Brief Report on the Second Quarter Financial Statements for the Period Ending March 2021
[Japanese Standard] (Consolidated)
November 6, 2020

Name of listed company: DAI-DAN Co., Ltd.

Stock Exchange Listing:Code No.: 1980 URL: https://www.daidan.co.jp/
Tokyo Stock Exchange 1st section
Representative of Company: Ichiro Fujisawa, Representative Director, President
Inquiries to be addressed to: Yasuo Kamei, Director, Executive Corporate Officer,
Head of General Administration
Tel. (06) 6447 - 8003
Date scheduled to submit Quarterly report:
November 6, 2020
Date scheduled for dividend payment commencement:
December 1, 2020
Creating supplements to the financial statement:
Yes
Holding a briefing session on the financial statement:
Yes (for instituted investors and analysts)(Amounts are indicated with figures less than 1 million yen discarded)

1. Consolidated business results for the Second quarter of the period ending March 2021 (From April 1, 2020 to September 30, 2020)(Percentage indications show increase or decrease from the previous period.)(1) Consolidated management performance (Cumulative total)
Profit attributable to
Net sales
Operating profit
Ordinary profit
owners of parent
Million yen%
Million yen%
Million yen%
Second quarter of the72,734
(7.8)
5,070
23.9
5,366
26.8
period ending March 2021
Second quarter of the78,917
13.3
4,091
12.1
4,230
7.4
period ending March 2020
(Note)
Comprehensive income Second quarter of the period ending March 2021 4,392 Million yen 57.6%
Second quarter of the period ending March 2020 2,786 Million yen (6.1%)

Profit per share

%

3,654

26.1

2,897

9.5

Diluted Profit per share

Yen SenYen Sen168.61―131.43―

Second quarter of theperiod ending March 2021
Second quarter of theperiod ending March 2020

Million yen(2) Consolidated financial position
Total assets

Net assets

Million yen

Equity capital ratio

Million yen

Second quarter of the
119,044
70,756
period ending March 2021
Period ending March 2020
123,049
67,409(Reference) Equity capital Second quarter of the period ending March 2021 70,552 Million yen
Period ending March 2020 67,200 Million yen

Net assets per share%

Yen Sen

59.3

3,253.09

54.6

3,101.72

2. Dividends
End of first quarter
Yen Sen――Annual dividends per share
End of second quarter End of third quarter
Yen Sen
40.00
45.00

Period ending March 2020
Period ending March 2021
Period ending March 2021
(Forecast)(Note)
Presence of revision from dividend forecast published most recently: None

Period end

Through year

Yen Sen―Yen Sen50.00

Yen Sen
90.00

―

45.00

90.00

3. Estimate of consolidated performance for the period ending March 2021 (From April 1, 2020 to March 31, 2021)(Percentage indications show increase or decrease from the previous period.)

Net sales
Mil. yen%

Operating profit

Ordinary profit

Mil. yenMil. yen%

Profit attributable toowners of parent%

Mil. yen%

156,000
(7.8)
8,500
(6.2)
8,700
(6.3)
Total period(Reference)
Estimated net sales of construction contract orders (Total period) 168,000 Million yen(Note)
Presence of revision from estimate of performance published most recently: Yes

6,000

(6.2)

Profit per share
Yen

Sen
276.65* Annotations(1) Changes in key subsidiaries in the current quarter consolidated cumulative period (changes in specific subsidiaries requiringchanges of consolidation scope): None
(2) Application of particular accounting to the preparation of quarter consolidated financial statements: None
(3) Changes in accounting policies, changes in accounting estimates, restatement
Changes in accounting policies due to revision of accounting standards, etc.: None
Changes in accounting policies other than : None
Changes in accounting estimates: None
Restatement: None
(4) Number of issued shares (common stock)
Number of issued shares at the end of
period (including treasury shares)
Number of treasury shares at the end of
periodAverage number of shares in the period(quarter total)

Second quarter of
Period ending
period ending
22,981,901 shares
March 2020
March 2021
Second quarter of
Period ending
period ending
1,293,939 shares
March 2020
March 2021
Second quarter ofSecond quarter
period ending
21,676,532 shares of period ending
March 2021
March 2020

22,981,901 shares
1,316,396 shares
22,047,113 shares(Note) The number of treasury shares at the end of the period includes the Company's shares held in the BIP Trust for Directors (150,000
shares for the period ending March 2020, 127,543 shares for the Second quarter of period ending March 2021). In addition, theCompany's shares held in the BIP Trust for Directors (150,000 shares for the Second quarter of period ending March 2020, 138,973
shares for the Second quarter of period ending March 2021) are also included in treasury shares, which is deducted in the calculation of
the average number of shares outstanding during the period.

