabilities recorded on the consolidated balance sheet that are subject
to interest payment.
(4) Future Outlook
Under the management vision to become “The e-Material Global CompanyⓇ” contributing to a sustainable
future through chemistry, the Group will promote its business activities. The Electronic Functional Materials
Division will continue to aim at increasing market share of photoresists used in front-end processes ofsemiconductor manufacturing including excimer laser photoresists and Extreme Ultraviolet (EUV) photoresists aswell as expanding sales of high value-added products including materials used in back-end processes ofsemiconductor manufacturing such as packaging photoresists. The High-Purity Chemicals Division will focus on
further improvement of quality and stable supply of chemicals attached to semiconductor photoresists to meetgrowing demand for semiconductor.
The foreign exchange rate is assumed to be $1=¥125.
<Reference>(Millions of yen, %)Fiscal year ended
December 31, 2022
(Results)

Fiscal year ending
December 31, 2023
(Forecasts)

Year-on-year

Net sales

175,434

187,500

6.9

Operating income

30,181

31,0002.7

Ordinary income

30,966

31,600

2.0

Profit attributable toowners of parent

19,693

19,400(1.5)-4-

2. Basic Policy for Selection of Accounting Standards
The Group has adopted Japanese GAAP.
The Group is currently examining the potential application of International Financial Reporting Standards (IFRS)
in light of the trend in convergence of Japanese GAAP and revisions to IFRS by taking into account the impact of thetransition to IFRS and the response thereto on the management.

-5-

3. Consolidated Financial Statements and Major Notes(1) Consolidated Balance Sheet(Millions of yen)

FY12/21(As of December 31, 2021)

FY12/22(As of December 31, 2022)

56,835*1810
33,084
3,999
9,451
4,606
7,292
2,921
(120)
118,883

55,371*1
911
34,9003,999
11,0847,000
11,9205,535(89)130,636

76,095(44,843)
31,25164,907(55,674)
9,232
23,429(20,366)
3,063
984
(158)
825
8,662
3,896
56,932
837

83,665(47,163)
36,502
68,318(59,327)
8,991
26,873(21,306)
5,566
1,060
(246)
813
10,5703,565
66,010
1,295

*2

*2

AssetsCurrent assets
Cash and deposits
Notes receivable - trade
Accounts receivable - trade
Securities
Merchandise and finished goods
Work in process
Raw materials and supplies
Other
Allowance for doubtful accounts
Total current assets
Non-current assets
Property, plant and equipment
Buildings and structures
Accumulated depreciation
Buildings and structures, net
Machinery, equipment and vehicles
Accumulated depreciation
Machinery, equipment and vehicles, net
Tools, furniture and fixtures
Accumulated depreciation
Tools, furniture and fixtures, net
Right-of-use assets
Accumulated depreciation
Right-of-use assets, net
LandConstruction in progress
Total property, plant and equipment
Intangible assets
Investments and other assets
Investment securities
Investments in capital
Long-term loans receivable
Retirement benefit asset
Deferred tax assets
Long-term time deposits
Other
Allowance for doubtful accounts
Total investments and other assets
Total non-current assets
Total assets

16,513
100
12
4,658
504
18,000828(6)40,61098,380217,264-6-

16,104
100
12
3,682
1,176
18,0001,063(6)40,133
107,439
238,075

(Millions of yen)

FY12/21(As of December 31, 2021)

FY12/22(As of December 31, 2022)

19,250
3,900
5,058
4,278
31
2,488

21,617
－
7,733
3,308
97
3,090

616

214

3
4,029
39,65617
4,701
40,781

6,711
1,614
609
81
3,399
12,41652,073

10,222
1,084
853
80
4,092
16,333
57,115

14,64015,207
124,806(11,818)
142,836

14,64015,303
137,551(11,276)
156,219

6,851

5,280

5,618
522

8,877
(630)

12,993

13,526215
9,146
165,190
217,264

174
11,039180,960
238,075

Liabilities
Current liabilities
Notes and accounts payable - trade
Short-term borrowings
Accounts payable - other
Income taxes payable
Advances received
Provision for bonuses
Provision for bonuses for directors (and otherofficers)
Provision for product warranties
Other
Total current liabilities
Non-current liabilities
Long-term borrowings
Deferred tax liabilities
Retirement benefit liability
Asset retirement obligations
Other
Total non-current liabilities
Total liabilities
Net assets
Shareholders' equity
Share capital
Capital surplus
Retained earnings
Treasury shares
Total shareholders’ equity
Accumulated other comprehensive income
Valuation difference on available-for-salesecurities
Foreign currency translation adjustment
Remeasurements of defined benefit plans
Total accumulated other comprehensive
incomeShare acquisition rights
Non-controlling interests
Total net assets
Total liabilities and net assets-7-

(2) Consolidated Statement of Income and Consolidated Statement of Comprehensive Income(Consolidated Statement of Income)(Millions of yen)

FY 12/21

FY 12/22(January 1, 2021 – December 31, 2021) (January 1, 2022 – December 31, 2022)

Net sales
Cost of sales
Gross profit
Selling, general and administrative expenses
Operating income
Non-operating income
Interest income
Dividend income
Foreign exchange gains
Other
Total non-operating income
Non-operating expenses
Interest expenses
Loss on valuation of derivatives
Commission for purchase of treasury shares
Other
Total non-operating expenses
Ordinary income
Extraordinary income
Gain on sale of non-current assets
Gain on sale of investment securities
Other
Total extraordinary income
Extraordinary losses
Impairment losses
Loss on retirement of non-current assets
Environmental expenses
Other
Total extraordinary losses
Profit before income taxes
Income taxes - current
Income taxes - deferred
Total income taxes
Profit attributable toProfit attributable to non-controlling interests
Profit attributable to owners of parent

