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 December 31, 2020
(Based on Japanese GAAP)
February 10, 2021
Company name:

EBARA JITSUGYO CO., LTD.

Stock exchange listing: Tokyo
Stock code:
6328
Representative:
Inquiries:

URL

https://www.ejk.co.jp/President and COO
Managing Executive Officer, Head ofPlanning & Strategy OfficeScheduled date of ordinary general meeting of shareholders:

Toru Abe
Shuji Ohno

TEL03-5565-2885

March 25, 2021

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

March 25, 2021
March 26, 2021

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

Yes
Yes

(Amounts less than one million yen are rounded down)
1. Consolidated financial results for the year ended December 31, 2020 (from January 1, 2020 to December 31, 2020)(1) Consolidated operating results

Percentages indicate year-on-year changes
Profit attributable toOperating profit
Ordinary profit
owners of parent% Millions of yen% Millions of yen% Millions of yen%
6.4
3,214
58.8
3,363
55.0
2,342
54.9
(2.9)
2,024(5.4)
2,169
(3.7)
1,512
(5.5)

Net salesYear ended December 31, 2020
Year ended December 31, 2019

Millions of yen
30,25028,431

Profit attributable toOrdinary profit/total Operating profit/net
owners ofassets
sales
parent/equity
Yen%%%–
14.8
11.1
10.6
–
11.0
7.9
7.1

Diluted earnings pershare

Earnings per share
Yen369.20
229.43

Year ended December 31, 2020
Year ended December 31, 2019(2) Consolidated financial position

Total assets
As of December 31, 2020
As of December 31, 2019

Net assets

Equity ratio

Millions of yen
32,50928,065

Millions of yen
16,703
14,945

Cash flows fromoperating activities
Millions of yen
4,073
717

Cash flows frominvesting activities
Millions of yen
1,037(1,225)

Net assets per share%
51.4
53.3

Yen
2,657.98
2,267.20(3) Consolidated cash flows

Year ended December 31, 2020
Year ended December 31, 2019

Cash flows from
Cash and cash equivalents
at end of period
financing activities
Millions of yen
Millions of yen
(957)
9,381
(428)
5,227

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

Year ended December 31, 2019Year ended December 31, 2020
Year ending December 31, 2021
(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

%%

––

30.00
30.00

––

30.00
80.00

60.00110.00

395691

26.2
29.8

2.9
4.5

–

70.00

–

70.00

140.00135.2

3. Forecast of consolidated financial results for the year ending December 31, 2021 (from January 1, 2021 to December 31, 2021)
Net sales
Full year

Millions of yen
33,000Percentages indicate year-on-year changes
Profit attributable toOperating profit
Ordinary profit
Earnings per shareowners of parent% Millions of yen% Millions of yen% Millions of yen%Yen
9.1
3,400
5.8
3,600
7.0
2,500
6.7
397.81

4. Notes(1) Changes in significant subsidiaries during the year ended December 31, 2020(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 December 31, 2020

6,715,000 shares As of December 31, 2019

6,715,000 shares

430,524 shares As of December 31, 2019

122,867 shares

Number of treasury shares at the end of the period
As of December 31, 2020
Average number of shares during the period
Year ended December 31, 2020

6,344,852 shares Year ended December 31, 20192

6,592,133 shares

Consolidated financial statements
Consolidated balance sheets(Millions of yen)
As of December 31, 2019

As of December 31, 2020

AssetsCurrent assets
Cash and deposits
Notes and accounts receivable - trade

6,408
10,167

9,386
10,804Merchandise and finished goods
Work in process

541
195

660
224

Costs on construction contracts in progress
Raw materials and supplies

647
210

576
435

Other
Allowance for doubtful accounts

150
(1)

210
(1)

18,321

22,296

3,172(1,767)

3,194(1,847)

Buildings and structures, net

1,405

1,346

Machinery, equipment and vehicles
Accumulated depreciation

191(110)

194
(137)

Total current assets
Non-current assets
Property, plant and equipment
Buildings and structures
Accumulated depreciation

