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

Consolidated Financial Results
for the Third Quarter of the Fiscal Year Ending December 31, 2021
(under Japanese GAAP)
November 5, 2021
Company name: Roland Corporation
Listing:
Tokyo Stock Exchange
Security code:
7944
URL:
https://www.roland.com/global/
Representative:
Jun-ichi Miki, CEO and Representative Director
Contact:
Shunsuke Sugiura, CFO and Senior Executive Officer
Phone:+81-53-523-0230
Scheduled date to file Quarterly Securities Report (Shihanki Hokokusho):November 9, 2021
Scheduled date to commence payment of dividends:–
Preparation of supplementary briefing material on quarterly financial results: Yes
Holding of quarterly financial results briefing:
Yes (for institutional investors and securities analysts)(Note) Amounts less than one million yen have been omitted.
1. Consolidated financial results for the third quarter of the fiscal year ending December 31, 2021 (from January 1 to September 30, 2021)(1) Consolidated operating results(Percentages indicate year-on-year changes.)
Profit attributable to
Net sales
Operating profit
Ordinary profit
owners of parent
Nine months ended
Millions of yen% Millions of yen% Millions of yen% Millions of yen%
September 30, 2021
60,668
31.0
9,664
77.8
8,936
85.5
7,741 132.4
September 30, 2020
46,321
4.9
5,435
60.1
4,816
67.0
3,331 194.0
Note: Comprehensive income
For the nine months ended September 30, 2021: ¥9,256 million [261.0%]
For the nine months ended September 30, 2020: ¥2,563 million [953.1%]
Basic earnings
per share

Diluted earnings
per share

Nine months ended
Yen
Yen
September 30, 2021
282.25276.15September 30, 2020
124.06–
Notes: 1. As the Company conducted a 30-for-1 common stock split effective on September 14, 2020, both basic and diluted
earnings per share were calculated based on the assumption that the stock split had been conducted at the beginning of the
fiscal year ended December 31, 2020.
2. Diluted earnings per share for the nine months ended September 30, 2020 is not stated because the Company’s stock was
not listed and thus the average stock price was not available during that period.
(2) Consolidated financial position
Total assets
Net assets
Equity ratio
As ofMillions of yen
Millions of yen%
September 30, 2021
51,02826,542
51.5
December 31, 2020
46,096
20,151
43.1
Reference: Equity (Shareholders’ equity + Accumulated other comprehensive income)As of September 30, 2021: ¥26,273 million
As of December 31, 2020: ¥19,853 million
2. DividendsFirstquarter-end
Yen–

Secondquarter-end
Yen1,080.00

Annual dividend per share
Third
quarter-end
Yen–

Fiscalyear-end

Total

Fiscal year ended
Yen
Yen
December 31, 2020
36.00–
Fiscal year ending
December 31, 2021
–
69.00
–
Fiscal year ending
December 31, 2021
69.00
138.00(forecast)
Note: 1. Revisions from the most recently announced dividends forecast: None
2. While the Company conducted a 30-for-1 common stock split effective on September 14, 2020, the dividends per share forthe second quarter-end of the fiscal year ended December 31, 2020 is a figure before the stock split. The annual dividend
per share for the fiscal year ended December 31, 2020 is not presented because the figures for the second quarter-end andthe fiscal year-end cannot be simply added up due to the stock split. If the effect of the stock split is taken into account, thedividend per share for the second quarter-end of the fiscal year ended December 31, 2020 will be 36 yen, resulting in theannual dividend per share of 72 yen.

