Member of Financial Accounting Standards Foundation

Financial Report for Fiscal Year ended March 31, 2024 [Japanese GAAP] (Consolidated)
May 14, 2024
Company name: Unitika Ltd.
Listed stock exchange: Tokyo Stock Exchange
Code number: 3103 URL: https://www.unitika.co.jp/e/home.htm
Representative: Shuji Ueno, President and Chief Executive Officer
Contact: Masumi Fujimoto, General Manager of Accounting Department
TEL: +81-6-6281-5721
Expected date for holding a regular shareholders meeting: June 27, 2024
Expected date for submitting securities report: June 27, 2024
Expected commencement date for paying dividend: –Preparation of the attachment of Financial Report: Yes
Holding of a results presentation: Yes (for securities analysts and institutional investors)(Figures rounded down to nearest million yen.)

1. Consolidated performance for fiscal year ended March 31, 2024 (April 1, 2023 to March 31, 2024)(1) Consolidated business results(Percentages represent changes from same period in previous year.)Net sales

Operating profit

Millions of yen

FY ended March 31, 2024
FY ended March 31, 2023
(Note) Comprehensive income% Millions of yen

Profit attributable toowners of parent

Ordinary profit% Millions of yen% Millions of yen

118,3410.3(2,475)—(1,014)—
117,9422.8
1,327(77.9)
1,069(83.3)FY ended March 31, 2024: (5,387) million yen (—%)
FY ended March 31, 2023: 1,975 million yen (−34.7%)
Diluted profit per
Return on equity
Return on asset
Profit per share
share
Yen

FY ended March 31, 2024
(94.41)
FY ended March 31, 2023
(3.13)(Reference) Equity in earnings/losses of affiliates

Yen

%

—
(13.8)—
0.2
FY ended March 31, 2024: 6 million yen
FY ended March 31, 2023: 17 million yen(2) Consolidated financial situation

Total assets

Net assets

Millions of yen

Millions of yen

Capital adequacy ratio%

Millions of yen

Millions of yen

8,169
509

(7,541)(8,092)(279)(1,657)

2. Dividend payment

FY ended March 31, 2023
FY ended March 31, 2024
FY ending March 31, 2025
(forecast)

Cash flows fromfinancing activities

Millions of yen

FY ended March 31, 2024
FY ended March 31, 2023

Annual dividend per share
End of Q1

End of Q2

End of Q3

Yen

Yen

Yen

Year end

%

(2.1)
1.1

Net assets per share

Yen

19.7
22.2

(3) Consolidated cash flows situation
Cash flows frominvesting activities

%

Total

Yen

Yen




0.00
0.00




0.00
0.00

0.00
0.00



0.00



0.00

0.00

%

—
(95.4)

Ratio of operating
profit to sales

(0.5)
0.6

FY ended March 31, 2024
186,333
38,247
FY ended March 31, 2023
190,003
43,918(Reference) Shareholders’ equity: FY ended March 31, 2024: 36,764 million yen
FY ended March 31, 2023: 42,110 million yen
Cash flows fromoperating activities(5,443)102

244.21332.02

Balance of cash andcash equivalents atperiod end

Millions of yen

10,187
9,612

Annualdividends paid
(Total)Dividend
payout ratio(consolidated)

Dividend ratioof net assets(consolidated)










Millions of yen

%

%



(Note) The abovementioned Dividend payment refers to dividends paid to the holders of common stock. For details of dividend payment to the holdersof classified shares (unlisted), the rights of which are different from those of common stock, please refer to Dividend payment to the holders ofclassified shares mentioned below.

3. Forecast of consolidated performance for fiscal year ending March 31, 2025 (April 1, 2024 to March(Percentages represent changes from same period in previous year.)31, 2025)
Net sales
Millions of yen

Operating profit% Millions of yen

Ordinary profit% Millions of yen

1st half of FY ending March
31, 2025 (cumulative)

58,000

(0.1)

1,100

—

400

FY ending March 31, 2025

120,000

1.4

3,000

—

1,400

Profit attributable toowners of parent

Profit per
share

Millions of yen

%

353.2

200

—

3.47

—

400

—

6.94

%

Yen

(Note) Unitika Ltd. calculated profit per share excluding the impact of dividend payment to the holders of class shares since theCompany refrained from announcing the forecast of year-end dividends on class shares for the fiscal year ending March 2025.

* Notes(1) Changes in significant subsidiaries during the period (changes in specified subsidiaries accompanying change ofscope of consolidation): No
New companies: — (company name)
Excluded companies: — (company name)(2) Changes in accounting policies, changes in accounting estimates and retrospective restatement(i) Changes in accounting policies due to revisions of accounting standards: No(ii) Changes of accounting policies other than the above: No(iii) Changes in accounting estimates: No(iv) Retrospective restatement: No(3) Number of shares outstanding (Common stock)(i) Number of shares outstanding at end of term (including treasury share):Fiscal year ended March 31, 2024: 57,752,343 sharesFiscal year ended March 31, 2023: 57,752,343 shares(ii) Number of treasury shares at end of term:
Fiscal year ended March 31, 2024: 96,907 sharesFiscal year ended March 31, 2023: 96,504 shares(iii) Average number of shares outstanding during the term:
Fiscal year ended March 31, 2024: 57,655,615 sharesFiscal year ended March 31, 2023: 57,656,240 shares(Reference) Summary of non-consolidated performanceNon-consolidated performance for fiscal year ended March 31, 2024 (April 1, 2023 to March 31, 2024)(Percentages represent changes from same period in previous year.)(1) Non-consolidated business results
Net sales