Machinery, equipment and vehicles, net

8056631(543)658(573)

87

84

1,360
–

1,356
13

3(3)

3(3)

––

2,934

2,857

154

131

Investments and other assets
Investment securities

5,087

5,715

Insurance funds
Investment property, net

727
679

687
666

Deferred tax assets
Other

14253

13247

Allowance for doubtful accounts

(106)

(106)

Total investments and other assets

6,655

7,224

9,744

10,21328,06532,509Tools, furniture and fixtures
Accumulated depreciation
Tools, furniture and fixtures, net
LandConstruction in progress
OtherAccumulated depreciation
Other, net
Total property, plant and equipment
Intangible assets

Total non-current assets
Total assets3

(Millions of yen)
As of December 31, 2019

As of December 31, 2020

Liabilities
Current liabilities
Notes and accounts payable - trade

8,397

9,946

Short-term borrowings
Income taxes payable

1,090
381

1,090
788

Accrued consumption taxes
Advances received

136
1,056

261
1,411

112
570

152
628

Total current liabilities

11,746

14,278Non-current liabilities
Deferred tax liabilities

Provision for loss on construction contracts
Other

977

1,086

Provision for retirement benefits for directors (and otherofficers)

158

158

Retirement benefit liability
Other

153
83

195
86

Total non-current liabilities

1,374

1,527

13,12015,805

Shareholders' equity
Share capital

1,001

1,001

Capital surplus
Retained earnings

831
10,996831
12,952

Treasury shares

(291)

(862)

12,53813,923

Valuation difference on available-for-sale securities
Remeasurements of defined benefit plans

2,451
(44)

2,811
(31)

Total accumulated other comprehensive income

2,407

2,780

14,94516,703

28,06532,509Total liabilities
Net assets

Total shareholders' equity
Accumulated other comprehensive income

Total net assets
Total liabilities and net assets

4Consolidated statements of income and consolidated statements of comprehensive income
Consolidated statements of income(Millions of yen)
Fiscal year ended
December 31, 2019

Fiscal year ended
December 31, 2020

Net sales
Net sales of finished goods and construction sales
Net sales of goods

21,645
6,786

24,747
5,503

Total net sales

28,431

30,25015,357

16,963

Cost of sales
Cost of finished goods sold and construction sales
Cost of goods sold

5,453

4,276

Total cost of sales

20,81021,240Gross profit-finished goods and construction sales
Gross profit - merchandise

6,287
1,333

7,783
1,227

Total gross profit

7,621

9,010

Selling, general and administrative expenses

5,596

5,795

Operating profit

2,024

3,214

Interest income
Dividend income

186

190

Rental income from investment property
Surrender value of insurance policies

99
1595–

Gross profit

Non-operating income

Other722210

209

Interest expenses
Rental expenses on real estate

839

640

Foreign exchange losses
Loss on cancellation of insurance policies

4993

Total non-operating income
Non-operating expenses

Other

30

Total non-operating expenses

65

61

2,169

3,363

Ordinary profit
Extraordinary income
Gain on sales of non-current assets–

2

Other–

0

Total extraordinary income–3

Loss on valuation of investment securities–

27

Total extraordinary losses

–

27

2,169

3,339

690

1,050

Extraordinary losses

Profit before income taxes
Income taxes - current
Income taxes - deferred(33)(53)Total income taxes

657

997

Profit

1,512

2,342

Profit attributable to owners of parent

1,512

2,3425Consolidated statements of comprehensive income(Millions of yen)

ProfitOther comprehensive income

Fiscal year ended

Fiscal year ended

December 31, 2019

December 31, 2020

1,512

2,342

Valuation difference on available-for-sale securities
Remeasurements of defined benefit plans, net of tax

1,312
28

360
13

Total other comprehensive income

1,340

373

2,853

2,715

2,853

2,715––

Comprehensive income
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 December 31, 2019
(Millions of yen)
Shareholders' equity
Share capital
Balance at beginning of period

Capital surplus

1,001

Retained earnings

831

9,912

Total shareholders'equityTreasury shares(291)

