This flash report is unaudited and the translation of the Japanese language version.

Consolidated Financial Summary for
the Second Quarter Ended June 30, 2021 (IFRS)
August 11, 2021
Listed company name: Coca-Cola Bottlers Japan Holdings Inc.
Listed stock exchanges: Tokyo
Code number: 2579
URL: https://en.ccbj-holdings.com/
Delegate: Title: Representative Director & President
Name: Calin Dragan
Contact: Title: Head of Finance Operations and Controllers Division, Finance, Name: Satoshi Kon Phone: +81-3-6896-1707
Expected date of quarterly report submission: August 12, 2021
Schedule for dividends payment: September 1, 2021
Preparation of supplementary materials on quarterly financial results: Yes
Holding of quarterly financial results conference: Yes(Fractions of one million yen are rounded)

1. Consolidated financial results for the second quarter 2021 (from January 1, 2021 to June 30, 2021)(1) Consolidated financial results
Revenue
2nd quarter, 2021
2nd quarter, 2020

million yen
369,309374,598(Percentages indicate changes over the same period in the prior fiscal year)
Net income attributable Total comprehensive
Operating income
Net income
to owners of the parent
IncomeBusiness income％(1.4)(13.6)

Earnings per share

million yen(14,799)(7,368)million yen(367)(6,462)％－－

million yen％(354) －
(6,452) －％－－million yen％
3,136 －
(11,504) －Diluted earnings per share
yen
－
－

yen
(1.98)(35.97)

2nd quarter, 2021
2nd quarter, 2020

million yen(18,250)(14,937)％－－*1. “Business Income” is a measure of our recurring business performance that is calculated as costs of goods and selling, general and administrative
expenses are deducted from revenue, and other income and expenses are added and subtracted accordingly.
2. In the fiscal year ending 31 December 2020, the Healthcare and Skincare business has been classified as a discontinued operation as a result of
the decision to sell all shares in Q'sai held by the Company. As a result, revenue, business income and operating loss for the previous financial
period have been reclassified to the amounts for continuing operations excluding discontinued operations.

(2) Consolidated financial position
Total assets

Total equity

million yen
884,060
939,603

Jun. 30, 2021
Dec. 31, 2020

Equity attributable to parent owners

million yen
500,015502,093

million yen
499,875
501,643

Ratio of equity attributable toparent owners
％
56.5
53.4

2. Dividends
Dividends per share
1Q

2Q

3Q

Year-end

Annual

yen

yen

yen

yen

yen

FY ended December 2020

－

0.00

－

25.00

25.00

FY ending December 2021

－

25.00
－

25.00

50.00

FY ending December 2021
(forecast)
Note: Revisions to the cash dividends forecasts most recently announced: None

3. Forecast for consolidated financial results 2021 (from January 1, 2021 to December 31, 2021)
Revenue

Full-year 2021

Business income(Percentages indicate changes over the same period in the prior fiscal year)
Net income (loss) for the
Earnings per
Operating income
Net income
year attributable to owners
shareof the parent

million yen％

millionyen％

million yen％

million yen％

million yen

％

yen

－

－

－

－

－

－

－

－

－

－

－

Note: Revisions to the forecasts of consolidated operating results most recently announced: None
The financial forecast for the fiscal year ending December 31, 2021 has not yet been determined because it is difficult to reasonably estimate at this time due tomany uncertain factors such as the impact of the spread of the COVID-19 on our business activities. We will provide an update when we are able to estimate theimpact to our outlook.

Notes(1) Changes in significant subsidiaries during the current period:(2) Changes in accounting policies and changes in accounting estimates:
1) Changes in accounting policies as required by IFRS:
2) Changes other than those in 1) above:3) Changes in accounting estimates:

None

None
None
None

(3) Number of outstanding shares (common shares)
1) The number of outstanding shares (including treasury shares):2nd Quarter, June 2021:
206,268,593 shares
FY ended December 2020:

206,268,593 shares

2) The number of treasury shares:
2nd Quarter, June 2021:

26,922,679 shares

FY ended December 2020:

26,920,298 shares

3) The number of average shares outstanding:
2nd Quarter, June 2021:
179,347,011 shares
2nd Quarter, June 2020:

179,350,582 shares※ The consolidated financial summary is not subject to quarterly review procedures conducted by certified public accountant or audit

firm.
※ Explanation regarding appropriate use of the forecast, other special instructions

Figures in the above forecast are based on information available at the time of issuance of this report, and the actual results may bechanged due to a number of inherent uncertainties in the forecast. Actual results may differ materially from the forecast.
Furthermore, please refer to “1. Qualitative Information on the Financial Summary for this Quarter (3) Information on the Future
Outlook, such as Forecast of Consolidated Financial Results” on page 5 for matters relating to performance forecasts.