* Brief report on quarterly financial statements is beyond the object of audit by CPA or an audit corporation.
* Explanation about adequate use of achievement forecasts and other noteworthy matters

The above forecasts are based on the information available at the time of preparation of this document and the assumption
considered as reasonable.
Consequently, actual results differ materially from forecasts above due to changes in business results. For precautions for use of
the assumptions for the above forecasts and forecasts of business results, please refer to the Section “1. Qualitative Information
on Current Quarter Business Settlement, (4) Explanation on Future Estimate Information such as Estimate of Consolidated
Performance” on page 3.

(Reference) Estimate of individual performance
Estimate of individual performance for the period ending March 2021 (From April 1, 2020 to March 31, 2021)(Percentage indications show increase or decrease from the previous period.)

Net sales
Mil. yen(Reference)(Note)

Ordinary profit

Mil. yenMil. Yen%

ProfitProfit per share%

Mil. yen%

Yen Sen155,000
(7.3)
8,500
(5.2)
8,700
(5.3)
Estimated net sales of construction contract orders (Total period) 167,000 Million yen
Presence of revision from estimate of performance published most recently: Yes

6,000

(5.4)

276.65

Total period%

Operating profit

DAI-DAN Co., Ltd. (1980), Brief Report on the Second Quarter Financial Statements for the Period Ending March 2021

Contents of Information
1. Qualitative Information on Current Quarter Business Settlement ...........................................................................2(1) Explanation on Operating Results......................................................................................................................2(2) Explanation on Financial Conditions .................................................................................................................2(3) Situations of Cash Flows ...................................................................................................................................3(4) Explanation on Future Estimate Information such as Estimate of Consolidated Performance ..........................3
2. Consolidated Financial Statements and Major Notes ..............................................................................................4(1) Consolidated Balance Sheets .............................................................................................................................4(2) Consolidated Statements of Income and Consolidated Statements of Comprehensive Income ........................6(Consolidated Statements of Income)(Second Quarter Consolidated Cumulative Period).........................................................................................6(Consolidated Statements of Comprehensive Income)(Second Quarter Consolidated Cumulative Period).........................................................................................7(3) Consolidated Statements of Cash Flows ............................................................................................................8(4) Annotation Items Concerning Quarterly Consolidated Financial Statements ..................................................10(Notes to Going Concern Assumption) ..........................................................................................................10(Notes in Case of Significant Changes in the Amount of Shareholders’ Equity) ..........................................10
3. Supplementary Information ...................................................................................................................................10
Divisional net sales of construction contract orders received, completed construction contracts, anduncompleted construction contracts (consolidated) ..............................................................................................10

1

DAI-DAN Co., Ltd. (1980), Brief Report on the Second Quarter Financial Statements for the Period Ending March 2021

1. Qualitative Information on Current Quarter Business Settlement(1) Explanation on Operating Results
Net sales of construction contract orders received in the current second quarter consolidated cumulative
period decreased by 3,245 million yen or 3.7% from the same quarter consolidated cumulative period of theprevious year, resulting in 84,656 million yen.
Net sales of completed construction contracts decreased by 6,183 million yen or 7.8% from the same quarter
consolidated cumulative period of the previous year, resulting in 72,734 million yen.
Gross profit on completed construction contracts increased by 1,308 million yen or 13.3% from the samequarter consolidated cumulative period of the previous year, resulting in 11,179 million yen.
Operating profit increased by 979 million yen or 23.9% from the same quarter consolidated cumulative
period of the previous year, resulting in 5,070 million yen, due to the increase in the gross profit oncompleted construction contracts.
Ordinary profit increased by 1,135 million yen or 26.8% from the same quarter consolidated cumulative
period of the previous year, resulting in 5,366 million yen, due to the increase in the operating profit, andthat foreign exchange losses of 87 million yen that occurred in the previous second quarter consolidated
accounting period turned to foreign exchange gains of 21 million yen in the current second quarter
consolidated accounting period.
Profit attributable to owners of parent increased by 757 million yen or 26.1% from the same quarter
consolidated cumulative period of the previous year, resulting in 3,654 million yen, after posting the loss on
valuation of investment securities of 11 million yen as an extraordinary loss, as well as deducting the income
tax - current, income taxes - deferred, and the profit attributable to non-controlling interests.
(2) Explanation on Financial Conditions(Assets)
Current assets at the end of the current second quarter consolidated accounting period decreased by 4,930
million yen or 5.2% from the end of the previous consolidated accounting year, resulting in 89,184 million
yen. The main factor for this is the decrease of 9,883 million yen or 16.7% in notes receivable and accounts
receivable from completed construction contracts. Non-current assets increased by 925 million yen or 3.2%
from the end of the previous consolidated accounting year, resulting in 29,860 million yen. The main factor
for this is the increase of 1,043 million yen or 7.2% in investment securities.
As a result, total assets decreased by 4,005 million yen or 3.3% from the end of the previous consolidated
accounting year, resulting in 119,044 million yen.
(Liabilities)
Current liabilities at the end of the current second quarter consolidated accounting period decreased by 7,569
million yen or 14.7% from the end of the previous consolidated accounting year, resulting in 44,059 million
yen. The main factor for this is the decrease of 5,817 million yen or 28.1% in notes payable and accounts
payable for construction contracts. Non-current liabilities increased by 217 million yen or 5.4% from the endof the previous consolidated accounting year, resulting in 4,227 million yen. The main factor for this is thatthe increase of 982 million yen or 130.6% in deferred tax liabilities surpassed the decrease of 771 million
yen or 39.6% in long-term borrowings.
As a result, total liabilities decreased by 7,352 million yen or 13.2% from the end of the previous
consolidated accounting year, resulting in 48,287 million yen.
(Net Assets)
Total net assets at the end of the current second quarter consolidated accounting period increased by 3,346
million yen or 5.0% from the end of the previous consolidated accounting year, resulting in 70,756 million
yen. The main factor for this is the increase of 2,564 million yen or 4.6% in retained earnings.
As a result, the equity capital ratio resulted in 59.3% (54.6% at the end of the previous consolidated
accounting year).