3. Forecast of consolidated financial results for the fiscal year ending December 31, 2021 (from January 1 to December 31, 2021)(Percentages indicate year-on-year changes.)
Profit attributable to
Basic earnings
Net sales
Operating profit
Ordinary profit
owners of parent
per share
Millions ofMillions ofMillions ofMillions
yen
%
yen
%
yen
%
of yen%Yen78,80023.0
10,80051.8
10,100
60.9
8,300
92.9
302.30Fiscal year
Note: Revisions from the most recently announced forecast of consolidated financial results: Yes* For the details, please refer to the press release titled “Notice of Revisions of Financial Result Forecasts ” announced today(on November 5, 2021).
[Notes](1) Changes in significant subsidiaries during the current period (Changes in specified subsidiaries resulting in the change in scopeof consolidation): None
(2) Adoption of accounting treatment specific to the preparation of quarterly consolidated financial statements: None
(3) Changes in accounting policies, changes in accounting estimates and restatements of prior period financial statements
1) Changes in accounting policies due to application of new or revised accounting standards: None
2) Changes in accounting policies due to reasons other than above 1):
None3) Changes in accounting estimates:
None4) Restatements of prior period financial statements:
None(4) Number of shares of common stock issued
1) Number of shares issued (including treasury shares)
As of September 30, 2021:
27,970,534 shares
As of December 31, 2020:
27,581,366 shares
2) Number of treasury shares
As of September 30, 2021:
432,253 shares
As of December 31, 2020:
418,810 shares
3) Average number of shares of common stock during the period (cumulative from the beginning of the fiscal year)
Nine months ended September 30, 2021: 27,428,203 shares
Nine months ended September 30, 2020: 26,852,820 shares
Notes: 1. As the Company conducted a 30-for-1 common stock split effective on September 14, 2020, the “Average number ofshares of common stock during the period (cumulative from the beginning of the fiscal year)” was calculated basedon the assumption that the stock split had been conducted at the beginning of the fiscal year ended December 31,
2020.
2. The aggregate number of shares of the Company held by the Board Benefit Trust, Employee Stock Ownership Plan
Trust and Employee Shareholding Association-type ESOP Trust was included in the number of treasury shares,
which was to be deducted from the calculation of the average number of shares of common stock during the period.
It is noted that the average numbers of shares of common stock held by these trusts after the stock split during thenine months ended September 30, 2020 and 2021 were 491,010 shares and 431,632 shares, respectively.
* This quarterly financial results report is not subject to quarterly review procedures by certified public accountants or an audit firm.
* [Proper use of earning forecasts, and other special notes](Disclaimer with respect to earnings and other forecasts)
 The forward-looking statements including earnings forecast contained in this document are based on information currently
available and certain assumptions that are believed to be reasonable. Accordingly, please be advised that the Company does notguarantee the achievement of the forecasts and the actual results may differ from the results described in this forward-looking
statements due to a variety of factors. For further information on the forecast of consolidated financial results, please refer to“Explanation of forward-looking information including consolidated earnings forecast” on page 4 of the Attached Materials.
 The Company will hold a quarterly financial results briefing for institutional investors and securities analysts on Monday,
November 8, 2021. Materials used at the quarterly financial results briefing will be posted on the Company’s website.

Contents of Attached Materials
1. Qualitative Information on Quarterly Consolidated Financial Results ································································· P. 2
(1) Explanation of consolidated operating results ························································································ P. 2
(2) Explanation of consolidated financial position ······················································································· P. 3
(3) Explanation of forward-looking information including consolidated earnings forecast ········································ P. 4
2. Quarterly Consolidated Financial Statements and Major Notes ········································································ P. 5
(1) Quarterly consolidated balance sheets ································································································· P. 5(2) Quarterly consolidated statements of income and quarterly consolidated statements of comprehensive income ··········· P. 7(3) Quarterly consolidated statements of cash flows····················································································· P. 9(4) Notes to quarterly consolidated financial statements ················································································ P. 10(Going concern assumption) ············································································································ P. 10(Significant changes in shareholders’ equity)························································································· P. 10-1-1. Qualitative Information on Quarterly Consolidated Financial Results(1) Explanation of consolidated operating results
During the nine months ended September 30, 2021, the global economic environment surrounding the Group remained unstable
along with the difficulty in foreseeing when the COVID-19 pandemic is ending. This was due in part to the occurrence of variants
and breakthrough infections, which resulted in the rebound of COVID-19 cases, despite the progress in vaccination campaigns.
The electronic musical instruments business continued to enjoy firm demand especially from customers taking up a challenge
to start playing musical instruments or those who resume musical performance, both hoping to enjoy themselves, as a newlifestyle brought by COVID-19 has become normal. The major attraction of electronic musical instruments is that people canenjoy playing them alone or with others whenever and wherever they want.
However, on the supply side, Malaysia, where our main factory is located, experienced a worsening outbreak of COVID-19
from the latter half of the second quarter to the latter half of the third quarter of the current fiscal year. Accordingly, in accordancewith the instructions of the Malaysian government and authorities, our Malaysia factory operation was restricted and suspended.
To ensure an early resumption of supplying, the Company proactively promoted COVID-19 vaccination and antigen test for
employees and resumed a normal operation in the first half of September 2021. Despite such efforts, the production decreasedin the third quarter of the current fiscal year due to the restriction of operations. Also, on the logistics side, the global logistics
delays caused by, for example, U.S. port congestion, led to extended lead times. Meanwhile, order backlog increased
significantly against the backdrop of strong demand and restricted supply.
As a result of the above, during the nine months ended September 30, 2021, net sales stood at ¥60,668 million (up 31.0% year
on year) with operating profit of ¥9,664 million (up 77.8% year on year), ordinary profit of ¥8,936 million (up 85.5% year onyear), and profit attributable to owners of parent of ¥7,741 million (up 132.4% year on year).

