Consolidated Financial Results < under Japanese GAAP >For the Year Ended March 31 ,2022
May 13 ,2022

Company name:
Listing:
Securities code:
URL:
Representative:

Kitagawa Corporation
Tokyo Stock Exchange
6317
https://www.kiw.co.jp/
Yuji Kitagawa, Representative Director & chairman and president
Hiroo Monden, Director & Operating Officer of Accounting
Inquiries:
Department Business Management Division
Telephone:+81-847-45-4560
June 24 ,2022
Scheduled date of annual general meeting of shareholders:June 27 ,2022
Scheduled date to file annual securities report:
June 27 ,2022
Scheduled date to commence dividend payments:
Yes
Preparation of supplementary material on annual financial results:
Yes(for institutional investors and analysts)
Holding of financial results briefing:(Yen amounts are rounded down to millions, unless otherwise noted.)

1. Consolidated financial results for the fiscal year ended March 31 ,2022(from April 1 ,2021 to March 31 ,2022)（1）Consolidated operating results

Net sales

Operating profit

For the fiscal year ended March 31 ,2021

Fiscal year ended
March 31 ,2022
March 31 ,2021
Reference:

Diluted earnings
per shareYen(101.59)
26.14Profit attributable toowners of parent

Ordinary profit

Millions of yen
Fiscal year ended% Millions of yen%March 31 ,2022
58,67620.4
2,101281.3
March 31 ,2021
48,753(16.4)
551(81.0)
Comprehensive income :For the fiscal year ended March 31 ,2022
Note

Basic earnings
per share(％ indicate year-on-year changes.)% Millions of yen
%
3,062
162.3
(951)
―
1,167
(64.8)
244(85.1)(1,204) million yen―%
753 million yen(44.4) %Millions of yen

Ratio of ordinaryprofit to total assets

Return on equity

Yen――%(2.6)
0.7

Ratio of operating
profit to net sales%
4.2
1.6%
3.6
1.1

Share of profit (loss) of entities accounted for using equity method
For the fiscal year ended March 31 ,2022

122 million yen

For the fiscal year ended March 31 ,2021(107) million yen(2) Consolidated financial position
Total assets
As ofMarch 31 ,2022
March 31 ,2021
Reference:

Net assets

Equity-to-asset ratio

Net assets per share

Millions of yen

Millions of yen%yen

73,311
72,90436,73538,35149.6
51.0

3,880.59
3,971.74

EquityAs of March 31 ,2022

36,326 million yen

As of March 31 ,2021

37,184 million yen(3) Consolidated cash flow
Cash flows fromoperating activities

As ofMarch 31 ,2022
March 31 ,2021

Cash flows frominvesting activities

Cash flows fromfinancing activities

Cash and cash equivalents
at end of period

Millions of yen

Millions of yen

Millions of yen

Millions of yen

3,499
3,105

(4,702)(3,301)

(675)
1,096

8,600
10,349‐1‐

2. Dividends

dividends per share
Year-end

AnnualTotal dividends
paid（annual）

Payout ratio（consolidated）

Dividends to netassets(consolidated)

End of 1Q

End of 2Q

End of 3Q

Yen

Yen

Yen

Yen

Yen

Millions of yen%%

FY March 2021

―

―

―

20.00

20.00

187

76.5

0.5

FY March 2022
FY March 2023
(forecast)

―

25.00

―

25.00

50.00

468

―

1.3

―

30.00

―

30.00

60.00

33.0

3. Consolidated Financial Forecast(April 1 ,2022 through March 31 ,2023)(％ indicate year-on-year changes from full of fiscal year and first half of the previous fiscal year, respectively.)
Net sales
Millions of yen

2Q(first half)
Full year

29,60063,000Operating income%
7.2
7.4

Millions of yen

1,0002,800

Profit attributable toowners of parent

ordinary income%
2.5
33.3

Millions of yen

1,200
3,300%(3.0)
7.7

Millions of yen

500
1,700%(23.8)―

Notes
Changes in significant subsidiaries during the period (changes in specified subsidiaries resulting in the change in(1)
scope of consolidation):
Newly included:
Excluded: ―
(2)

(3)