Table of Contents
1. Qualitative Financial Summary for year-to-date second quarter 2021 .................................................................................................. 2(1) Qualitative Information on year-to-date second quarter Consolidated Financial Results ................................................................ 2(2) Analysis of Financial Position.......................................................................................................................................................... 5(3) Qualitative Information on the Future Outlook, such as Forecast of Consolidated Financial Results ............................................. 5
2. Condensed Quarterly Consolidated Financial Statements and Notes .................................................................................................... 6(1) Condensed Quarterly Consolidated Statement of Financial Position ............................................................................................... 6(2) Condensed Quarterly Consolidated Statements of Income and Comprehensive Income ................................................................. 8(3) Condensed Quarterly Consolidated Statements of Changes in Equity ........................................................................................... 10(4) Notes to Condensed Consolidated Financial Statements ............................................................................................................... 14(Notes Relating to Going Concern Assumption) ............................................................................................................................. 14(Changes in Accounting Policies).................................................................................................................................................... 14(Segment Information) .................................................................................................................................................................... 141

1. Qualitative Financial Summary for year-to-date second quarter 2021
(1) Qualitative Information on year-to-date second quarter Consolidated Financial Results
Coca-Cola Bottlers Japan Holdings Inc. (“CCBJH” or the “Company”, or “we”) announced second-quarter results for the fiscal
year ending on December 31, 2021 (January 1, 2021 to June 30, 2021)
As the effect of the coronavirus (COVID-19) continues, the continuing supply of our goods and services which are essential
for our customers and consumers, and the safety and health of our employees and communities are our top priorities. Our mission
is to deliver happy moments to everyone, and we have been working with comprehensive business continuity actions in place toensure safe and secure product supply. In addition to implementing comprehensive infection prevention measures in ourcommercial activities, we also implemented more flexible work style initiatives, such as working from home and adoption of
online meetings. In our efforts to ensure the safety of our employees and their families, we have implemented workplacevaccinations in order to create an environment in which employees and their families can easily access vaccinations. We are
granting special paid leave to employees experiencing side effects from the vaccinations as well, depending on their working
conditions.
In the year-to-date second-quarter period (January 1, 2021 to June 30, 2021), while the industry cycle last year's COVID-19
impact from April in the previous fiscal year, the impact of the additional state of emergency declaration and other factors haveresulted in the total domestic nonalcoholic ready-to-drink (NARTD) beverage industry volume growth was soft and only increasedslightly compared to the previous fiscal year. Although the impact on consumer traffic at retail stores, restaurants and vending
machines continued, there was some recovery in demand in the second quarter at vending machines and restaurants, which weresignificantly affected in the same period of the previous year (April 1, 2021 to June 30, 2021).
Under these circumstances, we have been working on measures to minimize the impact on sales by rolling out new products andresponding to changing trends in each channel. Under the guiding principle that “business as usual is not an option”, announced aspart of our mid-term strategic business plan announced in August 2019, we continue to drive fundamental business transformation
initiatives. Key initiatives include further evolving our vending channel operation model, relocation of product inventories, and theconsolidation of distribution bases centered around the Saitama Mega DC in order to optimize the distribution network in the Kantoarea, leading to the streamlining of the supply chain structure to achieve low-cost operations; and the promotion of new work styles.
Although the current business environment remains challenging, we are focusing on areas that we can control, and we are taking
steps to respond to changes in the business environment over the medium-to-long term by implementing key initiatives oftransformation based on our medium-term plan ahead of schedule, while seeking new opportunities for growth and efficiency.
As disclosed in the December 15, 2020, “Notice of Selling of Shares of Q'sai Co., Ltd. and Gain on The Sale of Shares as well
as Revision of Earnings Forecast”, the share transfer of Q'sai Co., Ltd. ("Q'sai") was completed on February 1, 2021. We haverevised our business segment reporting to reflect only the results of continuing operations, the beverage business, after the sale ofthe health and skincare segment and relevant sections of prior year financial statements and notes have been reclassified.
Details for the year-to-date second-quarter period are as follows.
In addition to the business update in this document, please also see our earnings presentation material posted on the Company
IR website (https://en.ccbjholdings.com/ir/library/presentation.php) to be used in our earnings conference call on Thursday, August
12 at 11:00 am (JST). The earnings presentation and audio will be available live and on demand as an audio webcast in the IR
section of the CCBJH website.

