July 11, 2024

FY2024 Semi-Annual Consolidated Financial Results(December 1, 2023 - May 31, 2024)
Company nameShares listed
Code number
Location of the head office
Representative
Contact person: OSG Corporation: Tokyo and Nagoya Stock Exchanges: 6136: Aichi Prefecture: Nobuaki Osawa, President: Yosuke Sakashita, Accounting Manager
TEL: 81-533-82-1113 URL https://www.osg.co.jp/en/about_us/ir/(Amounts less than one million yen are omitted)

1. Consolidated Results for FY2024 Semi-Annual(December 1, 2023 - May 31, 2024)(1) Consolidated financial results(% indicates changes from the previous corresponding term)
Net income attributable
Net sales
Operating income
Ordinary income
to owners of parent
Million yen%
Million yen%
Million yen%
Million yen%
77,667
10.0
9,765
2.9
10,868
6.9
7,217
9.5
FY2024 semi-annual
70,6383.99,494-3.6
10,166-4.4
6,591-12.0
FY2023 semi-annual(Note) Comprehensive income
FY2024 semi-annual: 13,194 million yen (40.0%)
FY2023 semi-annual: 9,423 million yen (-45.3%)
Net income per share

Diluted net income
per shareYen
Yen
77.40
70.24
FY2024 semi-annual
68.82－FY2023 semi-annual(Note) The diluted net income per share for FY2023 semi-annual is not stated as there were no dilutive shares.

(2) Consolidated financial position

FY2024 semi-annual
FY2023(Reference) Equity

Total assets
Net assets
Equity ratio
Million yen
Million yen%
270,494
194,235
66.9
250,124
194,64072.6
FY2024 semi-annual: 180,964 million yen
FY2023: 181,561 million yen

2. Dividends
Dividends per share
End of Q2
Yen
28.00
28.00

Year-end

AnnualYen
32.00Yen
60.00
FY2023
FY202432.00
60.00
FY2024 forecast(Note) Revision to the forecast for dividends announced most recently: None

3. Forecast of Consolidated Results for FY2024 (December 1, 2023 - November 30, 2024)(% indicates changes from the previous term)
Net sales

Operating income

Ordinary income

Million yen% Million yen% Million yen
153,000
3.6
23,000 16.2
23,000
Annual(Note) Revision to the forecast of financial results announced most recently: None-1-%
7.7

Net income attributableto owners of parent
Million yen
15,500%8.3

Net incomeper shareYen171.25

4. Others(1) Changes in significant subsidiaries during the current period(Changes in specified subsidiaries that caused a change in the scope of consolidation) : None
(2) Adoption of accounting method specific to the preparation of consolidated quarterly financial statements: Yes(3) Changes in accounting principles and accounting estimates and retrospective restatement
1) Changes in accounting principles due to amendment to accounting standards:
None2) Changes other than 1) above:None3) Changes in accounting estimates:
None4) Retrospective restatement:
None(4) Number of shares issued and outstanding (common stock)1) Total number of shares issued and outstanding at the end of each period (including treasury stock):
FY2024 semi-annual: 99,182,517 shares
FY2023:99,182,517 shares2) Total number of treasury stock at the end of each period:
FY2024 semi-annual:
8,377,512 shares
FY2023:
3,237,817 shares
3) Average number of shares outstanding in each period:
FY2024 semi-annual: 93,258,022 shares
FY2023 semi-annual: 95,767,296 shares※These quarterly consolidated financial results are outside the scope of quarterly review by certified public
accountants and audit corporations.
※Explanation for appropriate use of financial forecasts and other special notes
The above forecasts for financial results are based on information available at the time this report
was released. These forecasts and other forward-looking statements are not guarantees of future
performance. Actual operating results may differ from the above forecasts due to known andunknown risks, uncertainties, and other factors.