Sales performance by mainstay category is as shown below:[Keyboards]
Among the mainstay categories, sales of electronic pianos remained strong, driven by brisk demand from people staying home
for longer hours in the wake of the COVID-19 pandemic. Sales of new portable piano series and new space-saving models went
well, and the order backlog also grew. Sales of medium- to high-end products at retail stores also recovered as more storesresumed normal business operations compared to the same period of the previous fiscal year.
As a result of the above, net sales from the Keyboards category amounted to ¥18,584 million (up 46.1% year on year).
[Percussion and Wind Instruments]
Among the mainstay categories, sales of electronic drums, especially the V-Drums Acoustic Design series launched in theprevious fiscal year, remained strong, and sales soared in all regions.
Sales of electronic wind instruments remained very firm, especially the highest model of Aerophone launched in the fourth
quarter of the previous fiscal year and the region limited model released in the current fiscal year went very well. The significant
sales growth was also driven by the upswing of the entire electronic wind instruments market.
As a result of the above, net sales from the Percussion and Wind Instruments category amounted to ¥14,524 million (up 41.7%
year on year).
[Guitar-related Products]
Among the mainstay categories, sales of guitar effects soared, backed especially by strong sales of new product families launchedin the previous fiscal year and other products such as the anniversary versions of compact effects released in the current fiscal
year, despite supply shortages.
Sales of musical instruments amplifiers, especially the KATANA amplifier series increased mainly in Europe and North America.
Also, in addition to products intended for outdoor use, sales of amplifiers for keyboards and electronic drums performed verywell.
As a result of the above, net sales from the Guitar-related Products category amounted to ¥14,782 million (up 19.9% year onyear).

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[Creation-related Products & Services]
Among the mainstay categories, sales of synthesizers performed very strongly, driven by increased demand for electronic pianos
from people staying home for longer hours amid the COVID-19 pandemic and the return of live performance demand
accompanying the recovery in performance opportunities. Not only synthesizers equipped with 88 keys like electronic pianos
but also stage pianos contributed to sales growth.
Sales of dance and DJ-related products also soared, driven by strong sales of new product families launched in the previous andcurrent fiscal years on the back of increased interest in music production among people staying home during the COVID-19
pandemic.
In the software and service domain, through Roland Cloud where software sound source could be obtained at a fixed membershipfee, new versions of software sound source were released in addition to the upgrade software which enables existing electronic
drum products to expand their functions. The software editors for Roland’s hardware were also offered through the platform.
As a result of the above, net sales from the Creation-related Products & Services category amounted to ¥7,706 million (up 24.8%
year on year).
[Video and Professional Audio]
Among the mainstay categories, sales of video related products plateaued as a result of diminishing video distribution demand
from individuals staying home for longer hours in the wake of COVID-19 pandemic and intensifying competition with productsof other companies.
Sales of professional audio related products remained sluggish due to the lack of recovery in capital investment demand under
the influence of preventive measures against the spread of COVID-19.
As a result of the above, net sales from the Video and Professional Audio category amounted to ¥3,127 million (down 2.7% year
on year).