Highlights for the First Half
・ Market uncertainty continued. Despite the cycling impact of COVID-19, recovery of consumer traffic remains challenged
driven by the increase in COVID-19 cases leading to additional state of emergency declarations.
・ Sales volume increased 15% YoY in the second quarter and 3% in the first half driven by new products and channel-specificinitiatives tailored to the changing environment. Volume recovery lead to sales revenue increase of 11% in second quarter. We
continue to grow vending market share, with 27 consecutive months of value share growth. Although the OTC value share
was negative overall, supermarkets, drugstores & discounters gained share, while CVS channel continues to be an area ofimprovement. We will continue to focus on market share growth and aim to "win in the market” and “winning where thegrowth is”.
・ First half business income loss of 14,799 million yen. Revenue recovered in the second quarter, however the deteriorating
pricing, package mix and cycling impact of the large one-time cost savings conducted in the same period of the previous year
have had an impact. This year, we will invest in marketing and human capital at an appropriate level, which we restrained in
the previous year.
2

・ Transformation is progressing as planned and achieved about 6 billion yen of recurring cost saving in the first half of the year.
As the environment remains to be uncertain, we will continue to focus on what we can control and drive our transformation
to create a solid foundation for future growth. For this year the transformation in vending and supply chain has contributed
・ We continued to focus on ESG initiatives, and started the use of 100% recycled PET resin for our Brand Coca-Cola and othersmall PET bottles in May. With this initiative, we were able to reduce the CO2 per bottle by about 60%, as the Coca-Cola
Japan system as a whole, reducing our footprint by about 35,000 tons of CO2 per year.

Summary of Consolidated Financial Results(Millions of yen)

Year-to-date Q2 (January to June)
2020

2021

ChangeContinuing Operation (Beverage Business)
374,598369,309(1.4％)

212

217

3%

Gross Profit

169,544

163,269(3.7％)

Selling, General & Administrative Expenses

176,016

177,295

0.7％

Other income (Recurring)

373

415

11.4％

Other expenses (Recurring)

1,039

1,055

1.6％

Investment loss on equity method

(230)

(133)

－

(7,368)(14,799)－

Other income (Non-recurring)

0

4,601

－

Other expenses (Non-recurring)

7,569

8,053

6.4％

(14,937)(18,250)－(6,452)(354)－

Revenue
Sales volume of beverage business (million cases)

Business Loss

Operating Loss
Net Loss Attributable to Owners of Parent(Millions of yen)

Q2 (April to June)
2020

2021

Change181,569

200,909

10.7％

104

120

15%

Gross Profit

80,655

89,108

10.5％

Selling, General & Administrative Expenses

80,35391,869

14.3％

Other income (Recurring)

151

216

42.7％

Other expenses (Recurring)

571

664

16.3％

Investment (income) loss on equity method

(170)

6

－

Business Loss

(287)

(3,202)－Other income (Non-recurring)

－

3,611

－

Other expenses (Non-recurring)

6,221

3,516

(43.5％)

Operating Loss

(6,508)(3,107)－(761)(1,670)－

Revenue
Sales volume of beverage business (million cases)

Net Loss Attributable to Owners of Parent

Note: 1. “Business Loss” is a measure of our underlying or recurring business performance. Business Income (loss) deducts cost of goods and selling, generaland administrative expenses from revenue, and includes other income and expenses which we believe are recurring in nature.
2. Net Loss Attributable to Owners of Parent is a total of continuing operation and discontinued operation results.