FY ended March 31, 2024
FY ended March 31, 2023

Millions of yen

76,99678,094

%

(1.4)
0.8

Profit per share
FY ended March 31, 2024
FY ended March 31, 2023

Operating profit
Millions of yen

%

(928)

2,381 (58.9)

Total assets

Millions of yen

1,754
3,094

Diluted profit per share

Yen(44.86)25.47(2) Non-consolidated financial situation

Ordinary profit

Millions of yen%(43.3)(50.7)

ProfitMillions of yen%(2,586)
1,751


9.0

Yen


14.13

Net assets

Millions of yen

FY ended March 31, 2024
173,697
38,734
FY ended March 31, 2023
172,432
41,219(Reference) Shareholders’ equity: FY ended March 31, 2024: 38,734 million yen
FY ended March 31, 2023: 41,219 million yen

Capital adequacy ratio

%

22.3
23.9

Net assets per shareYen

278.39316.57* The financial report is not subject to audit procedures by a certified public accountant or an independent
auditor.
* Explanation on appropriate use of forecasts of performance and other special items(Note on forward-looking statements)
The forward-looking statements in this document concerning forecasting of performance, etc. are based on currently available
information and assumptions considered by the Company to be reasonable. Such statements are neither promises nor guarantees of
future performance. The actual performance may be significantly different from forecasts due to various factors. Concerning
assumptions used as a basis for forecasting business performance and precautionary statements when using the forecast of performance,
please refer to 1. Overview of Business Performance (4) Future forecast on page 3 of the attachment.
(Method to obtain information on the presentation of financial results)
The Company plans to hold a results presentation conference call for securities analysts and institutional investors on Tuesday, May 21, 2024. It plans
to post on its website supplementary documents to the financial results to be distributed at the results presentation.

Dividend payment to the holders of classified shares
The breakdown of dividends per share related to classified shares, the rights of which are different from those ofcommon stock, is as follows:
Annual dividends
End of Q1
Class A share
FY ended March 31, 2023
FY ended March 31, 2024——

FY ending March 31, 2025 (forecast)—Class B share
FY ended March 31, 2023
FY ended March 31, 2024

Yen

Yen

—
—

End of Q2

End of Q3

Yen

0.00
0.00

—
—

0.00

—

Yen

0.00
0.00

Year end

Yen

Yen

—
—

Total

Yen

Yen

12,000.00
0.00

12,000.00
0.00

—

—
Yen

Yen

23,740.00
0.00

23,740.00
0.00

FY ending March 31, 2025 (forecast)
—
0.00
—
—
—
(Note) Revision of the latest dividend forecast: Yes
Unitika Ltd. decided to suspend payment of year-end dividends on class shares for the fiscal year ended March 2024,
considering its business performance in the consolidated fiscal year under review and financial situation at the end of the
fiscal year.
In addition, the Company refrained from announcing the forecast of year-end dividends for the fiscal year ending March
2025.

Unitika Ltd. (3103) Financial Report for Fiscal Year ended March 31, 2024

 Table of contents for the attachment
1. Overview of Business Performance.......................................................................................................................... 2(1) Overview of business performance of the year ................................................................................................... 2(2) Overview of financial position............................................................................................................................ 3(3) Overview of cash flow ........................................................................................................................................ 3(4) Future forecast .................................................................................................................................................... 3(5) Basic policy for profit distribution and dividends for the fiscal year ended March 31, 2024 and the fiscal year
ending March 31, 2025 ....................................................................................................................................... 3
2. Basic Approach to the Selection of Accounting Standards ...................................................................................... 4
3. Consolidated Financial Statements and Major Notes to Consolidated Financial Statements................................... 5(1) Consolidated balance sheets ............................................................................................................................... 5(2) Consolidated income statement and consolidated comprehensive income statement ........................................ 7(Consolidated income statement) ........................................................................................................................ 7(Consolidated comprehensive income statement) ............................................................................................... 8(3) Consolidated statements of changes in net assets ............................................................................................... 9(4) Consolidated statements of cash flow ............................................................................................................... 11(5) Notes on consolidated financial statements ...................................................................................................... 12(Notes on going concern assumption) ............................................................................................................... 12(Notes on significant changes in the amount of shareholders’ equity) ............................................................. 12(Segment information, etc.)............................................................................................................................... 13(Per share information) ..................................................................................................................................... 15(Material subsequent events)............................................................................................................................. 15
4. Supplemental Materials .......................................................................................................................................... 16- 1 -Unitika Ltd. (3103) Financial Report for Fiscal Year ended March 31, 2024