140,055
90,52949,525*2, *328,817
20,707*1, *3

115
414
477
291
1,299

150
494
280
370
1,295

72
162
50
57
343
21,664

73
326
－
110
510
30,966

0
4,820
1
4,822

14
243
－
258

*4

439
163
83
1
687
25,799
6,464
(191)
6,273
19,526
1,777
17,748-8-

175,434
112,319
63,115*2, *332,93430,181*1, *3

*4

195
239
－
－
435
30,790
7,537
97
7,634
23,155
3,461
19,693

(Consolidated Statement of Comprehensive Income)(Millions of yen)

FY 12/21

FY 12/22(January 1, 2021 – December 31, 2021) (January 1, 2022 – December 31, 2022)

Profit attributable to owners of parent
Other comprehensive income
Valuation difference on available-for-salesecurities
Foreign currency translation adjustment
Remeasurements of defined benefit plans
Other comprehensive income
Comprehensive income
Comprehensive income attributable toComprehensive income attributable to owners ofparentComprehensive income attributable to noncontrolling interests-9-19,52623,155(817)(1,571)

3,881
409
3,472
22,998

3,649(1,153)923
24,07920,352

20,226

2,646

3,852

(3) Consolidated Statement of Changes in Equity
For the fiscal year ended December 31, 2021 (January 1, 2021 – December 31, 2021)(Millions of yen)

Shareholders' equity
Share capital
Balance at beginning of
periodCapital surplus

Retained earnings

Treasury shares

15,207125,795(14,477)

14,640Total
shareholders’equity141,166

Changes during period
Dividends of surplus(6,517)(6,517)

Profit attributable toowners of parent

17,74817,748Purchase of treasury
shares(10,002)(10,002)395

441

Disposal of treasury
shares45

Cancellation oftreasury shares(45)(12,220)

12,266

－

－

－

(989)

2,659

1,669

14,64015,207

124,806(11,818)

142,836

Net changes in items
other thanshareholders' equity
Total changes during period
Balance at end of period

Accumulated other comprehensive income
Valuation
Total
Share
Nondifference
Foreign
Remeasurements accumulatedacquisition controllingoncurrencyofotherrightsinterests
availabletranslation defined benefit comprehensive
for-saleadjustment
plansincomesecurities
Balance at beginning of
period

7,669

2,606

113

10,389304

8,133

Total net
assets159,994

Changes during period
Dividends of surplus(6,517)

Profit attributable toowners of parent

17,748Purchase of treasury
shares(10,002)

Disposal of treasury
shares(89)352

Cancellation oftreasury shares－

Net changes in items
other thanshareholders' equity

(817)

3,011

409

2,603

－

1,012

3,615

Total changes during period

(817)

3,011

409

2,603

(89)

1,012

5,196

Balance at end of period

6,851

5,618

522

12,993215

9,146

165,190- 10 -

For the fiscal year ended December 31, 2022 (January 1, 2022 – December 31, 2022)(Millions of yen)

Shareholders' equity
Share capital
Balance at beginning of
periodTotal
shareholders’equityCapital surplus

Retained earnings

Treasury shares

15,207

124,806(11,818)

14,640142,836

Changes during period
Dividends of surplus(6,948)(6,948)

Profit attributable toowners of parent

19,693

19,693Purchase of treasury
shares
Disposal of treasury
shares

95

(0)

(0)

542

638

Cancellation oftreasury shares
Net changes in items
other thanshareholders' equity－

95

12,745541

13,383

14,64015,303

137,551(11,276)

156,219

Total changes during period
Balance at end of period

Accumulated other comprehensive income
Valuation
Total
Share
Nondifference
Foreign
Remeasurements accumulatedacquisition controllingoncurrencyofotherrightsinterests
available- translation defined benefit comprehensive
for-saleadjustment
plansincomesecurities
Balance at beginning of
period

6,851

5,618

522

12,993215

9,146

Total net
assets

165,190

Changes during period
Dividends of surplus(6,948)

Profit attributable toowners of parent

19,693Purchase of treasury
shares(0)

Disposal of treasury
shares(40)

598

Cancellation oftreasury shares－

Net changes in items
other thanshareholders' equity(1,571)

3,258(1,153)

533

－

1,893

2,426

Total changes during period(1,571)

3,258(1,153)

533

(40)

1,893

15,769Balance at end of period

5,280

8,877

(630)

13,526

174

11,039180,960- 11 -

(4) Consolidated Statement of Cash Flows(Millions of yen)

FY 12/21

FY 12/22(January 1, 2021 – December 31, 2021) (January 1, 2022 – December 31, 2022)