Profit per shareyen

53.41
181.60No―

Changes in accounting policies, changes in accounting estimates, and restatement(i) Changes in accounting policies due to revisions to accounting standards and other regulations:(ii) Changes in accounting policies due to other reasons:(iii) Changes in accounting estimates:(iv) Restatement:

YesNo
NoNo

Number of issued shares (common shares)(i) Total number of issued shares at the end of the period (including treasury shares)
As of March 31 ,2022
As of March 31 ,2021

9,650,803
9,650,803

shares289,782
288,626

shares9,361,486
9,362,606

sharesshares(ii) Number of treasury shares at the end of the period
As of March 31 ,2022
As of March 31 ,2021shares(iii) Average number of shares outstanding during the period
FY ended March 31 ,2022
FY ended March 31 ,2021‐2‐shares

(Reference) Non-consolidated financial results
1. Non-consolidated financial results for the financial year ended( % indicate year-on-year changes. )(1) Non-consolidated operating results
Net sales
Fiscal year ended
March 31 ,2022
March 31 ,2021

Operating profit

53,041
43,725% Millions of yen
21.3
2,440
(13.9)
740

Earnings
per share

Diluted earnings
per share

Millions of yen

Fiscal year ended
March 31 ,2022March 31 ,2021

Yen
43.28
26.80

Ordinary profit% Millions of yen
229.8
3,895
(72.2)
1,671

Net profit% Millions of yen
133.0
405
(55.1)
250%
61.4(85.9)

Yen――(2) Non-consolidated financial position
Total assets
As ofMarch 31 ,2022
March 31 ,2021
Reference:

Net assets

Equity-to-asset ratio

Net assets per share

Millions of yen

Millions of yen%yen

70,60568,83935,20735,40349.9
51.4

3,761.06
3,781.52

Equity35,207 million yen
35,403 million yen

As of March 31 ,2022
As of March 31 ,2021

Financial results reports are not audited by certified public accountants or auditing firms.
Explanation for the appropriate use of performance forecasts and other special notes:
The statements regarding forecast of financial results in this report are based on the information that is available, as well asestimates, assumptions and projections that are believed to be reasonable at the time of publication, and they are not meant to be acommitment by the Company. Therefore, there might be cases in which actual results differ from forecast values.

‐3‐Consolidated Financial Statements(1) Consolidated Balance Sheets(Millions of yen)
As ofAssets
Current assets
Cash and deposits
Notes and accounts receivable - trade
Notes receivable - trade
Accounts receivable - trade
Contract assets
Electronically recorded monetary claims - operating
Merchandise and finished goods
Work in process
Raw materials and supplies
Other
Allowance for doubtful accounts
Total current assets
Non-current assets
Property, plant and equipment
Buildings and structures
Accumulated depreciation
Buildings and structures, net
Machinery, equipment and vehicles
Accumulated depreciation
Machinery, equipment and vehicles, net
LandLeased assets
Accumulated depreciation
Leased assets, net
Construction in progress
Other
Accumulated depreciation
Other, net
Total property, plant and equipment
Intangible assets
Investments and other assets
Investment securities
Deferred tax assets
Retirement benefit asset
Other
Allowance for doubtful accounts
Total investments and other assets
Total non-current assets
Total assets‐4‐March 31,2021

March 31,2022

10,584
11,196
―
―
―
5,728
3,766
4,205
2,157
390
(16)
38,013

8,852
―
935
9,692
1,331
7,446
4,372
4,560
2,644
755
(18)40,573

16,884(9,579)7,304
49,903(36,185)
13,718
3,720
395
(197)
198
1,600
2,627
(2,085)542
27,084530

16,342(10,188)
6,154
48,482(37,861)
10,620
3,777
361
(166)
195
3,352
2,794
(2,285)508
24,608
606

3,375
298
3,397
248
(43)
7,276
34,891
72,904

3,138
241
3,946
240
(43)
7,523
32,73873,311

(Millions of yen)
As ofLiabilities
Current liabilities
Notes and accounts payable - trade
Electronically recorded obligations - operating
Short-term borrowings
Current portion of long-term borrowings
Lease liabilities
Income taxes payable
Contract liabilities
Provision for bonuses
Provision for bonuses for directors (and other officers)
Provision for product warranties
Other
Total current liabilities
Non-current liabilities
Long-term borrowings
Lease liabilities
Deferred tax liabilities
Provision for environmental measures
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 incomeValuation difference on available-for-sale securities
Deferred gains or losses on hedges
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‐