1. Overview of Business Performance(1) Overview of business performance of the year
During the consolidated fiscal year under review (April 1, 2023 to March 31, 2024), looking at the domestic economy, thepersonal services industry, such as tourism and food services, enjoyed a robust business environment, supported by anincrease in customer traffic and a pickup in the number of inbound tourists to Japan. On the other hand, the manufacturingindustry suffered from the impact of cost increases due to soaring energy prices and a further decline in the value of the yen
and stagnation in personal consumption associated with a rise in prices. In addition, consumer demand was weak in overseas
markets, such as China and Europe, because of business slowdown. Accordingly, the outlook of the Japanese economy
remained uncertain.
Under these circumstances, the Unitika Group announced in May 2023 “G-STEP30, 2nd,” a new medium-term management
plan and implemented measures consisting of “Rebuilding the business portfolio,” “Promotion of global business,” and“Improvement of the business foundation,” the basic policies of the new medium-term management plan. However, theGroup was forced to report very disappointing results since its measures came too late to cope with changes in the businessenvironment, including a fall in demand caused by price increases and intensifying sales competition overseas, mainly inSoutheast Asia.
Consequently, in the consolidated fiscal year under review, the Unitika Group reported net sales of 118,341 million yen (up0.3% year on year) and an operating loss of 2,475 million yen (versus an operating profit of 1,327 million yen in the previous
consolidated fiscal year). With the progress of yen depreciation, the Group posted foreign exchange valuation gains on
foreign currency-denominated assets of 2,595 million yen, resulting in an ordinary loss of 1,014 million yen (versus an
ordinary profit of 1,069 million yen in the previous consolidated fiscal year). Furthermore, loss attributable to owners ofparent was 5,443 million yen (versus profit attributable to owners of parent of 102 million yen in the previous consolidated
fiscal year), since the Unitika Group recorded an impairment loss of 3,872 million yen on business assets of the Non-woven
Fabrics business, the Industrial Fibers business, the Garments, Lifestyle Materials and Bedding business.
Here is an overview of the business results by segment.
The Unitika Group changed the reporting segment of some consolidated subsidiaries in the consolidated fiscal year underreview. Therefore, the Group reported financial results for the corresponding year-earlier period retrospectively restatedbased on the segment classification after the change for comparison purposes. For details, please refer to 3. Consolidated
Financial Statements and Main Notes (5) Notes on consolidated financial statements to Consolidated Financial Statements(Segment information, etc.).
[Polymers Segment]
In the Polymers Segment, sales volume decreased due to sluggish demand and the impact of inventory adjustment in the
supply chain. In addition, profitability declined because the impact of continuing high raw material and fuel prices and thecost increase associated with a production decline exceeded the effect of price revisions.
In the Films business, looking at packaging applications, sales of food packaging films fell due to sluggish consumption offood products caused by inflation. On the other hand, sales of “EMBLEM-HG,” a barrier nylon film, grew steadily since
the product’s outstanding gas barrier performance was appreciated. For industrial applications, sales of films mainly usedin the manufacturing process of electric and electronic products fell. Furthermore, the profitability of nylon films declined
since an inflow of low-priced competing goods from China caused sales unit prices to decline in the Southeast Asia market.
Accordingly, the Films business saw net sales increase but operating profit decrease.
In the Plastics business, the sales volume of engineering plastics diminished, principally due to weak demand in China. The
business revised sales prices since raw material and fuel prices remained at a high level. However, sales and profitability
decreased due to the impact of a production decrease associated with poor sales. Sales of functional plastics for adhesive
agents and coating materials were robust. In addition, sales of environmentally friendly materials, such as recycled materials,
grew. Accordingly, the Plastics business saw net sales grow but operating profit decline.
Consequently, the Polymers Segment saw net sales increase but operating profit decrease. The segment posted an operating
profit of 603 million yen (down 81.7% year on year) on net sales of 51,074 million yen (up 2.2% year on year).
[Performance Materials Segment]
In the Performance Materials Segment, sales continued to decline for many applications, despite signs of recovery indemand for some applications. Profitability deteriorated because the impact of continuing high raw material and fuel prices
and the cost increase associated with a production decline exceeded the effect of the price revisions. Accordingly, thesegment posted an operating loss.
In the Activated Carbon Fibers business, sales for mainstay water purifier and other applications were weak, although salesof VOC (volatile organic compounds) removal sheets were strong for air purification applications.
In the Glass Fibers business, sales in the industrial material sector remained robust for all applications. Sales of IC cloth in
the electronic material sector recovered due to a pickup in some semiconductor market conditions. However, profitability
deteriorated owing to a rise in costs caused by a production decrease for inventory adjustment.
In the Glass Beads business, sales for road and retroreflective material applications decreased, but sales of value-added
products increased for industrial applications. In addition, profitability improved due to price revision and the effect of cost
reduction efforts for each application.
In the Non-woven Fabrics business, sales declined since demand was sluggish across a wide range of sectors, including
building construction, primary industry, and general consumer goods applications. Although the business revised sales
prices to cope with the cost increase caused by soaring raw material and fuel prices, the effect of a fall in sales exceeded
the contribution of price increase.
In the Industrial Fibers business, sales for filter applications and export sales of products differentiated from competitors’
ones were steady, but the business fought an uphill battle in sales of High-strength polyester yarn for civil engineering andconstruction applications.

