This document is an English translation of financial results report released on April 28, 2022 and written initially in Japanese.
The Japanese original should be considered as the primary version.

April 28, 2022

Consolidated Financial Results
for the Fiscal Year Ended March 31, 2022
<under IFRSs>
Company name:
Listing:
Stock code:
URL:
Representative:
Contact:

Itochu Enex Co., Ltd.
Tokyo Stock Exchange8133
https://www.itcenex.com/english/
Kenji Okada, Representative Director, President and CEO
Shinichiro Inoue, Executive Officer, Assistant to Chief Financial Officer, Deputy Chief
Operating Officer, Corporate Administration Division Ⅰ and General Manager, Finance& General Accounting Department
Tel: +81-3-4233-8008

Scheduled date of ordinary general meeting of shareholders:
Scheduled date to commence dividend payments:
Scheduled date to file annual securities report:
Preparation of supplementary results briefing material on financial results:
Holding of financial results presentation meeting:June 21, 2022
June 22, 2022
June 21, 2022
Yes
Yes (for institutional
investors and analysts)(Millions of yen with fractional amounts rounded, unless otherwise noted)

1. Consolidated financial results for the fiscal year ended March 31, 2022
(from April 1, 2021 to March 31, 2022)(Percentages indicate year-on-year changes.)(1) Consolidated operating results
Profit fromoperatingactivities

Revenue

Fiscal year ended
March 31, 2022
March 31, 2021

Profit before tax

Net profit

Net profit
attributable to
Itochu Enex’s
shareholders

Comprehensive
incomeMillionsof yen%Millionsof yen%Millionsof yen%Millionsof yen%Millionsof yen%Millionsof yen%936,306

26.7

20,9298.2

22,241

11.0

15,566

8.4

13,1948.4

16,192

6.6

739,067(17.6)

19,346

0.5

20,0390.3

14,364

1.3

12,1680.9

15,185

7.7

Basic earnings per
share attributable
to Itochu Enex’s
shareholders

Diluted earnings
per share
attributable to
Itochu Enex’s
shareholders

Return on equity
obtained as the net
profit attributable
to Itochu Enex’s
shareholders tototal shareholders’equity%Yen
Yen
Fiscal year ended
March 31, 2022
116.89–9.4
March 31, 2021
107.79–9.2
Reference: Share of profit (loss) of investments accounted for using equity method¥2,409 million
For the fiscal year ended March 31, 2022:
For the fiscal year ended March 31, 2021:¥1,726 million

Ratio of profit
before tax to total
assetsRatio of profit
from operating
activities torevenue

%

%

5.2
5.0

2.2
2.6

(2) Consolidated financial position
Total assets
As ofMarch 31, 2022
March 31, 2021

Ratio ofshareholders’equity to total
assetsTotal shareholders’equityTotal equity

Millions of yen

Millions of yen

Millions of yen

447,017408,327

171,198
161,399

144,297
136,233

Shareholders’equity per share
%

Yen

32.3
33.4

1,278.32
1,206.88(3) Consolidated cash flows
Net cash flows from(used in) operating
activities
Fiscal year ended
March 31, 2022
March 31, 2021

Net cash flows from(used in) investing
activities

Net cash flows from(used in) financing
activities

Cash and cash
equivalents at end of
the period

Millions of yen

Millions of yen

Millions of yen

Millions of yen

39,95540,214(19,113)(125)(17,625)(24,528)

38,14534,841

2. Cash dividends
Annual cash dividends per shareFirst
quarterend
Fiscal year ended
March 31, 2021
March 31, 2022
Fiscal year ending
March 31, 2023
(Forecast)

Ratio of total
amount ofDividend
dividends topayout ratio
total(Consolidated) shareholders’equity(Consolidated)

Total cash
dividends(Total)Secondquarterend

Third
quarterend

Yen

Yen

Yen

Yen

Yen

Millions of yen

%

%

–
–

22.00
23.00

–
–

28.00
25.00

50.00
48.00

5,649
5,423

46.4
41.1

4.3
3.9

–

24.00

–

24.00

48.00

Fiscalyear-end

Total

41.7

Note: Breakdown of year-end dividend for the fiscal year ended March 31, 2021: Ordinary dividend of ¥22.00, andanniversary commemorative dividend of ¥6.00