March 31,2021

March 31,2022

4,609
4,696
4,024
825
50
530
―
552
48
39
5,470
20,846

5,394
6,420
2,867
1,249
55
808
1,569
684
48
115
2,834
22,048

8,163
123
0
159
5,144
115
13,70734,553

9,116
110
142
44
4,998
115
14,52836,5768,6405,091
22,393(616)35,5098,640
5,091
21,032(617)34,1461,426
3761(516)
1,674
1,167
38,351
72,9041,240―
1,099(160)
2,179
408
36,73573,311

(2) Consolidated Statements of Income and Consolidated Statements of Comprehensive Income( Consolidated Statements of Income)(Millions of yen)
For the years ended
Net sales
Cost of sales
Gross profit
Selling, general and administrative expenses
Operating profit
Non-operating income
Interest income
Dividend income
Share of profit of entities accounted for using equity method
Foreign exchange gains
Rental income from real estate
Gain on sale of scraps
Subsidy income
Income from contribution to facilities
Other
Total non-operating income
Non-operating expenses
Interest expenses
Share of loss of entities accounted for using equity method
Sales discounts
Other
Total non-operating expenses
Ordinary profit
Extraordinary income
Gain on sale of investment securities
Subsidy income
Total extraordinary income
Extraordinary losses
Loss on retirement of non-current assets
Impairment losses
Provision for product warranties
Donations
Total extraordinary losses
Profit (loss) before income taxes
Income taxes - current
Income taxes - deferred
Total income taxes
Profit (loss)
Profit (loss) attributable to non-controlling interests
Profit (loss) attributable to owners of parent‐6‐

March 31,2021

March 31,2022

48,75342,258
6,495
5,944
551

58,67650,323
8,352
6,251
2,101

21
74
―
166
54
155
241
―
158
872

20
83
122
199
54
352
10
79
163
1,085

82
107
15
50
256
1,167

94
―
―
29
124
3,062

―
―
―

44
108
153

130
215
―
46
393
774
553
69
623
151
(93)
244

120
3,705
38―
3,863
(647)
1,135
133
1,269
(1,916)(965)(951)( Consolidated Statements of Comprehensive Income)(Millions of yen)
For the years ended
Profit (loss)
Other comprehensive income
Valuation difference on available-for-sale securities
Deferred gains or losses on hedges
Foreign currency translation adjustment
Remeasurements of defined benefit plans, net of tax
Share of other comprehensive income of entities
accounted for using equity method
Total other comprehensive income
Comprehensive income
Comprehensive income attributable toComprehensive income attributable to owners of parent
Comprehensive income attributable to non-controlling interests‐7‐

March 31,2021

March 31,2022

151(1,916)478
3(869)
986

(185)
(3)
531
355

2

14

602
753

711
(1,204)

954
(200)

(446)
(758)

(3) Consolidated Statements of Cash Flows(Millions of yen)
For the years ended
Cash flows from operating activities
Profit (loss) before income taxes
Depreciation
Impairment losses
Increase (decrease) in allowance for doubtful accounts
Increase (decrease) in provision for bonuses
Increase (decrease) in provision for bonuses for directors(and other officers)
Increase (decrease) in provision for product warranties
Increase (decrease) in provision for environmental measures
Increase (decrease) in retirement benefit liability
Interest and dividend income
Interest expenses
Share of loss (profit) of entities accounted
for using equity method
Loss on retirement of property, plant and equipment
Loss (gain) on sale of investment securities
Decrease (increase) in trade receivables
Decrease (increase) in inventories
Increase (decrease) in trade payables
Increase (decrease) in accrued consumption taxes
Other, net
SubtotalInterest and dividends received
Interest paid
Income taxes paid
Net cash provided by (used in) operating activities
Cash flows from investing activities
Purchase of property, plant and equipment
Purchase of investment securities
Proceeds from collection of loans receivable
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
Purchase of treasury shares
Repayments of lease liabilities
Dividends paid
Purchase of shares of subsidiaries not resulting in change
in scope of consolidation
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‐8‐

March 31,2021

March 31,2022

774
3,801
215
2(90)

(647)
3,849
3,705
2
132

(5)

―(171)
(59)
4(95)
82

76(115)34(103)
94

107

(122)