11,454

Changes during period
Dividends of surplus

(428)

(428)

Profit attributable to owners ofparent

1,512

1,512

Purchase of treasury shares–Net changes in items otherthan shareholders' equity
Total changes during period
Balance at end of period––

1,083–

1,083

1,001

831

10,996(291)

12,538

Accumulated other comprehensive income

Balance at beginning of period

Valuation difference on
available-for-salesecurities

Remeasurements ofdefined benefit plans

Total accumulated
other comprehensive
income1,138(72)1,066

Total net assets

12,520Changes during period
Dividends of surplus(428)

Profit attributable to owners ofparent

1,512

Purchase of treasury shares–

Net changes in items otherthan shareholders' equity

1,312

Total changes during period

1,31228

1,340

2,424

Balance at end of period

2,451

(44)

2,407

14,945

28

7

1,340

1,340

Fiscal year ended December 31, 2020
(Millions of yen)
Shareholders' equity
Share capital
Balance at beginning of period

Capital surplus

1,001

Retained earnings

831

10,996

Treasury shares(291)

Total shareholders'equity
12,538Changes during period
Dividends of surplus

(386)

(386)

Profit attributable to owners ofparent

2,342

2,342

Purchase of treasury shares

(571)

(571)

Net changes in items otherthan shareholders' equity
Total changes during period
Balance at end of period

––

1,956

(571)

1,385

1,001

831

12,952(862)

13,923

Accumulated other comprehensive income

Balance at beginning of period

Valuation difference on
available-for-salesecurities

Remeasurements ofdefined benefit plans

Total accumulated
other comprehensive
income

2,451

(44)

2,407

Total net assets

14,945

Changes during period
Dividends of surplus(386)

Profit attributable to owners ofparent

2,342

Purchase of treasury shares(571)

Net changes in items otherthan shareholders' equity

360

13373

373

Total changes during period

360

13373

1,758

Balance at end of period

2,811(31)2,780

16,7038Consolidated statements of cash flows(Millions of yen)

Cash flows from operating activities
Profit before income taxes

Fiscal year ended

Fiscal year ended

December 31, 2019

December 31, 2020

2,169

3,339

Depreciation
Increase (decrease) in allowance for doubtful accounts

197(0)

205(0)

Increase (decrease) in provision for loss on construction
contracts(2)

39

Increase (decrease) in retirement benefit liability
Interest and dividend income

54(87)

60(91)

Interest expensesInsurance claim income

8–

6(10)

Loss (gain) on cancellation of insurance policies
Loss (gain) on sales of property, plant and equipment

(6)
–

3
(2)

Decrease (increase) in trade receivables
Decrease (increase) in inventories

319
205

(636)
(300)

Increase (decrease) in trade payables
Increase (decrease) in advances received(1,056)
(334)

1,548
354

(15)
(60)

124
(1)

1,389

4,638

86
–

91
10

Interest paid
Income taxes paid

(7)
(751)

(6)
(660)

Net cash provided by (used in) operating activities

717

4,073Cash flows from investing activities
Net decrease (increase) in forced deposits(1,175)

1,175

Purchase of property, plant and equipment
Purchase of intangible assets

(89)
(102)

(83)
(7)

Purchase of investment securities
Proceeds from redemption of investment securities(37)0(138)
0

Proceeds from cancellation of insurance funds
Collection of loans receivable

236
055
30

Decrease/increase in consumption taxes receivable/payable
Other, net
SubtotalInterest and dividends received
Proceeds from insurance income

Other, net
Net cash provided by (used in) investing activities

9(58)

5(1,225)

1,037

(Millions of yen)
Fiscal year ended

Fiscal year ended

December 31, 2019

December 31, 2020

Cash flows from financing activities
Dividends paid

(428)

(386)

Purchase of treasury shares
Other, net

–(0)

(571)
–(428)(957)

Net increase (decrease) in cash and cash equivalents

Net cash provided by (used in) financing activities

(937)

4,153

Cash and cash equivalents at beginning of period

6,165

5,227

Cash and cash equivalents at end of period

5,227

9,381

10