Cash flows from operating activities
Profit before income taxes
Depreciation
Impairment losses
Increase (decrease) in allowance for doubtful
accounts
Increase (decrease) in provision for bonuses
Increase (decrease) in provision for bonuses for
directors (and other officers)
Decrease (increase) in retirement benefit asset
Increase (decrease) in retirement benefit liability
Interest and dividend income
Interest expenses
Foreign exchange losses (gains)
Loss (gain) on valuation of derivatives
Loss (gain) on sale of non-current assets
Loss on retirement of non-current assets
Loss (gain) on sale of investment securities
Decrease (increase) in trade receivables
Decrease (increase) in inventories
Increase (decrease) in trade payables
Increase (decrease) in advances received
Other
SubtotalInterest and dividends received
Interest paid
Income taxes refund (paid)
Net cash provided by (used in) operating
activities
Cash flows from investing activities
Purchase of securities
Proceeds from redemption of securities
Purchase of property, plant and equipment
Proceeds from sale of property, plant andequipment
Purchase of intangible assets
Purchase of investment securities
Proceeds from sale of investment securities
Net decrease (increase) in time deposits
Payments into long-term time deposits
Proceeds from withdrawal of long-term time
deposits
Other
Net cash provided by (used in) investing
activities
Cash flows from financing activities
Proceeds from long-term borrowings
Repayments of long-term borrowings
Proceeds from issuance of shares
Proceeds from sale of treasury shares
Purchase of treasury shares
Dividends paid
Dividends paid to non-controlling interests
Other
Net cash provided by (used in) financing
activities
Effect of exchange rate change on cash and cash
equivalents
Net increase (decrease) in cash and cash equivalents
Cash and cash equivalents at beginning of period
Cash and cash equivalents at end of period- 12 -

25,799
6,430
439
16

30,790
6,762
195
(31)

90
343

593
(401)

(273)
(11)
(530)
72
(918)
162
(0)
163
(4,820)(6,052)(2,830)
4,515
16
1,335
23,948532(72)(4,650)

(371)
(77)
(644)
73
(1,066)
326
(14)
239
(243)
(858)
(7,510)1,870
66(2,721)
26,975646(73)(8,557)

19,75818,991(13,000)
12,000(7,833)
39(12,000)
12,000(10,698)
10

(296)
(399)
5,008
－
(4,000)
4,000

(752)
(2,082)371
982(14,000)
14,000(93)(4,576)(214)(12,383)

－
(350)
195
469
(10,053)(6,511)(1,829)(34)(18,114)3,900(4,289)184769(0)(6,941)(2,160)(71)(8,610)

1,673

1,389

(1,258)42,72841,469(612)
41,46940,856

(5) Notes to Consolidated Financial Statements(Notes Concerning Going Concern Assumption)
Not applicable.
(Basis of Preparation of the Consolidated Financial Statements)
1. Scope of consolidation(1) Number of consolidated subsidiaries: nine companies
Name of consolidated subsidiary…Kumagaya Ohka Co., Ltd., TOK Engineering Co., Ltd., Tokyo Ohka
Kogyo America, Inc., TOK Taiwan Co., Ltd., Chang Chun TOK (Changshu) Co., Ltd., TOK Advanced
Materials Co., Ltd., TOK China Co., Ltd., TOKCCAZ, LLC., Process Equipment Business Split PreparatoryCo., Ltd.
TOKCCAZ, LLC., a subsidiary of Tokyo Ohka Kogyo America, Inc., and Process Equipment Business Split
Preparatory Co., Ltd were newly established and are included in the scope of consolidation from the fiscal year
ended December 31, 2022.
(2) Name of non-consolidated subsidiary
Ohka Service Co., Ltd.
(Reason for excluding from the scope of consolidation)
Total assets, net sales, profit (corresponding to the equity share) and retained earnings (corresponding to theequity share) of the non-consolidated subsidiary have insignificant impact on the consolidated financial statements.
2. Application of the equity method(1) Name of non-consolidated subsidiaries and affiliates accounted for using the equity method
Not applicable.
(2) Name of non-consolidated subsidiaries and affiliates not accounted for using the equity method
Non-consolidated subsidiary
Ohka Service Co., Ltd.
Affiliate
Kyushu Solvent Co., Ltd.
(Reason for not applying the equity method)
The non-consolidated subsidiary and affiliate have insignificant impacts on consolidated profit or loss andretained earnings, and they are immaterial as a whole. Investments in these entities are valued at cost without
applying the equity method.
3. Fiscal year of consolidated subsidiaries
The fiscal year-end of the consolidated subsidiaries is consistent with the consolidated fiscal year-end.
4. Accounting policies(1) Valuation criteria and method for major assets(i) Securities
・Debt securities held to maturity
Stated at cost.
・Other securities(a) Securities other than stock, etc. without market value
Stated at fair market value. (valuation difference is directly recorded in net assets, and cost of securities
sold is calculated using the moving-average method.)(b) Stock, etc. without market value
Stated at cost based on the moving-average method.
(ii) Derivatives
Stated at fair market value.
(iii) Inventories(a) Finished goods
Stated by the average cost method (the carrying amount is written down on the balance sheet to reflect a
decline in profitability), except for process equipment, which is stated by the specific identification method(the carrying amount is written down on the balance sheet to reflect a decline in profitability).
(b) Merchandise, raw materials, work in process and supplies- 13 -