- 2 -Unitika Ltd. (3103) Financial Report for Fiscal Year ended March 31, 2024

Consequently, the Performance Materials Segment saw both net sales and operating profit decrease. The segment posted
an operating loss of 2,478 million yen (versus an operating loss of 535 million yen in the previous consolidated fiscal year)
on net sales of 34,206 million yen (down 0.6% year on year).
[Fibers and Textiles Segment]
In the Garments, Lifestyle Materials and Bedding business, demand for uniform applications, a mainstay of this business,and general clothing applications, such as women’s clothing, mostly remained steady despite a slight slowdown in thesecond half. On the other hand, sales in the bedding and sport clothing sectors were sluggish. In the overseas business,
export sales of denim fabric decreased. In the Industrial Materials business, sales declined due to slower recovery of demand
for automobile and electric and electronic applications. Operating loss decreased from the previous year since the businesssaw profitability improve further as a result of efforts not only to revise its product prices but also to reduce costs.
Consequently, the Fibers & Textiles Segment posted an operating loss of 523 million yen (versus an operating loss of 1,354
million yen in the previous consolidated fiscal year) on net sales of 33,004 million yen (down 1.4% year on year).
[Others]
The Others category posted an operating loss of 87 million yen (versus an operating loss of 69 million yen in the previous
consolidated fiscal year) on net sales of 54 million yen (down 20.0% year on year)(2) Overview of financial position
Total assets decreased by 3,670 million yen from the end of the previous consolidated year to 186,333 million yen mainly
due to a decline in inventories and property, plant and equipment.
Liabilities increased by 2,000 million yen from the end of the previous consolidated year to 148,085 million yen. This wasprimarily due to a rise in notes and accounts payable-trade.
Net assets declined by 5,670 million yen from the end of the previous consolidated year to 38,247 million yen. This was
mainly due to a fall in capital surplus caused by the posting of loss attributable to owners of parent.
(3) Overview of cash flow
Cash and cash equivalents (hereinafter referred to as “net cash”) as of March 31, 2024 increased by 575 million yen fromthe end of the previous consolidated year to 10,187 million yen.
(Net cash provided by [used in] operating activities)
Net cash provided by operating activities amounted to 8,169 million yen during the consolidated fiscal year under review(versus 509 million yen in the previous consolidated fiscal year) mainly due to a decrease in inventories despite theposting of a loss before income taxes.
(Net cash provided by [used in] investing activities)
Net cash used in investing activities amounted to 7,541 million yen during the consolidated fiscal year under review(versus 8,092 million yen used in the previous consolidated fiscal year) mainly due to the posting of expenses related tocapital expenditures.
(Net cash provided by [used in] financing activities)
Net cash used in financing activities amounted to 279 million yen during the consolidated fiscal year under review (versus
1,657 million yen used in the previous consolidated fiscal year) mainly due to repayment of borrowings despite proceedsfrom sale and leaseback transactions.
(4) Future forecast
The fiscal year ended March 2024 was the initial year of “G-STEP30, the 2nd,” a three-year medium-term management plan.
However, the Unitika Group reported an operating loss, and overall, very unsatisfactory results that diverged vastly from its
targets in its medium-term management plan. Behind this outcome, there were several factors, such as cost increases due tocontinuing high raw material and fuel prices and the yen’s depreciation and a decline in demand at home and abroad. The
management team considered that a primary reason for the poor results was the Group’s failure to sufficiently deal with thesefactors.
Pulling the Company back into the black is “absolutely number one” on its list of priorities.
Specifically, Unitika Ltd. will make unceasing efforts to reduce costs and slash expenses, revise sales prices for improving
profit margins, and expand sales of higher value added multifunctional products to enhance profitability.
The Group forecasts that it will post net sales of 120,000 million yen, operating profit of 3,000 million yen, ordinary profitof 1,400 million yen, and profit attributable to owners of parent of 400 million yen in the fiscal year ending March 31, 2025.
(5) Basic policy for profit distribution and dividends for the fiscal year ended March 31, 2024 and the fiscal year ending
March 31, 2025
The Unitika Group considers profit distribution to its shareholders to be an important aspect of its business, but management
intends to suspend payment of dividends on common stock and class shares for the fiscal year ended March 31, 2024, giving
due consideration to the business results and financial situation at the end of the fiscal year.
For the future, Unitika’s basic dividend policy is to conduct profit distribution to shareholders in line with the Company’s
financial results. At the same time, the Company will decide dividend payment after sufficiently improving its financial- 3 -Unitika Ltd. (3103) Financial Report for Fiscal Year ended March 31, 2024

position and enhancing internal reserves to secure profit for shareholders from a long-term perspective.

2. Basic Approach to the Selection of Accounting Standards
The Unitika Group adopts Japanese Accounting Standards (Japanese GAAP), since the Group intends to ensure thecomparability of performance with competitors in Japan.

- 4 -Unitika Ltd. (3103) Financial Report for Fiscal Year ended March 31, 2024

3. Consolidated Financial Statements and Major Notes to Consolidated Financial Statements(1) Consolidated balance sheets
Previous consolidated
fiscal year
(March 31, 2023)
AssetsCurrent assets
Cash and deposits
Notes receivable-trade
Accounts receivable-trade
Inventories
Other
Allowance for doubtful accounts
Total current assets
Non-current assets
Property, plant and equipment
Buildings and structures, net
Machinery, equipment and vehicles, net
Tools, furniture and fixtures, net
Land
Leased assets, net
Construction in progress
Total property, plant and equipment
Intangible assets
Other
Total intangible assets
Investments and other assets
Investment securities
Investments in capital
Long-term loans receivable
Retirement benefit asset
Deferred tax assets
Other
Allowance for doubtful accounts
Total investments and other assets
Total non-current assets
Total assets- 5 -(Unit: Millions of yen)
Current consolidated
fiscal year
(March 31, 2024)

