Translation
Notice: This document is an excerpt translation of the original Japanese document and is only for reference purposes. In the event of any
discrepancy between this translated document and the original Japanese document, the latter shall prevail.

Summary of Consolidated Financial Results
for the Year Ended February 29, 2024
(Based on Japanese GAAP)
April 12, 2024
Company name:TECMIRA HOLDINGS INC.
Stock exchange listing: Tokyo
Stock code:
Representative:

3627
URL https://www.tecmira.com/
President & Representative Director
Masashi Ikeda

Inquiries:
Corporate Planning Department Director
Scheduled date of ordinary general meeting of shareholders:Satoru Fujishiro
May 29, 2024

Scheduled date to file Securities Report:
Scheduled date to commence dividend payments:

May 30, 2024
May 30, 2024

Preparation of supplementary material on financial results:
Holding of financial results meeting:

Yes
Yes

TEL

(03)6838-8800(for institutional investors and analysts)(Amounts less than one million yen are rounded down)
1. Consolidated financial results for the year ended February 29, 2024 (from March 1, 2023 to February 29, 2024)(1) Consolidated operating results
Net salesYear ended February 29, 2024
Year ended February 28, 2023

Millions of yen
8,736
8,659

Earnings per share

Percentages indicate year-on-year changes
Profit attributable toOperating profit
Ordinary profit
owners of parent% Millions of yen% Millions of yen% Millions of yen
%
0.9
(122)
–
132
(65.7)
73(71.9)(9.3)
180(65.0)
386(10.8)
262(25.6)
Profit attributable toOrdinary profit/total Operating profit/net
owners ofassetssales
parent/equity
Yen
%
%
%
6.17
1.3
1.5
–
21.81
4.7
4.6
2.1

Diluted earnings per
share

Yen
6.28
22.45

Year ended February 29, 2024
Year ended February 28, 2023
(2) Consolidated financial position

Total assets
As of February 29, 2024
As of February 28, 2023

Net assets

Equity ratio

Millions of yen
10,1108,021

Millions of yen
6,343
5,593

Cash flows fromoperating activities
Millions of yen
60
(699)

Cash flows frominvesting activities
Millions of yen(1,258)(601)

Net assets per share
%
62.0
69.1

Yen
531.04474.68(3) Consolidated cash flows

Year ended February 29, 2024
Year ended February 28, 2023

Cash flows from
Cash and cash equivalents
financing activities
at end of period
Millions of yen
Millions of yen
807
2,662
(783)
2,983

2. Cash dividends
Annual dividends per share
1st quarter-end 2nd quarter-end 3rd quarter-end Fiscal year-end

Year ended February 28, 2023
Year ended February 29, 2024
Year ending February 28, 2025
(Forecast)of dividends
Total cash
Dividend payout Ratio
to net assets
dividends (Total) ratio (Consolidated) (Consolidated)

Total

Yen

Yen

Yen

Yen

Yen

Millions of yen

%

%

–
–

0.00
0.00

–
–

5.00
5.00

5.00
5.00

58
59

22.3
79.6

1.1
1.0

–

0.00

–

5.00

5.00

1

29.4

3. Forecast of consolidated financial results for the year ending February 28, 2025 (from March 1, 2024 to February 28, 2025)
Percentages indicate year-on-year changes
Profit attributable to
Net sales
Operating profit
Ordinary profit
Earnings per shareowners of parent
Millions of yen% Millions of yen% Millions of yen% Millions of yen%
Yen
Six months ending
4,600
11.3
–
–
(80)
–
(50)
–
(4.25)
August 31, 2024
Full year
10,00014.5––
300 126.1
200 170.5
16.99
4. Notes(1) Changes in significant subsidiaries during the year ended February 29, 2024
(changes in specified subsidiaries resulting in the change in scope of consolidation):No(2) Changes in accounting policies, changes in accounting estimates, and restatement of prior period financial statements
Changes in accounting policies due to revisions to accounting standards and other regulations:
Changes in accounting policies due to other reasons:

No
No

Changes in accounting estimates:
Restatement of prior period financial statements:

NoNo(3) Number of issued shares (common shares)
Total number of issued shares at the end of the period (including treasury shares)
As of February 29, 2024

12,472,200 shares As of February 28, 2023

12,339,500 shares

Number of treasury shares at the end of the period
As of February 29, 2024

660,105 shares As of February 28, 2023

660,105 shares

11,770,445 shares Year ended February 28, 2023

11,707,241 shares

Average number of shares during the period
Year ended February 29, 20242

Consolidated financial statements
Consolidated balance sheets(Thousands of yen)
As of February 28, 2023

As of February 29, 2024

AssetsCurrent assets
Cash and deposits

2,983,960

2,662,384

1,282,284
423,605

1,251,672
538,408

Merchandise and finished goods
Work in process

317,461
246,024

355,169
131,165

Raw materials
Short-term loans receivable

354,499–

233,750
20,000

Short-term loans receivable from subsidiaries andassociates

100,000–

Advance payments to suppliers
Other

98,507354,646

348,556
558,975

Allowance for doubtful accounts

–

(951)

6,160,990

6,099,131

Property, plant and equipment
Buildings, net

128,712167,754

Vehicles, net
furniture and fixtures, net

1,732
78,393

1,362
73,102

Construction in progress

1,433

649

210,272

242,870

211,522329,524

668,101
305,619

2,891
7,573

1,213,872
8,700

Notes and accounts receivable - trade
Contract assets

Total current assets
Non-current assets

Total property, plant and equipment
Intangible assets
Software
Software in progress
Goodwill
Other
Total intangible assets

551,5112,196,293

Investments and other assets
Investment securities

717,300

713,627

Investments in capital
Deferred tax assets–
182,156474,638
186,391

Guarantee deposits
Other

207,90928,882

196,153
1,024

Allowance for doubtful accounts(37,131)–

Total investments and other assets

1,099,116

1,571,835

Total non-current assets
Total assets

3

1,860,900

4,010,999

8,021,890

10,110,131

(Thousands of yen)
As of February 28, 2023

As of February 29, 2024

Liabilities
Current liabilities
Accounts payable - trade
Current portion of long-term borrowings

357,787
399,016

468,460
612,471

Income taxes payable
Contract liabilities

5,866
128,840

22,760147,371

Provision for bonuses
Provision for loss on construction contracts

215,515–

204,509
8,339

Provision for product warranties
Other

40,637435,505427
475,086

Total current liabilities

1,583,169

1,939,426

Non-current liabilities
Long-term borrowings

792,196

1,788,528

Deferred tax liabilities
Asset retirement obligations

10,95535,368–35,728

Other

6,236

3,347

Total non-current liabilities

844,755

1,827,605

2,427,924

3,767,031

Share capital
Capital surplus

2,403,000
1,511,991

2,410,273
2,339,982

Retained earnings
Treasury shares

1,794,478(297,166)

1,633,298(297,166)

Total shareholders' equity

5,412,304

6,086,388

10,25029,889Deferred gains or losses on hedges
Foreign currency translation adjustment(22,173)
143,538

8,533
147,915

Total accumulated other comprehensive income

131,615

186,338

50,045–64,2896,083

5,593,965

6,343,099

8,021,890

10,110,131

Total liabilities
Net assets
Shareholders' equity

Accumulated other comprehensive income
Valuation difference on available-for-sale securities

Share acquisition rights
Non-controlling interests
Total net assets
Total liabilities and net assets

4Consolidated statements of income and consolidated statements of comprehensive income
Consolidated statements of income(Thousands of yen)
Fiscal year ended

Fiscal year ended

February 28, 2023

February 29, 2024

Net sales
Cost of sales

8,659,226
5,565,684

8,736,684
5,865,159

Gross profit

3,093,542

2,871,525

Selling, general and administrative expenses

2,912,963

2,994,504

180,578(122,979)

207,300–

119,988
114,142

Operating profit (loss)
Non-operating income
Foreign exchange gains
Gain on sale of investment securities
Other