Stated by the first-in, first-out method (the carrying amount is written down on the balance sheet to reflect
a decline in profitability), except for process equipment, whose raw materials and work in process are statedby the specific identification method (the carrying amount is written down on the balance sheet to reflect a
decline in profitability).
(2) Depreciation method for major depreciable assets(i) Property, plant and equipment (excluding leased assets and right-of-use assets)
Depreciated using the straight-line method.
The useful lives are principally from 10 to 50 years for buildings and structures and from three to eight years
for machinery and vehicles, tools, and furniture and fixtures.
(ii) Intangible assets, excluding leased assets and right-of-use assets
Depreciated using the straight-line method.
Computer software for internal use is depreciated over the internal useful life (five years).
(iii) Leased assets
Leased assets under the finance lease arrangements where the ownership is not transferred to lessees:
Depreciated using the straight-line method over the lease term, useful life, with the residual value of zero.
(iv) Right-of-use assets
Depreciated using the straight-line method over the shorter of the useful life or lease term of the assets.
(3) Recognition criteria for material provisions(i) Allowance for doubtful accounts
To provide for bad debt expenses, allowance for the estimated uncollectible amount is recorded based on thepast bad debt ratio for performing receivables and based on individual assessment of collectability for nonperforming receivables.
(ii) Provision for bonuses
To provide for bonus payments to employees, provision for the estimated bonus amount is recorded.
(iii) Provision for bonuses for directors (and other officers)
To provide for bonus payments to directors (and other officers), provision for the estimated bonus amount isrecorded.
(iv) Provision for product warranties
To provide for expenses related to free-of-charge repair of process equipment sold, provision for theestimated free-of-charge repair cost based on the past experience is recorded.
(4) Accounting for retirement benefits(i) Attribution of estimated retirement benefits to periods of service
In calculating the retirement benefit obligations, expected retirement benefits are attributed to the period up to
the fiscal year ended December 31, 2022 using the benefit formula.
(ii) Actuarial gains and losses and prior service costs
Prior service costs are amortized by the straight-line method from the year in which the costs are recognizedover a certain number of years (10 years) within the average remaining service period of employees at the time ofrecognition.
Actuarial gains and losses are amortized from the year following the year in which they are recognized using
the straight-line method over a certain number of years (10 years) within the average remaining service period of
employees at the time of recognition.
(iii) Unrecognized actuarial gains and losses and unrecognized prior service costs
Unrecognized actuarial gains and losses and unrecognized prior service costs are recorded, net of tax, inRemeasurements of defined benefit plans in Accumulated other comprehensive income in Net assets.

- 14 -

(5) Major revenue and cost recognition
The Group manufactures and sells finished goods in two segments, the Material Business and the Equipment
Business, and recognizes revenue when merchandise or finished goods are delivered to a customer. However,revenue from domestic sales is recognized when the shipment is completed if control of the merchandise or finishedgoods is transferred to customers within a normal period after the shipment. Revenue from export sales is recognizedwhen the risk is transferred to a customer based on trade terms set mainly by the Incoterms, etc.
Variable consideration included in contracts with customers is included in the transaction price only to the extent
that it is probable that a significant decrease in the amount of cumulative revenue recognized will not occur when
the uncertainty associated with the variable consideration is subsequently resolved. Revenue from transactions inwhich the Group is determined to be acting as an agent is recognized at the amount received in exchange for themerchandise provided by another party net of the amount to be paid to another party.
No significant financing component is included in transaction consideration as consideration is generally
received within one year after the performance obligation satisfied.
(6) Translation of major foreign currency denominated assets or liabilities to Japanese yen
Monetary receivables and payables denominated in foreign currencies are translated into Japanese yen using the
spot exchange rates at the end of the reporting period, with the difference arising from the translation recognized in
profit or loss. Assets and liabilities of overseas consolidated subsidiaries are translated into Japanese yen using the
spot exchange rates at the end of the reporting period, and revenues and expenses are translated using the averageexchange rates during the period, with the difference arising from the translation recognized in “Foreign currencytranslation adjustment” and “Non-controlling interests” in Net assets.
(7) Major hedge accounting(i) Hedge accounting
Monetary receivables and payables denominated in foreign currencies for which foreign currency forward
contracts are executed are accounted for using the allocation method.
(ii) Hedging instruments and hedged items
Hedging instruments: Foreign currency forward contracts, etc.
Hedged items: Monetary receivables and payables denominated in foreign currencies(iii) Hedging policy
Foreign currency forward contracts are used to hedge foreign exchange risk, and not for speculative purposes.
(iv) Method of hedge effectiveness evaluation
Hedge effectiveness evaluation is omitted for foreign currency forward contracts, etc. as they satisfy therequirements for the allocation method.
(8) Scope of cash in the consolidated statement of cash flows
Cash (cash and cash equivalents) in the consolidated statement of cash flows include cash on hand, demand
deposits, and short-term investments with original maturities of three months or less that are readily convertible
into cash and exposed to insignificant risk of changes in value.
(9) Other significant matters concerning the preparation of the consolidated financial statements
Accounting treatment for consumption taxes:
Accounting treatment subject to national and local consumption taxes is stated net of consumption taxes.
(Changes in Accounting Policies)
1. Application of the accounting standard for revenue recognition
The Company applied the “Accounting Standard for Revenue Recognition” (ASBJ Statement No.29, March 31,
2020, “Accounting Standard for Revenue Recognition”), etc. from January 1, 2022, and recognizes revenue at an
amount that it expects to receive in exchange for the promised goods or services when the control of the goods orservices is transferred to a customer.
The Group’s performance obligation is sales of goods, and we recognize revenue from domestic sales ofmerchandise and finished goods when the shipment is completed if control of the merchandise or finished goods istransferred to customers within a normal period after the shipment in accordance with the alternative treatment
provided for in Paragraph 98 of the “Implementation Guidance on Accounting Standard for Revenue Recognition”(ASBJ Implementation Guidance No.30, March 26, 2021).