2

DAI-DAN Co., Ltd. (1980), Brief Report on the Second Quarter Financial Statements for the Period Ending March 2021

(3) Situations of Cash Flows
Cash and cash equivalents (hereinafter referred to as "fund") in the current second quarter consolidated
cumulative period increased by 4,980 million yen or 23.0% from the end of the previous consolidated
accounting year, resulting in 26,597 million yen. The situation of cash flows and their factors during thecurrent second quarter consolidated cumulative period are as follows.
(Cash flows from operating activities)
As a result of the operating activities, the increased fund resulted in 6,157 million yen (increase by 12,840
million yen of the fund in the same quarter consolidated cumulative period of the previous year). The main
factor for this is that the posting of profit before income taxes and the decrease in trade receivables surpassed
the decrease in trade payables.
(Cash flows from investing activities)
As a result of the investing activities, the decreased fund resulted in 187 million yen (decrease by 286
million yen of the fund in the same quarter consolidated cumulative period of the previous year). The main
factor for this is the purchase of property, plant and equipment.
(Cash flows from financing activities)
As a result of the financing activities, the decreased fund resulted in 1,000 million yen (decrease by 1,826
million yen of the fund in the same quarter consolidated cumulative period of the previous year). The main
factor for this is the dividends paid.
(4) Explanation on Future Estimate Information such as Estimate of Consolidated Performance
The estimate of consolidated and individual performance have been revised from the estimate announced on
August 7, 2020.

3

DAI-DAN Co., Ltd. (1980), Brief Report on the Second Quarter Financial Statements for the Period Ending March 2021

2. Consolidated Financial Statements and Major Notes(1) Consolidated Balance Sheets(Millions of yen)Previous Consolidated
Accounting Year(As of March 31, 2020)
AssetsCurrent assets
Cash and deposits
Notes receivable, accounts receivable fromcompleted construction contracts
Electronically recorded monetary claims - operating
Costs on construction contracts in progress
Other
Allowance for doubtful accounts
Total current assets
Non-current assets
Property, plant and equipment
Intangible assets
Investments and other assets
Investment securities
Retirement benefit asset
Other
Allowance for doubtful accounts
Total investments and other assets
Total non-current assets
Total assets

4

Current Second Quarter
Consolidated Accounting
Period(As of September 30, 2020)

21,643

26,62459,071

49,188

10,817
455
2,134
(8)
94,114

9,716
1,324
2,338
(8)
89,184

5,136
335

5,079
295

14,443
7,632
1,558
(170)
23,46228,934
123,049

15,486
7,645
1,524
(170)
24,48529,860119,044DAI-DAN Co., Ltd. (1980), Brief Report on the Second Quarter Financial Statements for the Period Ending March 2021