3Consolidated net revenue for year-to-date second-quarter 2021 declined to 369,309 million yen (1.4% decrease to 5,289
million yen from the prior-year period). Net revenue decreased in spite of a 3% increase in sales volume due to cycling of
COVID-19 impact in the same period in the prior year, and the adverse package and pricing mix affected by changes in theenvironment, including increase in demand of at home consumption due to consumers refraining from going out and working at
home.
Consolidated business loss was 14,799 million yen (7,368 million yen loss in the same period of prior year). Transformation
initiatives to achieve cost savings were not able to absorb the revenue decline driven by deteriorating price and package mix.
Among the costs that were controlled in the previous year, investments in marketing and human capital that will contribute tomedium- to long-term growth were implemented at appropriate levels.
Consolidated operating loss was 18,250 million yen (14,937 million yen loss in the same period of previous year). Other
income (non-recurring) includes 3,876 million yen in government subsidies for employment adjustment to offset temporary
leave expense. Other expenses (non-recurring) include 5,636 million yen in temporary leave expenses and 623 million yen intransformation-related expenses related to the implementation of transformation based on the medium-term plan, and 1,177
million yen in special retirement allowances due to voluntary employee retirement program.
Net income attributable to owners of parent for the quarter, a total of continuing operations and discontinued operation, wasa loss of 354 million yen (6,452 million yen loss in the prior year period) as a gain of 12,841 million yen was recorded indiscontinued operations as gains from stock sales due to the transfer of shares in Q’sai.
Beverage Volume PerformanceFirst half 2021, increased by 3% due to introduction of new products, capturing at-home demand, and strengthening activities
in the growing online channel. In the second quarter, sales volume increased by 15% due to the cycling impact of COVID-19
and a rebound from the initial impact in the same period of the previous year.
In terms of channel performance, vending in the second quarter, with the state of emergency declaration being lifted in April
the consumer traffic recovered and volume increased by 18%, and increase of 2% for the first half. There was recovery in sales
per vending machine especially in outdoor locations. While the challenging operating environment continues, we continue togrow our market share in vending, with 27 consecutive months of value share growth. Supermarket, drugstore & discounters
increased by 7% and 9% respectively, for the first half, reflecting our efforts to “win where the growth is” by responding tochanges in the frequency of customer visits and consumption patterns, such as rising at-home consumption and bulk purchases.
CVS in the second quarter, due to intensified competitor promotion activities, led to intensified competition and resulted inslower volume recovery, resulting in a 3% decrease for the first half. In retail and food channels, sales decreased by 12% for the
first half, due to reduced customer traffic at restaurants and other commercial venues especially during the first quarter. Whileonline sales are still relatively small, sales are growing significantly, with 60% growth driven by expansion of label-less products
in-line with changes in customers' consumption and consciousness.
In terms of beverage category performance, while the challenging operating environment continues, all major categories
recorded growth. Sparkling beverages increased 7% in the second quarter and was flat in the first half, with the contribution
from the new Fanta Premiere Orange and growth in supermarket and online. With the contribution from new Yakan Barley Tea
from Hajime, and Ayataka Café Matcha Latte, Non-sugar tea (NST) volume increased 17% for the second quarter and 4% for
the first half. Coffee volume decreased 2% for the first half with weak can coffee sales, but second quarter grew 7% with new
products such as COSTA COFFE leading to a growth in PET coffee growth in all channels. Sports category volume increased
12% due to the cycling of last year’s impact of severe restrictions on sporting events. Water volume increased 29%, due togrowth in large PETs, mainly in supermarkets, drugstores & discounters and online, as a result of increased home consumption,
as well as contributions from new ICY SPARK and small PET Irohas.
The ready-to-drink alcohol, with the contribution from Lemon-dou Homerun size and newly launched Nomel’s Hard
Lemonade, increased 1% for the first half, and 13% for the second quarter. We continue to expand our manufacturing capacity
for alcoholic beverages through a new alcohol production line at the Komatsu Plant in May.