- 15 -

We applied the Accounting Standard for Revenue Recognition, etc. from January 1, 2022 pursuant to thetransitional treatment provided for in the proviso of Paragraph 84 of the Accounting Standard for Revenue
Recognition, with the cumulative effect of the retrospective application, assuming the new accounting policy had
been applied to periods prior to January 1, 2022, adjusted to the beginning balance of retained earnings as of January
1, 2022, but there was no impact on the beginning balance.
“Notes and accounts receivable - trade,” which was presented in “Current assets” in the consolidated balance
sheet as of December 31, 2021, is presented as “Notes receivable - trade” and “Accounts receivable - trade” fromthe fiscal year ended December 31, 2022.
2. Application of the accounting standard for fair value measurement)
The Company applied the “Accounting Standard for Fair Value Measurement” (ASBJ Statement No.30, July 4,
2019, “Accounting Standard for Fair Value Measurement”), etc. from January 1, 2022, and the new accounting
policies stipulated in the Accounting Standard for Fair Value Measurement, etc. are applied prospectively pursuant
to the transitional treatment stipulated by Paragraph 19 of the Accounting Standard for Fair Value Measurement andParagraph 44-2 of the “Accounting Standard for Financial Instruments” (ASBJ Statement No. 10, July 4, 2019).
The application has no impact on the consolidated financial statements.

(Additional Information)(Transaction to grant the Company’s shares to employees, etc. through a trust)Based on the resolution at the Board of Directors meeting held on August 7, 2019, the Company introduced “TrustType Employee Stock Ownership Plan” (“Plan”) with an aim to enhance the Company’s welfare program as well as
to improve its medium- to long-term corporate value by providing employees with incentives for an increase in stock
prices.
(1) Overview of the transaction
The Plan is an incentive plan for all employees in the “Tokyo Ohka Employees Stockholding Association”(“Stockholding Association”). Under the Plan, the Company sets up the “Tokyo Ohka Employees Stockholding
Association Trust” (“Stockholding Trust”) at a trust bank, and the Stockholding Trust purchases in advance thenumber of the Company’s shares expected to be purchased by the Stockholding Association over five years from thedate the trust is set up and sells the shares to the Stockholding Association every month on a certain date. Any gains
on sale of shares accumulated in the trust upon expiry of the Stockholding Trust will be distributed as residual assets
to those satisfying the beneficiary eligibility requirements. As the Company provides guarantee for the loans payable
made by the Stockholding Trust to purchase the Company’s shares, the Company is liable to pay the outstandingbalance of the loans payable, equivalent to loss on sale of shares accumulated in the Stockholding Trust due to a
decline in stock prices, upon expiry of the Stockholding Trust.
The Plan aims to improve our medium- to long-term corporate value by providing employees with incentives for
an increase in stock prices and also to support employees’ asset building as a measure to enhance our welfare programby promoting purchase and holding of shares through enhancement of the Stockholding Association.
(2) The Company’s shares remaining in the Trust
The Company’s shares remaining in the Trust are recorded as Treasury shares in Net assets at the carrying amountat the Trust (excluding ancillary expenses). The carrying amount and number of treasury shares as of December 31,
2021 and December 31, 2022 were ¥862 million and 206 thousand shares and ¥643 million and 154 thousand shares,
respectively.
(3) The carrying amount of the loans payable recorded under the gross method
FY12/21¥611 million
FY12/22¥222 million- 16 -

(Consolidated Balance Sheet)*1 Notes maturing at the end of the period
Notes maturing at the end of the period are settled on the clearance date.
As the last day of the fiscal year ended December 31, 2022 was a bank holiday, the following notes are included in
the ending balance.
FY12/21(As of December 31, 2021)

Notes receivable - trade

FY12/22(As of December 31, 2022)¥85 million¥111 million*2 Shares of non-consolidated subsidiaries and affiliates
FY12/21(As of December 31, 2021)

Investment securities (shares)

FY12/22(As of December 31, 2022)¥7 million¥7 million(Consolidated Statement of Income)*1 Inventories as of December 31 are stated at written-down value to reflect a decline in profitability, and the following
loss on valuation of inventories (gain on reversal of loss) is included in cost of sales.
FY12/21

FY12/22(January 1, 2021 – December 31, 2021)(January 1, 2022 – December 31, 2022)(¥96 million)¥8 million*2 Major components and amounts of selling, general and administrative expenses are as follows.
FY12/21(January 1, 2021 – December 31, 2021)

Storage and transportation costs
Salaries and allowances
Provision for bonuses
Retirement benefit expenses
Research supplies expense
Depreciation
Provision for bonuses for directors (andother officers)

FY12/22(January 1, 2022 – December 31, 2022)¥3,590 million
7,341
1,235
262
3,040
2,461

¥4,981 million
8,063
1,605
157
3,858
2,259

200

215

*3 R&D costs included in general and administrative expenses and manufacturing costs are as follows.
FY12/21(January 1, 2021 – December 31, 2021)

General and administrative expenses
Manufacturing costs
Total R&D costs¥9,681 million
119
9,800

- 17 -

FY12/22(January 1, 2022 – December 31, 2022)¥10,920 million
118
11,038

*4 The Group recognized impairment losses for the following asset groups.
For the fiscal year ended December 31, 2021 (January 1, 2021 – December 31, 2021)
LocationUse

Aso city, Kumamoto
prefecture

Business assets, etc.
for Material
Business

Koza-gun, Kanagawa
prefecture

Business assets, etc.
for Equipment
Business

Type of assets
Buildings and structures,
Machinery, equipment andvehicles, Tools, furniture andfixtures, Construction inprogress
Machinery, equipment andvehicles, Tools, furniture andfixtures