-2-Consolidated Summary Balance SheetOSG Corporation(Millions of yen)
FY2023As of Nov. 30, 2023

FY2024 semi-annual
As of May 31, 2024

AssetsCurrent assets
Cash and deposits

57,97071,857

Notes, accounts receivable-trade and contract assets
Securities

28,645
1

27,8490

Merchandise and finished goods

38,52939,275Work in process
Raw materials and supplies

7,544
10,4207,740
10,057

OtherAllowance for doubtful accounts

4,602
(197)

6,981
(181)

147,517

163,581

Buildings and structures, net

24,16524,306

Machinery, equipment and vehicles, net
Land37,78016,343
6,415
84,70537,331
17,0369,50088,174

Intangible assets
Goodwill

3,692

3,391

Other

1,760

1,947

Total intangible assets
Investments and other assets

5,453

5,338

Investment securities
Other
Allowance for doubtful accounts
Total investments and other assets
Total non-current assets

5,812
6,984(347)

5,968
7,657
(348)

12,449102,607

13,277
106,791－－
250,124

122
122
270,494

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

Other, net
Total property, plant and equipment

Deferred assets
Bond issuance cost
Total deferred assets
Total assets-3-Consolidated Summary Balance SheetOSG Corporation(Millions of yen)
FY2023As of Nov. 30, 2023

FY2024 semi-annual
As of May 31, 2024

Liabilities
Current liabilities
Notes and accounts payable-trade

6,019

5,901

672

233

Current portion of long-term loans payable

1,638

4,770

Income taxes payable

1,733

2,849

Provision for bonuses

599

475

Provision for directors’ bonuses

332

201

Other

13,557

12,490Total current liabilities

24,552

26,922

Bonds payable

10,00010,000Convertible bond-type bonds with share acquisition rights－16,36522,204

990

1,125

Short-term loans payableNon-current liabilities

Long-term loans payable
Net defined benefit liability

12,213

Other

3,575

3,793

Total non-current liabilities

30,93149,33755,48476,25913,044

13,044

Total liabilities
Net assets
Shareholders' equity
Capital stock
Capital surplus

13,33013,327Retained earnings

140,361

144,451(5,845)(16,163)

160,891

154,659

Valuation difference on available-for-sale securities

1,326

1,555

Deferred gains or losses on hedges(1)

Foreign currency translation adjustment－19,342

24,750Total accumulated other comprehensive income

20,66926,305

Non-controlling interests

13,07913,270Total net assets

194,640

194,235

250,124

270,494

Treasury stock
Total shareholders' equity
Accumulated other comprehensive income

Total liabilities and net assets-4-Consolidated Summary Statement of Income
OSG Corporation(Millions of yen)
FY2023 semi-annual(12/1/2022 - 5/31/2023)
70,638FY2024 semi-annual(12/1/2023 - 5/31/2024)
77,667

Cost of sales
Gross profit

41,701
28,93645,79731,870

Selling, general and administrative expenses
Operating income

19,442
9,494

22,104
9,765Interest income
Dividend income

330
67

451
66

Foreign exchange gains
Other－585

208
700

Total non-operating income

982

1,427

Interest expenses

138

140

Foreign exchange losses

47

Other
Total non-operating expenses

123
310

－
182
323

10,166

10,868－

162

155

－

155

162－
540
74

162

Net sales

Non-operating income

Non-operating expenses

Ordinary income
Extraordinary gains
Gain on sales of investment securities
Gain on sales of investments in capitalof subsidiaries and associates
Total extraordinary gains
Extraordinary losses
Loss on sales of investment securities
Provision of allowance for doubtful accounts
Loss on valuation of shares of subsidiaries and associates
Total extraordinary losses
Income before income taxes
Income taxes - current
Income taxes - deferred
Total income taxes
Net income
Net income attributable to non-controlling interests
Net income attributable to owners of parent

614
9,707
3,451(517)
2,934
6,773
181
6,591

-5-－－
162
10,8694,022(728)
3,293
7,575
357
7,217

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

Net income
Other comprehensive income
Valuation difference on available-for-sale securities
Deferred gains or losses on hedges
Foreign currency translation adjustment
Share of other comprehensive income of associates
accounted for using equity method
Total other comprehensive income

FY2023 semi-annual(12/1/2022 - 5/31/2023)
6,773

FY2024 semi-annual(12/1/2023 - 5/31/2024)
7,575

432

217

(0)
2,219

(1)
5,414

(1)

(10)

2,650

5,618

Comprehensive income

9,423

13,194(Breakdown)Comprehensive income attributable to owners of parent

9,134

12,846

288

348Comprehensive income attributable to non-controlling interests-6-Consolidated Summary Statement of Cash FlowsOSG Corporation(Millions of yen)
FY2023 semi-annual(12/1/2022 - 5/31/2023)

FY2024 semi-annual(12/1/2023 - 5/31/2024)