12,18639,456

Total non-operating income

219,486

273,587

Interest expenses
Loss on abandonment of inventories

9,273
–

10,261
2,412

Other

4,300

5,273

Non-operating expenses

Total non-operating expenses
Ordinary profit
Extraordinary income
Gain on reversal of share acquisition rights
Total extraordinary income
Extraordinary losses
Impairment losses
Loss on valuation of investment securities
Business restructuring expenses
Office relocation expenses
Settlement money paid
Total extraordinary losses

13,573

17,947

386,491

132,661

313

–

313

–

17,368–––46,996
8,026

35,38237,364––

90,11555,023

Profit before income taxes

296,689

77,637

Income taxes - current
Income taxes - deferred

53,948(20,133)

22,592(18,029)

Total income taxes

33,814

4,563

Profit262,874

73,074

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

5

–

(852)

262,874

73,927

Consolidated statements of comprehensive income(Thousands of yen)
Fiscal year ended
February 28, 2023

Fiscal year ended
February 29, 2024

Profit262,874

73,074

Other comprehensive income
Valuation difference on available-for-sale securities(39,097)

19,638(28,073)
70,90830,707
4,376

Deferred gains or losses on hedges
Foreign currency translation adjustment
Total other comprehensive income
Comprehensive income

3,737

54,722

266,611

127,797

266,611

128,649–(852)

Comprehensive income attributable toComprehensive income attributable to owners of parent
Comprehensive income attributable to non-controllinginterests

6

Consolidated statements of changes in equity
Fiscal year ended February 28, 2023
(Thousands of yen)
Shareholders' equity
Share capital
Balance at beginning of period

Capital surplus

2,391,423

1,500,413

11,577

11,577Retained earnings

Total shareholders'equityTreasury shares

1,650,907(115,366)

5,427,378

Changes during period
Issuance of new shares

23,154

Dividends of surplus(119,302)(119,302)

Profit attributable to owners ofparent262,874

262,874

Purchase of treasury shares(181,800)(181,800)

Change in scope of consolidation–

Change in ownership interest ofparent due to transactions with noncontrolling interests–

Net changes in items other thanshareholders' equity–

Total changes during period
Balance at end of period

11,577

11,577

143,571(181,800)(15,073)

2,403,000

1,511,991

1,794,478(297,166)

5,412,304

Accumulated other comprehensive income
Valuation

Deferreddifference on
gains or losses
available-for-saleon hedges
securities

Balance at beginning of period

49,3485,899

Foreigncurrencytranslation
adjustment
72,630Total
accumulated
other

Share
acquisitionrights

Noncontrollinginterests

37,754–

Total net assets

comprehensive
income127,877

5,593,010

Changes during period
Issuance of new shares

23,154

Dividends of surplus(119,302)

Profit attributable to owners ofparent262,874

Purchase of treasury shares(181,800)

Change in scope of consolidation–

Change in ownership interest ofparent due to transactions with noncontrolling interests–

Net changes in items other thanshareholders' equity(39,097)(28,073)

70,9083,737

12,291

16,029Total changes during period(39,097)(28,073)

70,9083,737

12,291

955

Balance at end of period

10,250(22,173)

143,538

131,61550,0457–

5,593,965

Fiscal year ended February 29, 2024
(Thousands of yen)
Shareholders' equity
Share capital
Balance at beginning of period

Capital surplus

2,403,000

1,511,991

7,273

7,273

Retained earnings

Total shareholders'equityTreasury shares

1,794,478(297,166)

5,412,304

Changes during period
Issuance of new shares

14,546

Dividends of surplus(58,396)(58,396)

Profit attributable to owners ofparent73,92773,927(176,710)

646,006–

Purchase of treasury shares
Change in scope of consolidation

822,717

Change in ownership interest ofparent due to transactions with noncontrolling interests(2,000)(2,000)Net changes in items other thanshareholders' equity–

Total changes during period
Balance at end of period

7,273

827,991(161,180)

2,410,273

2,339,982

1,633,298

674,084(297,166)