Total

Impairment losses¥420 million

18
439

The Group classifies its assets into groups based on the business units used for management accounting purpose tomeasure revenues and expenses. Idle properties (including assets that are substantially in the idle state due to a decline
in operating rates) are individually evaluated. For the fiscal year ended December 31, 2021, the carrying amounts of theabove assets, from which investments are not expected to be recovered, were written down to the respective recoverable
amounts, with the reduced amount of ¥439 million recognized as an impairment loss in extraordinary losses. The
breakdown is buildings and structures of ¥181 million, machinery, equipment and vehicles of ¥101 million, tools,
furniture and fixtures of ¥23 million, and construction in progress of ¥132 million.
The recoverable amount of the assets is measured by net selling price. Net selling price is calculated based on an
appraisal value, and assets other than land and buildings are considered to have no real value and evaluated at theirmemorandum value.
For the fiscal year ended December 31, 2022 (January 1, 2022 – December 31, 2022)
LocationUse

Aso city, Kumamoto
prefecture

Business assets, etc.
for Material
Business

Koza-gun, Kanagawa
prefecture

Business assets, etc.
for Equipment
Business

Koza-gun, Kanagawa
prefecture

Idle
properties

Type of assets
Machinery, equipment andvehicles, Tools, furniture andfixtures, Construction inprogress
Machinery, equipment andvehicles, Tools, furniture andfixtures Construction inprogress, Intangible assets
Machinery, equipment andvehicles, Tools, furniture andfixtures

Total

Impairment losses¥81 million

101
12
195

The Group classifies its assets into groups based on the business units used for management accounting purpose tomeasure revenues and expenses. Idle properties (including assets that are substantially in the idle state due to a decline
in operating rates) are individually evaluated. For the fiscal year ended December 31, 2022, the carrying amounts of theabove assets, from which investments are not expected to be recovered, were written down to the respective recoverable
amounts, with the reduced amount of ¥195million recognized as an impairment loss in extraordinary losses. The
breakdown is machinery, equipment and vehicles of ¥102 million, tools, furniture and fixtures of ¥42 million,
construction in progress of ¥48 million, and intangible assets of ¥2 million.
The recoverable amount of the assets is measured by net selling price. Net selling price is calculated based on an
appraisal value, and assets other than land and buildings are considered to have no real value and evaluated at theirmemorandum value.

- 18 -

(Consolidated Statement of Changes in Equity)
For the fiscal year ended December 31, 2021 (January 1, 2021 – December 31, 2021)
1. Class and number of shares issued and outstanding
Class of shares

As of January 1, 2021

Increase

Decrease

As of December 31, 2021

Common shares
45,100,000－
2,500,000(shares)(Note)1. Summary of the changes
The decrease consists of the following:
Decrease due to cancellation of treasury shares based on the resolution at the Board of
Directors meeting

42,600,000

2,500,000 shares

2. Class and number of treasury sharesClass of shares

As of January 1, 2021

Increase

Decrease

As of December 31, 2021

Common shares
3,591,418
1,444,953
2,596,720
2,439,651(shares)(Note)1. The number of treasury shares as of December 31, 2021 includes 206,900 shares of the Company’s shares heldby “Tokyo Ohka Employees Stockholding Association Trust.”
2. Summary of the changes
The increase consists of the following:
Increase due to purchase of shares less than one unit

453 shares

Increase due to acquisition of treasury shares based on the resolution at the Board of
Directors meeting

1,444,500 shares

The decrease consists of the following:
Decrease due to exercise of stock options

30,200 shares

Decrease due to disposal as restricted share-based remuneration

21,620 shares

Decrease due to sale by Tokyo Ohka Employees Stockholding Association
Trust to Tokyo Ohka Employees Stockholding Association

44,900 shares

Decrease due to cancellation of treasury shares based on the resolution at the Boardof Directors meeting

2,500,000 shares

3. Dividends(1) Amount of dividends paid
Resolution
Ordinary general
meeting ofshareholders on
March 30, 2021
Board of Directors
meeting on
August 5, 2021

Class of shares

Total dividends(Millions of yen)

Dividends per share(Yen)

Common shares

3,925

Common shares

2,592

Record date

Effective date

94

December 31, 2020

March 31, 2021

62

June 30, 2021

September 8, 2021

(Note) 1. Total dividends based on the resolution at the ordinary general meeting of shareholders on March 30, 2021
include dividends of ¥23 million declared on the Company’s shares held by “Tokyo Ohka Employees
Stockholding Association Trust.”
2. Total dividends based on the resolution at the Board of Directors meeting on August 5, 2021 include dividendsof ¥14 million declared on the Company’s shares held by “Tokyo Ohka Employees Stockholding Association
Trust.”- 19 -

(2) Dividends with the record date in the fiscal year ended December 31, 2021 and the effective date in the following
fiscal year
Resolution

Class of shares Dividend source

Ordinary general
meeting ofCommon sharesshareholders on
March 30, 2022

Total dividends Dividends per share(Millions of yen)
(Yen)

Retainedearnings

3,794

94

Record date

Effective date

December 31, 2021

March 31, 2022

(Note) Total dividends include dividends of ¥19 million declared on the Company’s shares held by “Tokyo Ohka
Employees Stockholding Association Trust.”
For the fiscal year ended December 31, 2022 (January 1, 2022 – December 31, 2022)
1. Class and number of shares issued and outstanding
Class of shares