9,707
5,332

10,869
5,706

Amortization of goodwill
Increase (decrease) in allowance for doubtful accounts

432
533

484
(22)

Interest and dividend income(397)(518)

Interest expense
Equity in loss (earnings) of an associated company

138
7140
9－(0)

(155)

－74－

(150)

1,638

Change in inventories
Change in notes and accounts payable(2,776)(407)

1,022(451)

Change in accrued expenses
Other, net
SubtotalInterest and dividend income received
Interest expense paid

(623)
(21)
11,695
395
(156)

(766)
(103)
18,008483(161)

Income taxes - paid

(4,363)(2,813)

Net cash provided by operating activities

7,570

15,517

Operating activities:
Income before income taxes
Depreciation and amortization

Loss (gain) on sales of investments securities
Gain on sales of investments in capitalof subsidiaries and associates
Loss on valuation of shares of subsidiaries and associates
Change in notes, accounts receivable-tradeand contract assets-7-Consolidated Summary Statement of Cash FlowsOSG Corporation(Millions of yen)
FY2023 semi-annual(12/1/2022 - 5/31/2023)

FY2024 semi-annual(12/1/2023 - 5/31/2024)

Investing activities:
Payments for time deposits
Proceeds from refund of time deposits(1,569)3,083(2,291)
1,775

Acquisitions of property, plant and equipment
Proceeds from sales of property, plant and equipment(4,774)480(7,582)
167

Purchases of investment securities

(8)

(2)

Proceeds from sales and redemption of investment securities
Purchase of shares of subsidiaries

0(1,007)

216
(128)

Proceeds from sales of investments in capital of subsidiaries
resulting in change in scope of consolidation

524－

Other, net

(814)

(462)

Net cash used in investing activities(4,085)(8,308)Financing activities:
Change in short-term borrowings, net

11(5)Proceeds from long-term borrowings
Repayments of long-term borrowings－(1,508)6(1,638)

Proceeds from issuance of convertible bond-type bonds
with share acquisition rights－

22,087Purchase of shares of subsidiaries
not resulting in change in scope of consolidation－(23)

Purchase of investments in capital of subsidiaries
not resulting in change in scope of consolidation

(42)

－

Purchase of treasury stock(1)(10,389)255－(2,272)

Proceeds from sales of treasury stock
Change in money held in trust for purchase of treasury stock
Dividends paid
Dividends paid to non-controlling interests
Other, net
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 year
Cash and cash equivalents from newly consolidated subsidiaries
Increase in cash and cash equivalents resulting from merger
with unconsolidated subsidiaries
Cash and cash equivalents at end of period-8-－(3,541)
(168)
(144)

(3,067)
(157)
(191)

(5,139)498(1,156)36,717
73

4,349
1,481
13,03949,72242－

21

35,63462,826

Operations by Geographical Segment
Results for FY2023 semi-annual (Dec. 1, 2022 through May 31, 2023)(Millions of yen)JapanThe
Americas

Europe /AfricaAsia

Total

Eliminations Consolidated

Sales to customers

24,053

14,912

16,132

15,54070,638－Interarea transfers

11,444

614

111

1,950

14,121(14,121)－

Total sales

35,497

15,527

16,243

17,49184,759(14,121)70,638Operating income

3,858

2,371

1,706

2,065

10,001

(507)

9,494

70,638Results for FY2024 semi-annual (Dec. 1, 2023 through May 31, 2024)(Millions of yen)JapanThe
Americas

Europe /Africa

Asia

Total

Eliminations Consolidated

Sales to customers

24,465

17,626

18,47817,097

77,667－

Interarea transfers

11,693365268

1,789

14,116(14,116)－Total sales

36,15817,992

18,746

18,887

91,784(14,116)

77,667

Operating income

3,567

2,250

1,863

2,299

9,981

(215)

9,765

Net Sales by Product Segment(Millions of yen)
Product Segment

FY2023 semi-annual

FY2024 semi-annual(12/1/2022 - 5/31/2023)(12/1/2023 - 5/31/2024)

Taps

23,34625,942

End mills

13,426

14,859Drills and other cutting tools

20,431

22,908Subtotal

57,20563,709Rolling dies

5,300

5,611

Gauges937

1,118Machine

2,679

2,655

Other

4,515

4,573Subtotal

7,194

7,229

70,63877,667

Cutting tools

Other
Total

-9-

77,667