6,086,388

Accumulated other comprehensive income
Valuation

Deferreddifference on
gains or losses
available-for-saleon hedges
securities

Balance at beginning of period

10,250(22,173)

Foreigncurrencytranslation
adjustment
143,538

Total
accumulated
other

Share
acquisitionrights

Noncontrollinginterests

50,045–

Total net assets

comprehensive
income131,615

5,593,965

Changes during period
Issuance of new shares

14,546

Dividends of surplus(58,396)

Profit attributable to owners ofparent73,927–Purchase of treasury shares
Change in scope of consolidation

1,936

Change in ownership interest ofparent due to transactions with noncontrolling interests
Net changes in items other thanshareholders' equity

647,943(2,000)19,63830,707

4,376

54,722

14,243

4,147

73,113

Total changes during period

19,63830,707

4,376

54,722

14,243

6,083

749,133

Balance at end of period

29,8898,533

147,915

186,338

64,2896,083

6,343,0998

Consolidated statements of cash flows(Thousands of yen)
Fiscal year ended
February 28, 2023

Fiscal year ended
February 29, 2024

Cash flows from operating activities
Profit before income taxes
Depreciation

296,689
240,259

77,637
263,566

Impairment losses
Amortization of goodwill

17,36834,698–2,891

Increase (decrease) in allowance for doubtful accounts
Increase (decrease) in provision for bonuses(5,146)(44,339)(36,180)(11,006)

Increase (decrease) in provision for loss on construction
contracts

–

8,339

Increase (decrease) in provision for product warranties
Loss (gain) on sale of investment securities

40,210–(40,210)(114,142)

Loss (gain) on valuation of investment securities
Loss (gain) on investments in investment partnerships––

46,996(25,542)–
35,382

8,026–

Settlement money paid
Decrease (increase) in trade receivables , and contract assets

37,364(571,272)–(36,720)

Decrease (increase) in inventories
Increase (decrease) in trade payables(420,724)(12,660)

242,374
62,241

Increase (decrease) in contract liabilities
Decrease (increase) in advance payments to suppliers

28,612
192,834(90,421)(242,300)

Other, net(132,378)(35,405)

Subtotal(263,101)

80,146

Business restructuring expenses
Office relocation expenses

Interest and dividends received

2,762

2,690

Interest paid
Payments for business restructuring(8,920)–(8,726)(8,026)

Payments of relocation expenses
Settlement paid–
(37,364)(31,220)–

Income taxes paid
Income taxes refund(393,189)–(77,633)
103,459

Net cash provided by (used in) operating activities(699,812)

60,689(11,519)(81,740)(471,784)(18,000)(610,306)(222,770)

Proceeds from sale of investment securities
Payments for investments in capital––

278,728(450,000)

Purchase of shares of subsidiaries resulting in change in scopeof consolidation–(42,212)

Loan advances
Proceeds from collection of loans receivable(100,000)–(195,000)
65,000Net cash provided by (used in) investing activities(601,303)(1,258,299)

Cash flows from investing activities
Purchase of property, plant and equipment
Purchase of intangible assets
Purchase of investment securities

9(Thousands of yen)
Fiscal year ended
February 28, 2023

Fiscal year ended
February 29, 2024

Cash flows from financing activities
Net increase (decrease) in short-term borrowings
Proceeds from long-term borrowings(89,539)–(2,562)
1,249,016

Repayments of long-term borrowings
Proceeds from issuance of shares(413,526)
20,674(399,016)
13,919Proceeds from share issuance to non-controlling shareholders
Purchase of treasury shares–(181,800)

5,000–

Repayments of lease liabilities
Dividends paid

(923)
(118,596)(954)(58,298)

Net cash provided by (used in) financing activities(783,710)

807,105

Effect of exchange rate change on cash and cash equivalents

86,524(3,423)

Net increase (decrease) in cash and cash equivalents(1,998,303)(393,928)

Cash and cash equivalents at beginning of period

4,982,263

2,983,960–

72,352

2,983,960

2,662,384

Increase in cash and cash equivalents resulting from inclusion ofsubsidiaries in consolidation
Cash and cash equivalents at end of period10