4

(2) Analysis of Financial Position
Assets at the end of the quarter were 884,060 million yen, a decrease of 55,543 million yen from the end of the prior fiscal
year-end period. This is mainly due the sales of the Q’sai shares on February 1, 2021, resulting in a decrease in Assets held forsale and decrease of Cash and cash equivalents with the repayment of short term loans. Other key drivers include Inventories
increasing ahead of the peak season and a decrease in Property, plant and equipment from consolidation of sales/distribution
locations.
Liabilities at the end of the quarter were 384,045 million yen, a decrease of 53,466 million yen from the end of the prior year
period. This is mainly due to the sales of the Q’sai shares, decreasing the Liabilities directly associated with assets held for sale.
Net Assets at the end of this quarter were 500,015 million yen, a decrease of 2,078 million yen from the end of the prior year
period. This reflects a decrease in Retained earnings as a result of dividend payments.
<Cash Flows from Operations>
Net cash generated for operating activities was 10,606 million yen (11,274 million net cash generated from operations in
the previous year period). This results mainly from the 18,475 million yen net loss before tax from continuing operation,
depreciation, increase in trade and other payables and refund on taxes, etc., offset by increase in inventory and payment ofincome taxes, etc.
<Cash Flows from Investment Activities>
Net cash generated for investment activities was 21,119 million yen (47,697 million yen outflow the previous year period),
as cash used for acquisition of fixed assets was controlled, accounting for the current operating environment and by cash-in
from proceeds from sales of Q’sai share resulted in proceeds from sales of shares of subsidiaries.
<Cash Flows from Financing Activities>
Net cash used for financing activities was 58,563 million yen (41,203 million yen net cash generated from for financing
activities in the previous year period), driven by decrease of short-term loans, cash spent for payment of year-end dividends andrepayments of lease liabilities.
As a result of these activities, cash and cash equivalents at the end of the fiscal year was 99,540 million yen, a decrease of
26,838 million yen from the end of the prior fiscal year-end period.
(3) Qualitative Information on the Future Outlook, such as Forecast of Consolidated Financial Results
The consolidated business forecast for the fiscal year ending December 31, 2021 has not yet been provided because it isdifficult to estimate at this time. Uncertainty continues with the resurgence of COVID-19 and measures such as the fourth stateof emergency declaration, and the impact on the market. We will provide a guidance accounting for these factors when thecondition becomes clearer.

5

2. Condensed Quarterly Consolidated Financial Statements and Notes(1) Condensed Quarterly Consolidated Statement of Financial Position(Millions of yen)

As ofDecember 31, 2020
AssetsCurrent assets:
Cash and cash equivalents
Trade and other receivables
Inventories
Other financial assets
Other current assets
Subtotal
Assets of disposal groups classified as held
for sale
Total current assets
Non-current assets:
Property, plant and equipment
Right-of-use assets
Intangible assets
Investments accounted for using the equity
methodOther financial assets
Deferred tax assets
Other non-current assets
Total non-current assets
Total assets

6

As of
June 30, 2021

114,778
96,00968,180702
17,19599,54096,57977,4991,502
16,783296,865

291,904

48,138－345,003291,904

460,50229,81066,193452,892
27,63966,236287

311

25,6404,986
7,183

23,851
11,012
10,215594,601
939,603592,156
884,060

(Millions of yen)

As ofDecember 31, 2020

As ofJune 30, 2021

Liabilities and equity
Liabilities
Current liabilities:
102,480
51,072
5,547
408
3,238
9
15,923

114,472
31,002
6,087
－
1,995
16
11,477

Subtotal
Liabilities directly associated with assets held
for sale
Total current liabilities
Non-current liabilities:
Bonds and debts
Lease liabilities
Other non-current financial liabilities
Net defined benefit liabilities
Provisions
Deferred tax liabilities
Other non-current liabilities
Total non-current liabilities

178,676

165,049

7,193－

185,869

165,049

187,51425,858605
14,876
2,119
17,296
3,375
251,641

157,082
23,188－16,144
2,121
17,496
2,963
218,995

Total liabilities

437,510384,045

15,232450,605
120,473(85,654)
1,095

15,232450,793
115,545(85,659)
3,964

(107)

－

501,643450
502,093499,875140
500,015939,603

884,060

Trade and other payables
Bonds and debts
Lease liabilities
Other financial liabilities
Income taxes payable
Provisions
Other current liabilities