(Millions of yen)Previous Consolidated
Accounting Year(As of March 31, 2020)
Liabilities
Current liabilities
Notes payable, accounts payable for construction
contracts
Electronically recorded obligations - operating
Short-term borrowings
Income taxes payable
Advances received on construction contracts inprogress
Provision for bonuses
Provision for directors' bonuses
Provision for share-based remuneration
Provision for warranties for completed construction
Provision for loss on construction contracts
Other
Total current liabilities
Non-current liabilities
Long-term borrowings
Deferred tax liabilities
Net defined benefit liability
Provision for foreign investment loss
Long-term accounts payable
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
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

5

Current Second Quarter
Consolidated Accounting
Period(As of September 30, 2020)

20,66814,851

10,721
3,735
2,119

9,901
4,596
1,163

1,027

1,462

－
－
35
85
644
12,591
51,629

2,687
35
13
89
361
8,896
44,059

1,947
752
1,291
7
5
5
4,010
55,639

1,176
1,735
1,291
7
5
11
4,227
48,287

4,479
4,837
55,857(2,336)
62,837

4,479
4,837
58,421(2,290)65,447

5,134
33
(804)
4,362
209
67,409123,049

5,864
25
(784)
5,105
204
70,756
119,044DAI-DAN Co., Ltd. (1980), Brief Report on the Second Quarter Financial Statements for the Period Ending March 2021

(2) Consolidated Statements of Income and Consolidated Statements of Comprehensive Income(Consolidated Statements of Income)(Second Quarter Consolidated Cumulative Period)(Millions of yen)

Net sales of completed construction contracts
Cost of sales of completed construction contracts
Gross profit on completed construction contracts
Selling, general and administrative expenses
Operating profit
Non-operating income
Interest income
Dividend income
Insurance fee income
Foreign exchange gains
Other
Total non-operating income
Non-operating expenses
Interest expenses
Guarantee commission
Foreign exchange losses
Other
Total non-operating expenses
Ordinary profit
Extraordinary income
Gain on sales of investment securities
Gain on liquidation of subsidiaries and associates
Total extraordinary income
Extraordinary losses
Loss on retirement of non-current assets
Loss on sales of investment securities
Loss on valuation of investment securities
Total extraordinary losses
Profit before income taxes
Income taxes - current
Income taxes - deferred
Total income taxes
ProfitProfit attributable to non-controlling interests
Profit attributable to owners of parent

6

Previous Second Quarter
Consolidated Cumulative
Period(From April 1, 2019
to September 30, 2019)78,917
69,046
9,870
5,779
4,091

Current Second Quarter
Consolidated Cumulative
Period(From April 1, 2020
to September 30, 2020)
72,73461,554
11,179
6,109
5,070

5
196
90
－
18
310

3
196
131
21
18
370

62
2
87
19
171
4,230

62
1
－
10
74
5,366

108
70
179

－
－
－

73
51
55
180
4,229
886
440
1,327
2,902
4
2,897

－
－
11
11
5,354
1,046
651
1,697
3,657
2
3,654

DAI-DAN Co., Ltd. (1980), Brief Report on the Second Quarter Financial Statements for the Period Ending March 2021

(Consolidated Statements of Comprehensive Income)(Second Quarter Consolidated Cumulative Period)(Millions of yen)

ProfitOther comprehensive income
Valuation difference on available-for-sale securities
Foreign currency translation adjustment
Remeasurements of defined benefit plans
Total other comprehensive income
Comprehensive income
Comprehensive income attributable toComprehensive income attributable to owners of parent
Comprehensive income attributable to non-controllinginterests

7

Previous Second Quarter
Consolidated Cumulative
Period(From April 1, 2019
to September 30, 2019)
2,902

Current Second Quarter
Consolidated Cumulative
Period(From April 1, 2020
to September 30, 2020)
3,657

(92)
9
(32)
(115)
2,786

730
(15)
20
734
4,392

2,777

4,397

8

(5)

DAI-DAN Co., Ltd. (1980), Brief Report on the Second Quarter Financial Statements for the Period Ending March 2021

(3) Consolidated Statements of Cash Flows(Millions of yen)Previous Second Quarter
Current Second Quarter
Consolidated Cumulative Period Consolidated Cumulative Period(From April 1, 2019
(From April 1, 2020
to September 30, 2019)
Cash flows from operating activities
Profit before income taxes
Depreciation
Increase (decrease) in allowance for doubtful accounts
Increase (decrease) in retirement benefit liability
Interest and dividend income
Interest expenses
Increase (decrease) in allowance for foreign
investment loss
Loss (gain) on valuation of investment securities
Loss (gain) on sales of investment securities
Loss (gain) on liquidation of subsidiaries andassociates
Loss on retirement of non-current assets
Decrease (increase) in trade receivables
Decrease (increase) in costs on construction contracts
in progress
Decrease (increase) in other current assets
Decrease (increase) in other non-current assets
Decrease (increase) in retirement benefit asset
Increase (decrease) in trade payables
Increase (decrease) in advances received on
construction contracts in progress
Increase (decrease) in other current liabilities
Increase (decrease) in other non-current liabilities
SubtotalInterest and dividends received
Interest paid
Income taxes (paid) refund
Net cash provided by (used in) operating activities