(2) Explanation of consolidated financial position(i) Assets, liabilities and net assets as of September 30, 2021
Total assets at the end of the third quarter of the current fiscal year on a consolidated basis increased by ¥4,931 million from theend of the previous fiscal year to ¥51,028 million. This is attributable primarily to increases in trade receivables of ¥2,400 million
and inventories of ¥4,213 million, which were partially offset by a decrease in cash and deposits of ¥2,044 million. The positionof cash and deposits is described in detail in the next section.
Liabilities decreased by ¥1,459 million from the end of the previous fiscal year to ¥24,486 million. This is mainly owing todecreases in borrowings of ¥2,448 million and provision for loss on competition law of ¥562 million, which were partially offset
by an increase in trade payables of ¥1,595 million.
Net assets increased by ¥6,391 million from the end of the previous fiscal year to ¥26,542 million. This is mainly owing torecording of profit attributable to owners of parent of ¥7,741 million and an increase in foreign currency translation adjustmentof ¥1,325 million resulting from a further depreciation of yen against major currencies, which were partially offset by dividends
from retained earnings of ¥2,922 million.
As a result of the above, the equity ratio rose 8.4 percentage points from the end of the previous fiscal year to 51.5%.

(ii) Cash flows for the nine months ended September 30, 2021
During the nine months ended September 30, 2021, cash and cash equivalents (“net cash”) decreased by ¥2,044 million from theend of the previous fiscal year to ¥8,787 million.
Cash flows from operating activities
Net cash provided by operating activities amounted to ¥4,207 million (down ¥1,197 million in the inflow year on year), which ismainly owing to the contribution of profit before income taxes.
Cash flows from investing activities
Net cash used in investing activities amounted to ¥545 million (down ¥196 million in the outflow year on year), which is mainly
as a result of payment for purchase of property, plant and equipment.
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Cash flows from financing activities
Net cash used in financing activities amounted to ¥5,535 million (up ¥2,031 million in the outflow year on year), which is mainly
due to repayments of borrowings and payments of dividends.

(3) Explanation of forward-looking information including consolidated earnings forecast
We have revised the consolidated earnings forecast announced on May 7, 2021 in view of the recent trends of our businessperformance. For the details, please refer to the "Notice of Revisions of Financial Result Forecasts" released today (on November
5, 2021).

-4-

2. Quarterly Consolidated Financial Statements and Major Notes(1) Quarterly consolidated balance sheets
Previous fiscal year
(As of December 31, 2020)(Millions of yen)
Current quarter(As of September 30, 2021)

AssetsCurrent assets:
Cash and deposits

10,832

8,787

Notes and accounts receivable – trade

5,930

8,331

Merchandise and finished goods

13,622

13,516Work in process

889

1,576

Raw materials and supplies

3,563

7,196

Other

1,558

1,425

Allowance for doubtful accounts

(338)

(356)

36,05840,476

Buildings and structures, net

2,717

2,542

Land

1,652

1,656

Other, net

1,391

1,759

Total property, plant and equipment

5,761

5,957

759

668

949

1,141

Other

2,677

2,882

Allowance for doubtful accounts

(110)

(98)

Total investments and other assets

3,517

3,925

10,03810,55246,09651,028

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

Intangible assets
Investments and other assets:
Investment securities

Total non-current assets
Total assets-5-

Previous fiscal year
(As of December 31, 2020)(Millions of yen)
Current quarter(As of September 30, 2021)

Liabilities
Current liabilities:
Notes and accounts payable – trade

5,228

6,824

138

－

3,935

1,252

Income taxes payable

467

603

Provision for bonuses

1,441

942

Provision for bonuses for directors (and other officers)

84

58

Provision for product warranties

294

356

Short-term borrowings
Current portion of long-term borrowings

Provision for loss on competition law

562

－

Other

4,826

5,312

Total current liabilities

16,97915,349

5,762

6,135

Non-current liabilities:
Long-term borrowings
Provision for product warranties

00Provision for share-based remuneration

217

247

Provision for share-based remuneration for directors (and other officers)

25

49

1,482

1,426

Retirement benefit liability
Asset retirement obligations

85

86

Other

1,391

1,191

Total non-current liabilities

8,965

9,136

25,94524,486

Share capital

9,490

9,585

Capital surplus

69

163

Retained earnings

13,23018,049Treasury shares

(403)

(492)

22,38627,306(51)

80

Total liabilities
Net assets
Shareholders’ equity:

Total shareholders’ equity
Accumulated other comprehensive income:
Valuation difference on available-for-sale securities
Foreign currency translation adjustment(2,203)(877)