Equity:Capital stock
Capital surplus
Retained earnings
Treasury shares
Accumulated other comprehensive income (loss)
Accumulated other comprehensive income ofdisposal groups classified as held for sale
Equity attributable to owners of parent
Non-controlling interests
Total equity
Total liabilities and equity7(2) Condensed Quarterly Consolidated Statements of Income and Comprehensive Income(Consolidated Quarterly Statements of Income)First Six months period of a fiscal year
Six months ended
June 30, 2020
Continuing operations
Revenue
Cost of sales
Gross profit
Selling and general administrative expenses
Other income
Other expenses
Investment loss on equity method
Operating loss
Financial revenue
Finance costs
Loss for the period before income taxes
Income tax expense
Net loss for the period from continuing operations
Discontinued operations
Net income for the period from discontinuing operations
Net loss for the period
Net loss for the period attributable to
Owners of parent
Loss from continuing operations attributable to ownersof parent
Profit from discontinuing operations attributable toowners of parent
Non-controlling interests
Earnings (loss) per share (yen)Continuing operations
Discontinued operations
Loss per share

8(Millions of yen)Six months ended
June 30, 2021

374,598
205,054
169,544
176,016
373
8,608
(230)
(14,937)405
535(15,067)(7,411)(7,656)369,309
206,040
163,269
177,295
5,017
9,108
(133)
(18,250)272
497(18,475)(5,603)(12,872)

1,194(6,462)

12,505(367)(7,643)(12,859)

1,191

12,505(10)(13)(42.61)6.64(35.97)(71.70)69.72(1.98)

(Condensed Quarterly Consolidated Statements of Comprehensive Income)First Six months period of a fiscal year
(Millions of yen)

Net loss for the period
Other comprehensive income (loss):
Items that will not be reclassified subsequently to income orloss:
Share of other comprehensive income of investments
accounted for using equity method
Net change in financial assets measured at fair value
through other comprehensive Income (loss)

Six months ended
June 30, 2020
(6,462)Six months ended
June 30, 2021
(367)

－

(12)

(3,377)

1,428

Subtotal
Items that may be reclassified subsequently to Income (loss):
Cash flow hedges
Subtotal
Total other comprehensive income (loss) for the period
Total comprehensive income (loss) for the period(3,377)

1,416(1,665)(1,665)(5,042)(11,504)

2,087
2,087
3,503
3,136

Comprehensive Income (loss) attributable to:
Owners of parent
Non-controlling interests(11,494)
(10)

3,149
(13)

9

(3) Condensed Quarterly Consolidated Statements of Changes in Equity
Six months ended June 30, 2020
(Millions of yen)
Equity attributable to owners of the parent company

Balance as of January 1, 2020
Comprehensive Income (loss) for theperiodNet loss for the period
Other comprehensive loss
Total comprehensive loss for theperiodTreasury
Shares

Accumulated othercomprehensive
incomeNoncontrollinginterests

Capital stock

Capital surplus

Retainedearnings

15,232450,526

121,372(85,649)4,517

505,999492

506,491－－(6,452)－－(6,452)(10)(6,462)

－

－

－

－

(5,042)(5,042)－(5,042)－－(6,452)－(5,042)(11,494)(10)(11,504)

－
－
－

－
－
(1)

(4,484)
－
－

－
(4)
2

－
－
－

(4,484)
(4)
1

(28)
－
－

(4,512)
(4)
1

－

163

－

－

－

163

－

163

－

－

221

－

(221)

－

－

－

－

－

－

－

534

534

－

534

－

163

(4,263)(3)313(3,790)(28)(3,818)15,232450,689

110,658(85,652)(212)

490,715454

491,170

Total

Total

Transactions with owners.
Dividends of surplus
Purchase of treasury stock
Disposal of treasury stock
Transactions of share-based
payment
Reclassification fromaccumulated other comprehensive
income (loss) to retained earnings
Reclassification fromaccumulated other comprehensive
income to non-financial assets
Total transactions with owners.
Balance as of June 30, 2020

10

Six months ended June 30, 2021
(Millions of yen)

Capitalstock
Balance as of January 1, 2021
Comprehensive Income for theperiodNet income (loss) for the period
Other comprehensive Income(loss)
Total comprehensive income (loss)
for the period
Transactions with owners

15,232Equity attributable to owners of the parent company
Accumulated other
Other
comprehensive
CapitalRetained
Treasurycomprehensive
income of disposal
surplusearnings
sharesincomegroups classified asaccumulated
for sale
450,605
120,473(85,654)
1,095
(107)

Total

Noncontrollinginterests

Total

501,643450

502,093

－
－

(354)

－

－

－

(354)