3. Consolidated earnings forecasts for the fiscal year ending March 31, 2023
(from April 1, 2022 to March 31, 2023)

Profit from operating
activities

Revenue

Millions of yen

Six months ending
September 30, 2022
Fiscal year ending
March 31, 2023

(Percentages indicate year-on-year changes.)
Basic earnings
Net profit
per share
Profit before tax attributable to Itochu attributable toEnex’s shareholders Itochu Enex’s
shareholders% Millions of yen% Millions of yen% Millions of yen

%

Yen

–

–

–

–

–

–

–

–

–

1,000,000

6.8

19,400(7.3)

20,800(6.5)

13,000(1.5)

115.17

Note: The Company’s performance is evaluated on a fiscal year basis. Accordingly, consolidated earnings forecasts for the
first six months of fiscal year are not prepared.

* Notes(1) Changes in significant subsidiaries during the period (changes in specified subsidiaries resulting in thechange in scope of consolidation): None
(2) Changes in accounting policies and changes in accounting estimatesa. Changes in accounting policies required by IFRSs:
b. Changes in accounting policies other than the above:c. Changes in accounting estimates:

None
None
None

(3) Number of issued shares (common stock)a. Total number of issued shares at end of period (including treasury stock)
As of March 31, 2022

116,881,106 shares

As of March 31, 2021

116,881,106 sharesb. Number of treasury stock at end of period
As of March 31, 2022

4,000,969 shares

As of March 31, 2021

4,000,323 sharesc. Average number of outstanding shares during period
Fiscal year ended March 31, 2022

112,880,475 sharesFiscal year ended March 31, 2021

112,880,739 shares* Note on financial results
Revenue increased year on year due to the impact resulting from rising sales prices linked to higher crude
oil prices and the increase in sales volumes of domestic petroleum products.
* Financial results reports are exempt from audit conducted by certified public accountants or an audit
corporation.
* Proper use of earnings forecasts, and other special notes(Caution regarding forward-looking statements and others)
The forecasts and other forward-looking statements in this report are based on information currently
available to the Company and on certain assumptions deemed to be reasonable by the Company. Actual
business and other results may significantly differ from these forecasts due to various factors.
Please refer to “1. Overview of Operating Results and Others, (1) Overview of Operating Results for the
Fiscal Year Ended March 31, 2022” on page 2 of the attached materials for matters relating to earnings
forecasts.

Contents of Attached Materials
1. Overview of Operating Results and Others .............................................................................................. 2(1) Overview of Operating Results for the Fiscal Year Ended March 31, 2022 .................................... 2(2) Overview of Financial Position for the Fiscal Year Ended March 31, 2022 .................................... 7(3) Profit Distribution Policy and Dividends for the Fiscal Years Ended March 31, 2022 andEnding March 31, 2023 ........................................................................................................................ 9
2. Basic Concepts Underlying Selection of Accounting Standards ........................................................... 10
3. Consolidated Financial Statements and Significant Notes Thereto ...................................................... 11(1) Consolidated Statement of Financial Position.................................................................................. 11(2) Consolidated Statement of Comprehensive Income ........................................................................ 13(3) Consolidated Statement of Changes in Equity ................................................................................. 15(4) Consolidated Statement of Cash Flows............................................................................................. 16(5) Notes to Consolidated Financial Statements .................................................................................... 18
Notes on Uncertainties of Entity’s Ability to Continue as Going Concern .................................... 18
Segment Information .......................................................................................................................... 18
Earnings per Share ............................................................................................................................. 21
Significant Events after the Reporting Period ................................................................................. 21

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1.