10,5483,094
20,01035,7395,506(53)
74,845

11,206
2,945
21,28033,1614,227(48)
72,773

13,88025,996
1,019
62,605
49
4,761
108,313

12,17826,159881
62,706
76
4,509
106,512

2,171
2,171

1,924
1,924

2,608
8
95
28
250
1,792
(110)
4,673
115,158
190,003

3,169
8
59
22
387
1,587
(112)
5,123
113,559
186,333

Unitika Ltd. (3103) Financial Report for Fiscal Year ended March 31, 2024

Previous consolidated
fiscal year
(March 31, 2023)
Liabilities
Current liabilities
Notes and accounts payable-trade
Short-term borrowings
Current portion of long-term borrowings
Lease liabilities
Income taxes payable
Contract liabilities
Provision for bonuses
Provision for product repair
Other
Total current liabilities
Non-current liabilities
Long-term borrowings
Lease liabilities
Deferred tax liabilities
Deferred tax liabilities for land revaluation
Retirement benefit liability
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-sale securities
Deferred gains or losses on hedges
Revaluation reserve for land
Foreign currency translation adjustment
Remeasurements of defined benefit plans

Total accumulated other comprehensive income
Non-controlling interests
Total net assets
Total liabilities and net assets- 6 -(Unit: Millions of yen)

Current consolidated
fiscal year
(March 31, 2024)

15,269
4,124
2,643
71
202
326
1,554
35
8,749
32,977

17,100
3,085
2,629
417
274
855
1,372
35
8,897
34,66786,671
307
8,450
3,139
14,375
164
113,107
146,085

86,434
1,368
8,461
3,139
13,886
127
113,417
148,085100
11,476
27,467(57)
38,986100
11,476
21,740(57)
33,259544
4
6,244(3,452)
(217)

929
5
6,244
(4,537)
862

3,123

3,504

1,808
43,918190,003

1,483
38,247
186,333

Unitika Ltd. (3103) Financial Report for Fiscal Year ended March 31, 2024

(2) Consolidated income statement and consolidated comprehensive income statement(Consolidated income statement)(Unit: Millions of yen)

Net sales
Cost of sales
Gross profit
Selling, general and administrative expenses
Operating profit (loss)
Non-operating income
Interest income
Dividend income
Share of profit of entities accounted for using equity method
Foreign exchange gains
Other
Total non-operating income
Non-operating expenses
Interest expenses
Other
Total non-operating expenses
Ordinary profit (loss)
Extraordinary income
Gain on sales of non-current assets
Gain on sales of investment securities
Total extraordinary income
Extraordinary losses
Impairment loss
Loss on disposal of non-current assets
Business restructuring expenses
Total extraordinary losses
Profit (loss) before income taxes
Income taxes-current
Income taxes-deferred
Total income taxes(Loss)(Loss) attributable to non-controlling interests
Profit (loss) attributable to owners of parent- 7 -Previous consolidated
fiscal year
(April 1, 2022 toMarch 31, 2023)
117,942
94,126
23,81622,489
1,327

Current consolidated
fiscal year
(April 1, 2023 toMarch 31, 2024)
118,341
99,45818,882
21,358(2,475)

36
62
17
1,395
420
1,932

48
65
6
2,595
381
3,097

1,051
1,138
2,190
1,069

1,112
523
1,636
(1,014)

299
395
694

1
10
11

—
873
154
1,027
736
416
338
755
(18)
(121)
102

3,872
606
79
4,558
(5,560)
465
(290)
175
(5,736)(292)(5,443)

Unitika Ltd. (3103) Financial Report for Fiscal Year ended March 31, 2024

(Consolidated comprehensive income statement)(Loss)
Other comprehensive income
Valuation difference on available-for-salesecurities
Deferred gains or losses on hedges
Foreign currency translation adjustment
Remeasurements of defined benefit plans,
net of tax
Total other comprehensive income
Comprehensive income(Comprehensive income attributable to)Comprehensive income attributable to owners ofparentComprehensive income attributable tonon-controlling interests

Previous consolidated
fiscal year
(April 1, 2022 toMarch 31, 2023)
(18)

- 8 -

(Unit: Millions of yen)

Current consolidated
fiscal year
(April 1, 2023 toMarch 31, 2024)(5,736)

109

384

5
887

1
(1,117)

990

1,079

1,994
1,975

348
(5,387)

1,941(5,062)33(324)

Unitika Ltd. (3103) Financial Report for Fiscal Year ended March 31, 2024

(3) Consolidated statements of changes in net assets
Previous consolidated fiscal year (April 1, 2022 to March 31, 2023)(Unit: Millions of yen)

Shareholders’ equity
Share capital
Balance at beginning of period

Capital surplus
100

Retained earnings

12,301

Total shareholders’equityTreasury shares

27,597(57)

39,942

Changes in items during period
Dividends of surplus

(302)

(302)

Profit attributable to owners of parent

102

102

Purchase of treasury shares
Cancellation of treasury shares(825)

Reversal of revaluation reserve for land

(825)

(825)

825

—

69

69

Net changes in items other thanshareholders’ equity
Total changes in items during period

—

(825)

(130)

(0)

(955)

Balance at end of period

100

11,476

27,467(57)

38,986

Accumulated other comprehensive income

Balance at beginning of period

Valuationdifference on
available-forsale securities

Deferred
gains orlosses onhedges

Revaluation
reserve for
land

435

(1)