(13)

(367)

－

－

－

3,503

－

3,503

－

3,503

－

－

(354)

－

3,503

－

3,149

(13)

3,136

－

－

(4,484)－－－(4,484)－(4,484)Purchase of treasury stock

－

－

－

(4)

－

－

(4)

－

(4)

Disposal of treasury stock

－

(0)

－

0

－

－

0

－

0

Transactions of share-based
payment

－

188

－

－

－

－

188

－

188

－

－

17

－

(17)

－

－

－

－

－

－

－

－

(616)

－

(616)

－

(616)

Dividends of surplus

Reclassification fromaccumulated othercomprehensive income (loss) toretained earnings
Reclassification fromaccumulated othercomprehensive income to nonfinancial assets－

Changes from loss of control

－

－

(107)

－

－

107

－

(297)

(297)

Total transactions with owners
Balance as of June 30, 2021－
15,232

188
450,793(4,574)
115,545(4)(85,659)

(634)
3,964

107
－

(4,917)499,875(297)
140(5,214)500,01511

(4) Condensed Quarterly Consolidated Statements of Cash Flows(Millions of yen)Six months ended

Six months ended

June 30, 2020

June 30,2021

Cash flows from operating activities
Loss for the period before income tax from continuing(15,067)(18,475)

1,821

12,841

29,38728,892operations
Income for the period before income tax fromdiscontinuing operations
Adjustments for:
Depreciation and amortization
Impairment loss

85－

Gain on sales of subsidiaries' stock－(12,841)

Gain on sales of stocks of subsidiaries and affiliates

－

(708)

Change in allowance for doubtful accounts

(67)

680

Interest and dividends income

(288)

(165)

Interest expenses

540

473

Investment loss on equity method

230

133

Gain on sale of property, plant and equipment
Loss on disposal and sale of property, plant andequipment(Increase) decrease in trade and other receivables

(4)

(21)

760

687

5,524

(1,201)

Increase in inventories(3,912)(9,318)

Increase in other assets(9,821)(871)

Increase in trade and other payables

2,899

18,334

Increase in net defined benefit liabilities

1,525

1,257

Decrease in other liabilities(5,404)(3,811)OthersSubtotal

202

107

8,413

15,992

Interest received

0

1

Dividends received

287

163

Interest paid

(471)

(456)

Income taxes paid

(4,651)(8,047)

Income taxes refund

7,696

2,952

Net cash (used in) provided by operating activities

11,274

10,606(48,261)(25,698)

97

272

Proceeds from collection of loans receivable resulting
from sales of stock in subsidiaries

－

7,400

Purchases of other financial assets

(26)

(26)

Proceeds from sale of other financial assets

542

4,473

Proceeds from sale of stock of subsidiaries－

34,490

Other

(48)

208

(47,697)

21,119Cash flows from investing activities
Acquisitions of property, plant and equipment andintangible assets
Proceeds from sales of property, plant and equipment
and intangible assets

Net cash used in investing activities

12

(Millions of yen)Six months ended

Six months ended

June 30, 2020

June 30,2021

Cash flows from financing activities(50,000)

Increase in short-term loans payable
Repayments of long-term loans payable

50,000
(724)

(550)

Dividends paid

(4,484)(4,484)

Dividends paid to non-controlling interests

(28)

－

Proceeds from disposal of treasury stock

1

0

Purchases of treasury stock

(4)

(4)

Repayments of lease liabilities(3,558)(3,525)

Net cash provided by financing activities

41,203(58,563)

Net change in cash and cash equivalents

4,780(26,838)

Cash and cash equivalents at the beginning of the year

113,825

126,378

Cash and cash equivalents at the end of the period

118,605

99,54013

(4) Notes to Condensed Consolidated Financial Statements(Notes Relating to Going Concern Assumption)
Not applicable.
(Changes in Accounting Policies)
Not applicable.
(Segment Information)
From the current fiscal year, the Group has changed to a single segment of "Beverages". As the Group operates a single segment
of beverage business, explanation by reportable segment is omitted. This is because the healthcare and skincare business wasclassified as a discontinued operation following the conclusion of an agreement to transfer all shares in Q'sai to Q-Partners Co.,Ltd on December 15, 2020. The transfer of all shares in Q’sai was completed on February 1, 2021.

14