Overview of Operating Results and Others(1) Overview of Operating Results for the Fiscal Year Ended March 31, 2022
1)

Results of operations
During the fiscal year ended March 31, 2022 (April 1, 2021 to March 31, 2022), the Japanese
economy continued to require close attention due to factors such as the sudden rise in crude oil prices
caused by geopolitical risks, including the situation in Ukraine, and the tight supply of electricity
caused by earthquakes in Japan. In addition, despite a moderate recovery from the effects of the novel
coronavirus disease (COVID-19) as voluntary stay-at-home directives and requests by local
authorities to refrain from business activities eased compared to the previous fiscal year, the future
outlook remains uncertain due to factors such as another increase in the number of people infectedwith repeated emergence of COVID-19 variants.
In response, the Group has established the “emergency headquarters for tackling the coronavirus
pandemic,” headed by the President, to carry out appropriate management by deciding on andexecuting company-wide policies and necessary measures, and by continuously collecting andspreading information internally and externally. In addition, with “employee safety” and “infection
prevention” as the Company’s top priorities, we are working to reduce the risk of infection throughtelecommuting, working at staggered hours and thorough disinfection of business sites, as well as toincrease operational efficiency by improving the communication network environment necessary forthe execution of business.
In terms of business, we are promoting our business in accordance with our two-year medium-termbusiness plan “SHIFT! 2022” which was newly formulated in April 2021.
Overview of medium-term business plan
1. Name of the plan:

SHIFT! 2022

2. Period:

Two years (FY2021 to FY2022)

3. Basic policy:

Bases, Environment and Energy, and Human Resources
Bases‧ Further enhancement of domestic sale network and customer base
‧ Active promotion of B-to-C business utilizing digital transformation‧ Strengthening of overseas business development with a focus on Asia
Environment and Energy‧ Forays into untapped areas with environmental products, electricity andvarious other forms of energy‧ Further expansion of the electric power business from generation toselling, especially with renewable energy‧ Enhancing environmental technical capabilities and expand offerings of
low-carbon and decarbonized products
Human Resources‧ Cultivating multi-talented human resources who will flourish in Japanand overseas‧ Promoting diversity and fostering a diverse range of values-2-4. Quantitative plan (FY2021)(*1):
Target Consolidated Results for FY2021(1) Net profit attributable to Itochu Enex’s shareholders: ¥12.5 billion(2) ROE: 9.0% or moreManagement indicators(1) Substantive operating cash flows(*2): ¥30.0 billion or more each fiscal
period(2) Consolidated dividend payout ratio: 40% or more
(3) New investment (cumulative total over two fiscal years): ¥60.0 billion(*1) The target consolidated results for FY2022 are (1) Net profit attributable to Itochu Enex’s shareholders: ¥13.0
billion and (2) ROE: 9.0% or more.
(*2) Substantive operating cash flows excludes working capital, etc. from cash flows from operating activities.

The operating results for the fiscal year ended March 31, 2022 are as follows.
(Millions of yen)
Fiscal year ended
March 31, 2021

Fiscal year ended
March 31, 2022

Revenue

739,067

936,306

197,239

Profit from operating activities

19,34620,9291,583

Net profit attributable to Itochu Enex’s shareholders

12,16813,194

1,026

ChangeRevenue was ¥936,306 million (up 26.7% year on year). This was mainly due to an increase in selling
prices of domestic petroleum products resulting from higher crude oil prices.
Profit from operating activities was ¥20,929 million (up 8.2% year on year), and net profit attributable
to Itochu Enex’s shareholders was ¥13,194 million (up 8.4% year on year). This was mainly due tothe impact of inventory valuation factors associated with higher LP gas import prices and valuation
gains from making large-scale solar power plants (mega solar power plants) subsidiaries of theCompany, while there was a reaction to the temporary revenue from operations that captured crude oil
price fluctuations in the previous fiscal year.
2)

Results of operations by segment
Results of operations by segment are as follows.
Home-Life Division(Millions of yen)
Fiscal year ended
March 31, 2021

Fiscal year ended
March 31, 2022

Revenue

78,962

93,992

15,030

Profit from operating activities

1,553

2,635

1,082

Net profit attributable to Itochu Enex’s shareholders

1,726

2,759

1,033

ChangeIn LP gas business of the Home-Life Division during the fiscal year ended March 31, 2022, the numberof customers under direct LP gas supply contracts increased by approximately 5,000 from the end of
the previous fiscal year to approximately 557,000 as a result of activities to acquire new customers andsales rights in the LP gas business. Although demand for commercial and industrial use, which wasaffected by COVID-19, is on a recovery trend, LP gas sales volume decreased slightly year on year
overall as demand for automotive gas for wholesale and taxi use decreased.