6,313

Total
NonForeign
Reaccumulated
controllingcurrency measurements
otherof definedinterests
translation
comprehenadjustment benefit plans
sive income(4,184)(1,208)

1,354

1,774

Total net
assets

43,071

Changes in items during period
Dividends of surplus(302)

Profit attributable to owners of parent

102

Purchase of treasury shares(825)

Cancellation of treasury shares—

Reversal of revaluation reserve for land69

Net changes in items other thanshareholders’ equity

109

5

(69)

732

990

1,769

33

1,803

Total changes in items during period

109

5

(69)

732

990

1,769

33

847

Balance at end of period

544

4

6,244

(3,452)

(217)

3,123

1,808

43,918- 9 -Unitika Ltd. (3103) Financial Report for Fiscal Year ended March 31, 2024

Current consolidated fiscal year (April 1, 2023 to March 31, 2024)(Unit: Millions of yen)

Shareholders’ equity
Share capital
Balance at beginning of period

Capital surplus
100

Retained earnings

11,476

Total shareholders’equityTreasury shares

27,467(57)

38,986

Changes in items during period
Dividends of surplus（Loss) attributable to owners ofparent

(283)

(283)

(5,443)(5,443)Purchase of treasury shares
Cancellation of treasury shares

(0)

(0)

0

0

(0)

Net changes in items other thanshareholders’ equity
Total changes in items during
period—(0)(5,726)(0)(5,726)

Balance at end of period

100

11,476

21,740(57)

33,259

Accumulated other comprehensive income
Valuationdifference on
available-forsale securities
Balance at beginning of period

544

Deferred
gains orlosses onhedges4

Revaluation
reserve forland

Foreigncurrencytranslation
adjustment

Remeasurementsof defined
benefit plans

Total
accumulated
othercomprehensive income

Noncontrollinginterests

Total net
assets6,244(3,452)

(217)

3,123

1,808

43,918Changes in items during period
Dividends of surplus(283)（Loss) attributable to owners ofparent(5,443)Purchase of treasury shares(0)Cancellation of treasury shares0

Net changes in items other thanshareholders’ equity384

1

Total changes in items during
period384

1Balance at end of period929

5(1,085)

1,079

380

(324)

56

—

(1,085)

1,079

380

(324)

(5,670)6,244(4,537)

862

3,504

1,483

38,247- 10 -

Unitika Ltd. (3103) Financial Report for Fiscal Year ended March 31, 2024

(4) Consolidated statements of cash flow

(Unit: Millions of yen)Previous consolidated
fiscal year
(April 1, 2022 toMarch 31, 2023)
Cash flows from operating activities
Profit (loss) before income taxes
Depreciation
Impairment loss
Business restructuring expenses
Increase (decrease) in allowance for doubtful accounts
Increase (decrease) in retirement benefit liability
Increase (decrease) in provision for product repair
Increase (decrease) in other provisions
Interest expenses
Foreign exchange losses (gains)
Loss (gain) on disposal of non-current assets
Loss (gain) on sales of non-current assets
Loss (gain) on sales of investment securities
Decrease (increase) in trade receivables
Decrease (increase) in inventories
Increase (decrease) in trade payables
Other, net
SubtotalInterest and dividends received
Interest paid
Income taxes paid
Net cash provided by (used in) operating activities
Cash flows from investing activities
Decrease (increase) in time deposits
Purchase of investment securities
Proceeds from sales of investment securities
Purchase of property, plant and equipment
Proceeds from sales of property, plant and equipment
Payments for retirement of property, plant and equipment
Other, net
Net cash provided by (used in) investing activities
Cash flows from financing activities
Net increase (decrease) in short-term borrowings
Proceeds from long-term borrowings
Repayments of long-term borrowings
Dividends paid
Proceeds from sale and leaseback transactions
Purchase of treasury shares (classified shares)
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 period
Cash and cash equivalents at end of period

736
5,421
—
154
(27)
678
(0)
(191)
1,051
(1,395)
873
(299)
(395)
6,648
(6,045)(1,571)(2,880)2,756
98(1,055)(1,290)509(5,560)
6,137
3,872
79
(3)
556
(0)
(182)
1,112
(2,595)
606
(1)
(10)
(969)
2,816
1,613
1,609
9,080
114
(1,130)
104
8,169

58
(11)
438
(7,958)
472
(565)
(526)
(8,092)

(41)
(11)
15
(6,671)
11
(448)
(394)
(7,541)

2,059
89,173(91,682)(302)(1,092)
2,402(2,653)
(283)
1,764

—

(825)
(79)
(1,657)437(8,803)
18,415
9,612- 11 -

Current consolidated
fiscal year
(April 1, 2023 toMarch 31, 2024)

—

(416)
(279)
226
575
9,612
10,187

Unitika Ltd. (3103) Financial Report for Fiscal Year ended March 31, 2024

(5) Notes on consolidated financial statements(Notes on going concern assumption)
Not applicable.
(Notes on significant changes in the amount of shareholders’ equity)
Not applicable.

- 12 -

Unitika Ltd. (3103) Financial Report for Fiscal Year ended March 31, 2024

(Segment information, etc.)[Segment Information]
1. Summary of reportable segment

Unitika’s reportable segments are components of the Company for which separate financial information is available.
These segments are subject to regular reviews by the Board of Directors to decide the distribution of managerial
resources and evaluate business results.