Remeasurements of defined benefit plans

(278)

(235)

(2,533)(1,032)

Share acquisition rights

158

115

Non-controlling interests

139

153

20,151

26,54246,09651,028

Total accumulated other comprehensive income

Total net assets
Total liabilities and net assets-6-

(2) Quarterly consolidated statements of income and quarterly consolidated statements of comprehensive income
Quarterly consolidated statements of income
Nine months ended
September 30, 2020
46,321

Net sales(Millions of yen)
Nine months ended
September 30, 2021
60,668

Cost of sales

23,88832,538Gross profit

22,432

28,130

Selling, general and administrative expenses

16,996

18,465

Operating profit

5,435

9,664

Non-operating income:Interest income

7

7

Dividend income

21

86

Subsidy income

90

51

Other

18

13

Total non-operating income

137

159

Interest expenses

26

18

Sales discounts

357

589

Foreign exchange losses

270

185

Other

101

93

Total non-operating expenses

756

887

4,816

8,936

Gain on sales of non-current assets

123

374

Total extraordinary income

123

374

Loss on sales and retirement of non-current assets

20

6Loss on competition law

343

149

Loss related to COVID-19

183－

Total extraordinary losses

547

156

Profit before income taxes

4,392

9,154

Income taxes – current

1,145

1,963

Income taxes – deferred

(86)

(551)

Total income taxes

1,059

1,411

Profit

3,333

7,743

2

1

3,331

7,741

Non-operating expenses:

Ordinary profit
Extraordinary income:Extraordinary losses:

Profit attributable to non-controlling interests
Profit attributable to owners of parent-7-

Quarterly consolidated statements of comprehensive income
Nine months ended
September 30, 2020
3,333

Profit(Millions of yen)
Nine months ended
September 30, 2021
7,743

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

(105)

131

Foreign currency translation adjustment

(730)

1,338

66

43

(769)

1,513

2,563

9,256

2,562

9,242

1

14

Remeasurements of defined benefit plans, net of tax
Total other comprehensive income
Comprehensive income
Comprehensive income attributable to:
Owners of parent
Non-controlling interests-8-(3) Quarterly consolidated statements of cash flows
Nine months ended
September 30, 2020

(Millions of yen)
Nine months ended
September 30, 2021

Cash flows from operating activities:
Profit before income taxes

4,392

9,154

Depreciation

1,167

1,194

Amortization of goodwill

33

Increase (decrease) in retirement benefit liability

55

1Interest and dividend income

(28)

(94)

Interest expenses

26

18

Foreign exchange losses (gains)

183

137

Loss (gain) on sales and retirement of non-current assets

(102)

(367)

Decrease (increase) in trade receivables(166)(1,415)Decrease (increase) in inventories(1,244)(3,025)

Increase (decrease) in trade payables

1,650

684

Other, net

578

(71)

Subtotal

6,516

6,221

Interest and dividends received

28

94Interest paid

(27)

(18)

Income taxes paid

(1,113)(2,090)Net cash provided by (used in) operating activities

5,405

4,207

Purchase of property, plant and equipment(833)(1,001)

Proceeds from sales of property, plant and equipment

142

555

Purchase of intangible assets

(137)

(73)

Long-term loan advances(5)－

Collection of long-term loans receivable

35

26

Other, net

56

(53)

(742)

(545)

Net increase (decrease) in short-term borrowings(2,988)(143)

Proceeds from long-term borrowings

6,200

1,500

Repayments of long-term borrowings(4,261)(3,810)

Proceeds from issuance of shares－

145

Proceeds from sales of treasury shares－

93

Purchase of treasury shares

－

(121)

(2,203)(2,903)

(250)

(295)

(3,504)(5,535)

Effect of exchange rate change on cash and cash equivalents

(540)

(171)

Net increase (decrease) in cash and cash equivalents

617(2,044)

Cash and cash equivalents at beginning of period

8,815

10,832

Cash and cash equivalents at end of period

9,432

8,787

Cash flows from investing activities:

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

Dividends paid
Other, net
Net cash provided by (used in) financing activities-9-(4) Notes to quarterly consolidated financial statements(Going concern assumption)
Not applicable.
(Significant changes in shareholders’ equity)
Not applicable.

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