8

to September 30, 2020)

4,229
223
(12)
(3)
(201)
62

5,354
238
0
8
(199)
62

1

(0)

55
(57)

11
－

(70)

－

73
11,068－
10,983

(248)

(868)

(1,906)
11
(80)
1,086

(166)
1
8
(6,637)

(544)

434

27
－
13,714201(62)(1,012)
12,840(1,256)
6
7,981
199
(62)
(1,960)6,157

DAI-DAN Co., Ltd. (1980), Brief Report on the Second Quarter Financial Statements for the Period Ending March 2021

(Millions of yen)Previous Second Quarter
Current Second Quarter
Consolidated Cumulative Period Consolidated Cumulative Period(From April 1, 2019
(From April 1, 2020
to September 30, 2019)
Cash flows from investing activities
Purchase of property, plant and equipment
Payments for retirement of property, plant andequipment
Purchase of investment securities
Proceeds from sales and redemption of investment
securities
Proceeds from liquidation of subsidiaries andassociates
Other payments
Other proceeds
Net cash provided by (used in) investing activities
Cash flows from financing activities
Proceeds from short-term borrowings
Repayments of short-term borrowings
Proceeds from long-term borrowings
Repayments of long-term borrowings
Purchase of treasury shares
Proceeds from disposal of treasury shares
Dividends paid
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

9

to September 30, 2020)

(649)

(137)

(1)

－

(2)

(2)

323

－

88

－

(66)
22
(286)

(67)
20
(187)

19,580(19,680)
1,225(1,106)(1,078)303(1,069)(1,826)

18,580(17,480)－(1,010)－－(1,090)(1,000)(18)

10

10,70912,77623,485

4,980
21,616
26,597

DAI-DAN Co., Ltd. (1980), Brief Report on the Second Quarter Financial Statements for the Period Ending March 2021

(4) Annotation Items Concerning Quarterly Consolidated Financial Statements(Notes to Going Concern Assumption)
None(Notes in Case of Significant Changes in the Amount of Shareholders’ Equity)
None

3. Supplementary Information
Divisional net sales of construction contract orders received, completed construction contracts, and uncompleted
construction contracts (consolidated)(Millions of yen)

Net sales of uncompleted
construction contracts

Net sales of completed
construction contracts

Net sales of construction
contract orders received

Previous Second Quarter
Consolidated Cumulative
Period(From April 1, 2019
to September 30, 2019)
Component
Amountratio %

Current Second Quarter
Consolidated Cumulative
Period(From April 1, 2020
to September 30, 2020)
Component
Amountratio %

Increase(decrease)

AmountRatio %

Electrical installations

11,14012.7

15,824

18.7

4,683

42.0

Air conditioning
installations

55,28862.9

47,51056.1(7,778)(14.1)

Plumbing installations

21,473

24.4

21,322

25.2

(150)

(0.7)

Total

87,902100.0

84,656100.0(3,245)(3.7)(Industrial facilities)

27,22531.0

21,19625.0(6,028)(22.1)(Renovations)45,321

51.6

39,731

46.9(5,589)(12.3)(Overseas operations)

3,765

4.3

5,043

6.0

1,277

33.9

Electrical installations

12,02915.2

10,40014.3(1,629)(13.5)

Air conditioning
installations

47,96360.8

43,64860.0(4,315)(9.0)

Plumbing installations

18,92424.0

18,685

25.7

(238)

(1.3)

Total

78,917100.0

72,734100.0(6,183)(7.8)(Industrial facilities)

24,52731.1

26,664

36.7

2,136

8.7

(Renovations)

37,98548.1

34,85647.9(3,129)(8.2)(Overseas operations)

2,980

3.8

2,431

3.3

(548)

(18.4)

Electrical installations

14,57911.0

24,93718.3

10,35871.0

Air conditioning
installations

84,82764.1

81,44659.8(3,380)(4.0)

Plumbing installations

32,91424.9

29,76621.9(3,148)

(9.6)

Total

132,321100.0

136,151

100.0

3,829

2.9

(Industrial facilities)

39,76430.1

35,46626.0(4,298)(10.8)(Renovations)

39,54029.9

37,84027.8(1,699)(4.3)(Overseas operations)

5,788

4.4

11,163

8.2

5,375

92.9

10