The Company sets up divisions by product and service in its head office. Each division formulates comprehensive
domestic and overseas strategies for its products and services and conducts business activities according to thestrategies. Unitika consists of segments by product and service based on divisions. The following three are its reportablesegments: Polymers, Performance Materials, and Fibers & Textiles. The Polymers segment manufactures and markets
films and resins. The Performance Materials segment makes and sells glass fibers, nonwoven fabrics and so on. The
Fibers & Textiles segment makes and distributes various types of fibers (threads, cotton, textiles, fabrics and the like).

2. Methods to calculate the amount of net sales, profit or loss, assets and other items by reportable segment
Methods of accounting treatment of reported business segments are pursuant to accounting policies adopted for
preparation of consolidated financial statements.
Inter-segment earnings and transfers are based on prevailing market prices.

3. Information on the amount of net sales, profit or loss, assets and other items by reportable segment
Previous consolidated fiscal year (April 1, 2022 to March 31, 2023)
Reportable segment
Performance Fibers &Polymers
Materials
Textiles

Total

Other
(Note 1)

Total

(Unit: Millions of yen)Amountposted inConsoliAdjustment
dated(Note 2)
financialstatements(Note 3)

Net sales
Net sales to outside
49,99334,42033,460117,874
68
117,942—
117,942
customers
Inter-segment sales or
5,889
1,945
160
7,996
—
7,996
(7,996)—transfer
Total
55,88336,36533,621
125,870
68
125,939(7,996)
117,942
Segment income (loss)
3,294
(535)
(1,354)
1,404
(69)
1,334
(7)
1,327
Segment assets
97,20862,23921,389180,837
297
181,135
8,868
190,003
Other items
Depreciation and
3,006
1,349
186
4,542
4
4,547
874
5,421
amortization
Increase in property, plantand equipment and
4,256
2,104
269
6,631
27
6,658
1,596
8,254
intangible assets(Notes) 1. The Other segment includes business segments that are not included in reportable segments.
2. Adjustment details are as follows.
(1) Adjustment of (7) million yen for Segment income (loss) is attributable to the elimination of inter-segment transactions andthe adjustment of inventories.
(2) Adjustment of 8,868 million yen for Segment assets includes investment of surplus funds (cash and deposits) by the parent
company, long-term investment funds (investment securities) and assets, etc. related to the Administration and the Researchand Development Division of the parent company.
(3) Adjustment of 874 million yen for Depreciation and amortization is depreciation and amortization of common assets thatare not allocated to each reportable segment.
(4) Adjustment of 1,596 million yen for Increase in property, plant and equipment and intangible assets is an increase incommon assets that are not allocated to each reportable segment.
3. Segment income (loss) is adjusted with operating profit in the consolidated income statement.

- 13 -

Unitika Ltd. (3103) Financial Report for Fiscal Year ended March 31, 2024

Current consolidated fiscal year (April 1, 2023 to March 31, 2024)
Reportable segment
Performance Fibers &Polymers
TextilesMaterials

Total

Other
(Note 1)

Total

(Unit: Millions of yen)Amountposted inConsoliAdjustment
dated(Note 2)
financialstatements(Note 3)

Net sales
Net sales to outside
51,07434,20633,004
118,286
54
118,341—
118,341
customers
Inter-segment sales or
5,305
1,731
98
7,135
—
7,135
(7,135)—transfer
Total
56,38035,937
33,102
125,42154
125,476(7,135)
118,341
Segment income (loss)
603(2,478)(523)(2,399)(87)(2,486)
11(2,475)
Segment assets
94,131
58,27525,632
178,038257
178,296
8,036
186,333
Other items
Depreciation and
3,820
1,323
186
5,330
5
5,335
801
6,137
amortization
Increase in property, plantand equipment and
4,266
2,121
178
6,565
11
6,577
655
7,232
intangible assets(Notes) 1. The Other segment includes business segments that are not included in reportable segments.
2. Adjustment details are as follows.
(1) Adjustment of 11 million yen for Segment income (loss) is attributable to the elimination of inter-segment transactions andthe adjustment of inventories.
(2) Adjustment of 8,036 million yen for Segment assets includes investment of surplus funds (cash and deposits) by the parent
company, long-term investment funds (investment securities) and assets, etc. related to the Administration Division and the
Research and Development Division of the parent company.
(3) Adjustment of 801 million yen for Depreciation and amortization is depreciation and amortization of common assets thatare not allocated to each reportable segment.
(4) Adjustment of 655 million yen for Increase in property, plant and equipment and intangible assets is an increase in common
assets that are not allocated to each reportable segment.
3. Segment income (loss) is adjusted with operating loss in consolidated income statement.
4. Items concerning a change in reportable segments, etc.
As the Unitika Group reviewed the classification of businesses in the consolidated fiscal year under review, it changed thereporting segment of some consolidated subsidiaries from “Polymers” to “Fibers & Textiles.”Accordingly, the Group reported segment information for the previous consolidated fiscal year after retrospectively restating it
based on the segment classification after the change.