130
―
(2,515)
467
(90)
319
585
3,463
99
(83)
(372)
3,105

120
(44)
(2,312)(1,545)2,467(230)(1,098)
4,262
134
(93)
(803)
3,499

(3,583)(7)76
212(3,301)(4,644)(6)
63(114)(4,702)272
2,851(1,469)
(1)
(73)
(468)

(1,235)
1,886
(847)
(1)
(55)
(421)

(15)

―1,096
(13)
887
9,461
10,349(675)
130(1,748)
10,3498,600

Segment Information
Industry Segment Information
The Fiscal year ended March 31,2021(Millions of yen)
Reportable segment
Kitagawa
MaterialTechnologyCompany

Kitagawa
SunTechCompany

Kitagawa
GlobalhandCompany

OtherTotal

Total

Net sales
Unaffiliated customers
Intersegment
Total
Operating profit (loss)
Assets23,190

17,6997,464

48,355398

48,753

172

0

9

181

0

182

23,363

17,6997,473

48,536398

48,935

(664)

1,825

473

1,634(372)

1,261

30,320

15,487

11,96557,772

333

58,106

2,911

177

399

3,488

111

3,600

215

―

―

215

―

215

992

1,156

541

2,690

112

2,803

Other items
Depreciation
Extraordinary losses(Impairment losses)
Increase (decrease) in tangible
and intangible assets

The Fiscal year ended March 31,2022(Millions of yen)
Reportable segment
Kitagawa
MaterialTechnologyCompany

Kitagawa
SunTechCompany

Kitagawa
GlobalhandCompanyOtherTotal

Total

Net sales
Unaffiliated customers
Intersegment
Total
Operating profit (loss)
Assets27,026

21,336

9,807

58,170505

58,676

209

012

222

7

229

27,236

21,336

9,820

58,393513

58,906

(224)

2,381

1,051

3,207

(203)

3,003

30,826

17,624

12,931

61,383493

61,876

2,839

283

415

3,539

72

3,612

3,705

―

―

3,705―

3,705

3,517

412

316

4,246

5

4,251

Other items
Depreciation
Extraordinary losses(Impairment losses)
Increase (decrease) in tangible
and intangible assets‐9‐Difference between reportable segment total and consolidated financial statement amounts and main factors in the difference(related to difference adjustment)(Millions of yen)
Net sales

Fiscal year ended March 31,2021

Reportable segment total
Net sales for Other
Elimination of intersegment transaction
Net sales in consolidated financial statements

Fiscal year ended March 31,2022

48,53658,393

398

513

(182)

(229)

48,75358,676(Millions of yen)

Earnings

Fiscal year ended March 31,2021

Fiscal year ended March 31,2022

Reportable segment total

1,634

3,207

Earnings for Other(372)(203)

Corporate expenses（note）

(710)

(902)

Operating profit in consolidated financial statements

551

2,101

Note:

Corporate expenses are expenses of administrative divisions of company that are not attributable to reportable segments.
(Millions of yen)
AssetsFiscal year ended March 31,2021

Fiscal year ended March 31,2022

57,772

Reportable segment total

61,383333493

Corporate assets(note)

14,798

11,435

Total assets in consolidated financial statements

72,90473,311

Assets in OtherNote:

Assets in Other are surplus funds managed by the company,Cross-Shareholdings and assets associated with administrative divisions.
(Millions of yen)
Reportable segment

Depreciation(note1)
Extraordinary losses(Impairment losses)
Increase (decrease) in tangible
and intangible assets(note2)
Note1:
Note2:

Other

Amount in consolidated
financial statements

Adjustment

Fiscal year
ended
March
31,2021
3,488

Fiscal year
ended
March
31,2022
3,539

Fiscal year
ended
March
31,2021111

Fiscal year
ended
March
31,2022
72

Fiscal year
ended
March
31,2021200

Fiscal year
ended
March
31,2022
237

Fiscal year
ended
March
31,2021
3,801

Fiscal year
ended
March31,2022
3,849

215

3,705

――――

215

3,705

2,690

4,246

112

5300

239

3,103

4,490

Adjustments for depreciation refers to depreciation expenses related to corporate assets.
Adjustments for Increase (decrease) in tangible and intangible assets refer to the acquisition of corporate assets.

‐10‐