As of January 1, 2022

Common shares(shares)

42,600,000

Increase

Decrease－

As of December 31, 2022
42,600,000－

2. Class and number of treasury sharesClass of shares

As of January 1, 2022

Increase

Decrease

As of December 31,2022

Common shares
2,439,651
146
118,5392,321,258(shares)(Note) 1. The number of treasury shares as of December 31, 2022 includes 154,400 shares of the Company’s shares
held by “Tokyo Ohka Employees Stockholding Association Trust.”
2. Summary of the changes
The increase consists of the following:
Increase due to purchase of shares less than one unit

146 shares

The decrease consists of the following:
Decrease due to exercise of stock options

13,500 shares

Decrease due to disposal as restricted share-based remuneration
Decrease due to disposal as performance-linked share-based
remuneration

18,639 shares
33,900 shares

Decrease due to sale by Tokyo Ohka Employees Stockholding
Association Trust to Tokyo Ohka Employees Stockholding Association

52,500 shares

3. Dividends(1) Amount of dividends paid
Resolution
Ordinary general
meeting ofshareholders on
March 30, 2022
Board of Directors
meeting on
August 4, 2022

Class of shares

Total dividends(Millions of yen)

Dividends per share(Yen)

Common shares

3,794

Common shares

3,153

Record date

Effective date

94

December 31, 2021

March 31, 2022

78

June 30, 2022

September 7, 2022

(Note) 1. Total dividends based on the resolution at the ordinary general meeting of shareholders on March 30, 2022
include dividends of ¥19 million declared on the Company’s shares held by “Tokyo Ohka Employees
Stockholding Association Trust.”
2. Total dividends based on the resolution at the Board of Directors meeting on August 4, 2022 include dividendsof ¥14 million declared on the Company’s shares held by “Tokyo Ohka Employees Stockholding Association
Trust.”- 20 -

(2) Dividends with the record date in the fiscal year ended December 31, 2022 and the effective date in the following
fiscal year
Resolution
Ordinary general
meeting ofshareholders on
March 30, 2023

Class of shares Dividend source
CommonsharesRetainedearnings

Total dividends Dividends per share(Millions of yen)
(Yen)
3,315

82

Record date

Effective date

December 31, 2022

March 31, 2023

(Note) Total dividends include dividends of ¥12 million declared on the Company’s shares held by “Tokyo Ohka
Employees Stockholding Association Trust.”(Consolidated Statement of Cash Flows)* Reconciliation between the ending balance of cash and cash equivalents and the balance in the consolidatedbalancesheet
FY12/21

Cash and deposits
Securities
Term deposits with maturities over threemonths (including current portion of
long-term deposits)
Cash and cash equivalents

FY12/22(January 1, 2021 – December 31, 2021)(January 1, 2022 – December 31, 2022)¥56,835 million
999¥55,371 million
999(16,366)(15,514)

41,46940,856(Segment Information, Etc.)[Segment Information]
1. Overview of reportable segments
The Group’s reportable segments are components of the Group for which separate financial information isavailable and regular evaluation by the Board of Directors is performed to decide the allocation of management
resources and to evaluate performance.
The Group segments its business based on products and services, with each business unit developing thecomprehensive strategy on their respective products and services in Japan and overseas and conducting businessactivities.
The Group consists of two reportable segments based on products and services: the Material Business andthe Equipment Business.
The Material Business engages in manufacturing and sales of mainly electronic functional materials andhigh-purity chemicals, and the Equipment Business engages in manufacturing, sales and maintenance of mainly
semiconductor and LCD manufacturing equipment.
2. Calculation of net sales, income or loss, assets and other items by reportable segment
The accounting policies of reportable segments are consistent with those disclosed in “Basis of Preparationof the Consolidated Financial Statements.”
Segment income is based on operating income.
Inter-segment sales or transfers are based on market prices.
3. Changes, etc. in reportable segments
As described in Changes in Accounting Policies, etc., the Company applied the Accounting Standard for
Revenue Recognition from January 1, 2022 and changed the accounting treatment of revenue recognition, andaccordingly, the method to calculate segment income or loss was also changed.
The impact of this change on net sales and segment income for the year ended December 31, 2022 wasinsignificant.

- 21 -

4. Information about net sales, income or loss, assets and other items and breakdown of revenue by reportablesegment
Fiscal year ended December 2021 (January 1, 2021 – December 31, 2021)(Millions of yen)

Reportable segment
Material
Business

Equipment
Business

Reconciliations(Note)

Total

Total

Net sales
Net sales to customers

137,7252,329

140,055－

140,055

3

110

113

(113)

－

Total

137,7282,439

140,168(113)

140,055

Segment income (loss)

26,438(290)

26,147(5,440)20,707

Segment assets

135,794

3,016

138,81178,452

217,264

6,158

34

6,193

237

6,430

Inter-segment sales or transfers

Other items
Depreciation

Increase in property, plant and
8,678
40
8,719
601
9,321
equipment and intangible assets(Note) The reconciliations are as follows.
(1) Reconciliation of segment income (loss) amounting to ¥(5,440) million includes general andadministrative expenses of ¥(5,440) million, which are not allocated to reportable segments.
(2) Reconciliation of segment assets of ¥78,452 million includes working capital (the Company’s cash
and deposits, securities and long-term time deposits) and long-term investment funds (shares held
for long-term holding) of ¥69,955 million, which are not allocated to reportable segments.
(3) Reconciliation of increase in property, plant and equipment and intangible assets of ¥601 million
represents property, plant and equipment and intangible assets, which are not allocated to reportablesegments.