- 14 -

Unitika Ltd. (3103) Financial Report for Fiscal Year ended March 31, 2024

(Per share information)
Previous consolidated fiscal year
(April 1, 2022 to March 31, 2023)

Current consolidated fiscal year
(April 1, 2023 to March 31, 2024)

Net assets per share

332.02 yen

244.21 yen(Loss) per share(3.13) yen(94.41) yen(Notes) 1. The Company did not present profit per share after full dilution since it posted a loss per share, although there are potential
common shares with dilutive effects.
2. The basis for the calculation of net assets per share is as follows:

Previous consolidated
fiscal year
(March 31, 2023)

Current consolidated
fiscal year
(March 31, 2024)

Total net assets (millions of yen)

43,91838,247

Amounts deducted from the total net assets (millions of yen)

24,77524,167[of which amounts to be paid in for classified shares(millions of yen)][22,684][22,684]

[283]

[—]

[1,808][1,483]

19,142

14,08057,65557,655[of which preferred dividends (millions of yen)][of which non-controlling interests (millions of yen)]
Net assets at the end of the fiscal year attributable to common
stock (millions of yen)
Number of common stock at the end of the fiscal year used
for calculating net assets per share (thousand shares)

3. The basis for the calculation of loss per share is as follows:

Previous consolidated
fiscal year
(April 1, 2022 toMarch 31, 2023)(Loss) per share
Profit (loss) attributable to owners of parent(millions of yen)Amount not attributable to common stockholders(millions of yen)[of which preferred dividends (millions of yen)](Loss) attributable to common stock owners of parent(millions of yen)
Average number of common stock during the fiscal year
(thousand shares)
Outline of potential common shares that were not includedin the calculation of profit per share after full dilution due totheir anti-dilutive effect(Material subsequent events)
Not applicable.

- 15 -—

Current consolidated
fiscal year
(April 1, 2023 toMarch 31, 2024)

102(5,443)

283

—

[283]

[—]

(180)

(5,443)57,65657,655—

Unitika Ltd. (3103) Financial Report for Fiscal Year ended March 31, 2024

4. Supplemental Materials(1) Results (consolidated)(Millions of yen)
OperatingprofitNet sales
Consolidated

FY ended March 2023

Full year
Q2
Full year
Q2 (Forecast)
Full year (Forecast)
Q2 (Forecast)
Full year (Forecast)

FY ended March 2024
FY ending March 2025
Comparison with prioryear

117,942
58,029118,341
58,000120,000
(29)
1,658

1,327
(1,792)(2,475)
1,100
3,000
2,892
5,475

1,069
88
(1,014)
400
1,400
311
2,414

(2) Segment information (consolidated)

Results forprevious
fiscal year

FY ended
March 2023

Results for
current
fiscal year

FY ended
March 2024

Comparison with previous
year(Forecast)
FY endingMarch 2025
(Forecast)Comparison

Profit attributableto owners ofparent102(409)(5,443)
200
400
609
5,843

Ordinary
profit(Millions of yen)

Net sales to outside
customers
Component ratio (%)
Operating profit
Component ratio (%)
Net sales to outside
customers
Component ratio (%)
Operating profit
Component ratio (%)
Net sales to outside
customers
Increase/decrease fromprevious year (%)
Operating profit
Increase/decrease fromprevious year (%)
Net sales to outside
customers
Component ratio (%)
Operating profit
Component ratio (%)
Net sales to outside
customers
Increase/decrease fromprevious year (%)
Operating profit
Increase/decrease fromprevious year (%)

Elimination
Consolidatedor
total
corporate

Polymers

Performance
Materials

Fibers &Textiles49,99334,42033,46068―

117,942

42.4
3,294
248.2

29.2
(535)
(40.3)

28.4(1,354)(102.1)

0.1
(69)
(5.2)

―
(7)
(0.6)

100.0
1,327
100.0

51,07434,20633,004

54―

118,34143.2
603(24.4)

28.9(2,478)
100.1

27.9
(523)
21.1

0.0
(87)
3.5

―
11
(0.5)

100.0
(2,475)
100.0

1,081

(213)

(456)

(13)

―

398

2.2

(0.6)

(1.4)

(20.0)―

0.3(2,691)(1,943)

831

(17)

18

(3,802)(81.7)

―

―

―

―

―

52,50036,30031,2000―120,000

43.8
4,170
139.0

30.3
(970)
(32.3)

26.0
(200)
(6.7)

0.0
0
0.0

―
―
―

100.0
3,000
100.0

1,425

2,093

(1,804)

(54)

―

1,658

2.8

6.1

(5.5)

(100.0)

―

1.4

3,566

1,508

323

87

(11)

5,475

591.4

―

―

―

―

―

Other

(3) Capital expenditures, Depreciation (Property, plant and equipment), R&D expenditures, Interest-bearing liabilities,
Financial account balance, Number of permanent employees (consolidated)(Millions of yen, persons)Depreciation(Property,
plant andequipment)
7,614
4,672
7,641
4,729
6,813
5,516

Capitalexpenditures

FY ended March 2022 Full year
FY ended March 2023 Full year
FY ended March 2024 Full year

Interestbearing
liabilities (endof fiscal year)
3,601
93,8903,757
93,4403,602
92,149R&D
expenditures(4) Cash flow (consolidated)

FY ended March 2022 Full year
FY ended March 2023 Full year
FY ended March 2024 Full year

Cash flow fromoperating activities
8,666
509
8,169

Cash flow frominvesting activities(8,989)(8,092)(7,541)- 16 -

Financialaccountbalance(1,002)
(952)
(999)

Number ofpermanent
employees(persons)
3,037
2,944
2,907

(Millions of yen)

Cash flow from
Cash and cash equivalents
financing activities
at end of fiscal year
(4,212)
18,415(1,657)
9,612(279)
10,187