- 22 -

Fiscal year ended December 2022 (January 1, 2022 – December 31, 2022)(Millions of yen)

Reportable segment
Material
Business

Equipment
Business

Reconciliations(Note)

Total

Total

Net sales
Electronic functional materials

91,868－91,868－91,868High-purity chemicals

77,460－77,460－77,460

－

5,105

5,105

－

5,105

1,000

－

1,000

－

1,000

170,329

5,105

175,434－

175,434

－

－

－

－

－

170,329

5,105

175,434－

175,434

0

155

155

(155)

－

170,3295,260

175,589(155)

175,434

Segment income

34,755790

35,546(5,364)30,181

Segment assets

161,813

4,697

166,51071,564

238,075

6,470

40

6,511

250

6,762

Process equipment
Other
Revenue from contracts with customers
Other revenue
Net sales to customers
Inter-segment sales or transfers
Total

Other items
Depreciation

Increase in property, plant and
14,155135
14,291
223
14,514equipment and intangible assets(Note) The reconciliations are as follows.
(1) Reconciliation of segment income amounting to ¥(5,364) million includes general andadministrative expenses of ¥(5,364) million, which are not allocated to reportable segments.
(2) Reconciliation of segment assets of ¥71,564 million includes working capital (the Company’s
cash and deposits, securities and long-term time deposits) and long-term investment funds (shares
held for long-term holding) of ¥62,948 million, which are not allocated to reportable segments.
(3) Reconciliation of increase in property, plant and equipment and intangible assets of ¥223 million
represents property, plant and equipment and intangible assets, which are not allocated toreportable segments.

- 23 -

[Related Information]
Fiscal year ended December 2021 (January 1, 2021 – December 31, 2021)
1. Information by product and service
The disclosure is omitted as the relevant information is disclosed in the segment information section.
2. Information by geographic region(1) Net salesJapan
29,681

Taiwan(Millions of yen)South Korea

53,422The U.S.

16,52911,082

China

Other

21,534

Total

7,803

140,055

Fiscal year ended December 2022 (January 1, 2022 - December 31, 2022)
1. Information by product and service
The disclosure is omitted as the relevant information is disclosed in the segment information section.
2. Information by geographic region(1) Net salesJapan
31,214

Taiwan(Millions of yen)South Korea

67,872The U.S.

21,864

14,617

China

Other

29,888

9,978

Total
175,434(Omission of Disclosure)
Disclosure of notes to the consolidated statement of comprehensive income, lease transactions, financial
instruments, securities, derivatives, retirement benefits, stock options, etc. deferred tax accounting, asset
retirement obligations, revenue recognition, and related party transactions in the Financial Results report is notconsidered essential, and therefore it is omitted.
(Per Share Information)
FY12/21

FY12/22(January 1, 2021 – December 31, 2021) (January 1, 2022 – December 31, 2022)

Net assets per share¥3,880.18¥4,214.27

Basic earnings per share¥430.73¥489.56

Diluted earnings per share¥429.91¥488.81(Note) 1. Basis for calculation of net assets per share is as follows.
FY12/21(As of December 31, 2021)

Total net assets (millions of yen)

FY12/22(As of December 31, 2022)

165,190

180,960

Amount deducted from net assets (millions of yen)

9,361

11,214(of which, share acquisition rights) (millions of yen)

(215)

(174)

(of which non-controlling interest) (millions of yen)

(9,146)(11,039)

Net assets as of year-end related to common shares
155,829
169,745(millions of yen)
Number of common shares issued and outstanding
42,60042,600(thousand shares)
Number of treasury shares out of common shares
2,439
2,321
(thousand shares)
Number of common shares at year-end used to40,16040,278calculate net assets per share (thousand shares)(Note) The Company’s shares owned by “Tokyo Ohka Employees Stockholding Association Trust” areincluded in treasury shares which is excluded from the number of shares issued and outstanding at
year-end in calculating “Net assets per share.” (206 thousand shares and 154 thousand shares as ofDecember 31, 2021 and December 31, 2022, respectively)
2. Basis for calculation of basic and diluted earnings per share is as follows.

- 24 -

FY12/21

FY12/22(January 1, 2021 – December 31, 2021) (January 1, 2022 – December 31, 2022)(1) Basic earnings per share
Profit attributable to owners of parent(Millions of yen)Amount not attributable to commonshareholders (millions of yen)
Profit attributable to owners of parent related tocommon shares (millions of yen)
Average number of common shares during theperiod (thousand shares)

17,748

19,693－－

17,748

19,693

41,20540,226

－

－

78

62

(78)

(62)

(2) Diluted earnings per share
Remeasurements of profit attributable to ownersof parent (millions of yen)
Increase in number of common shares (thousand
shares)(of which, share acquisition rights) (millions of yen)

Dilutive shares not included in the calculation ofdiluted earnings per share because of their anti－－
dilutive effect(Note) The Company’s shares owned by “Tokyo Ohka Employees Stockholding Association Trust” areincluded in treasury shares which is excluded in the calculation of the average number of shares
during the period to calculate “Earnings per share” and “Diluted earnings per share.” (233 thousand
shares and 186 thousand shares for the fiscal year ended December 31, 2021 and December 31, 2022,
respectively)- 25 -

(Significant Subsequent Events)
Not applicable.

4. Other
Change of Officers
Please refer to “Notice Regarding Change of Officers” (Japanese version only) released today.

- 26 -