-3-

Regarding sales of electricity for households, the division promoted the expansion of the customer baseby focusing mainly on selling LP gas as a set. As a result, the number of supply contracts was a total of
approximately 118,000 (an increase of approximately 9,000 from the end of the previous fiscal year).
In the industrial gas business, sales volume increased year on year due to the recovery in utilization
rates of restaurants and plants to which we are supplying gas that had experienced reduced demand due
to COVID-19.
As a result of these activities, the operating results for the fiscal year ended March 31, 2022 are as
follows.
Revenue was ¥93,992 million (up 19.0% year on year). This was mainly due to an increase in selling
prices resulting from higher LP gas import prices.
Profit from operating activities was ¥2,635 million (up 69.7% year on year), and net profit attributable
to Itochu Enex’s shareholders was ¥2,759 million (up 59.8% year on year). This was mainly due to arecovery in the industrial gas-related business in line with the resumption of economic activity and theimpact of inventory valuation factors associated with higher LP gas import prices.
Car-Life Division(Millions of yen)
Fiscal year ended
March 31, 2021

Fiscal year ended
March 31, 2022

414,641

516,670

102,029

Profit from operating activities

7,604

7,657

53

Net profit attributable to Itochu Enex’s shareholders

4,054

3,971

(83)

Revenue

ChangeLooking at the Car-Life Division during the fiscal year ended March 31, 2022, in the Car-Life Stations(CS)(*3) business, the number of the CS was 1,636, a decrease of 51 from the end of the previous fiscal
year. Sales volumes of petroleum products were slightly higher year on year, as sales volume ofgasoline and diesel fuel picked up, compared to the previous fiscal year, which saw a significant
decline, despite the impacts of the spread of COVID-19 as well as poor weather conditions in thesummer and a warm winter.
In the automotive business, our car dealer business subsidiary OSAKA CAR LIFE GROUP CO., LTD.
experienced a decrease in sales volume year on year due to the spread of COVID-19 and a decrease in
the number of cars produced because of semi-conductor shortages.
As a result of these activities, the operating results for the fiscal year ended March 31, 2022 are as
follows.
Revenue was ¥516,670 million (up 24.6% year on year). This was mainly due to an increase in sales
prices of domestic petroleum products linked to crude oil prices and an increase in sales volume.
Profit from operating activities was ¥7,657 million (up 0.7% year on year), but net profit attributable to
Itochu Enex’s shareholders was ¥3,971 million (down 2.0% year on year). This was mainly due to acontraction in retail margins in the CS business, while the increase in the earnings ratio per vehicle in
the automobile dealer business contributed.
(*3) Car-Life Stations: Car-Life Stations are service stations offering multiple services provided by the Company.

-4-Industrial Business Division(Millions of yen)
Fiscal year ended
March 31, 2021

Fiscal year ended
March 31, 2022

160,778

224,496

63,718

Profit from operating activities

5,010

4,674

(336)

Net profit attributable to Itochu Enex’s shareholders

3,857

3,250

(607)

Revenue

ChangeLooking at the Industrial Business Division, during the fiscal year ended March 31, 2022, the asphalt
sales business conducted its sales activities with an awareness of profitability, despite a decrease insales volume. In the marine fuel sales business, although sales volume for domestic vessels increased
year on year as a result of expanding supply for new routes from existing customers, sales volume forocean-going vessels decreased, resulting in a year-on-year decline in volume. In the corporate fleet fuelcard business, sales volume increased year on year as a result of continuous efforts to acquire newcustomers. In the AdBlue®(*4) sales business, which is being pursued as a business to reduce
environmental impact, there was a severe environment with urea shortages in Japan and overseas, but
the Company made efforts to ensure stable supply to existing customers by maximizing the use of ourown nationwide supply hubs, including the Saitama AdBlue plant, which was established in the current
fiscal year. As for the GTL fuel(*5) sales business, sales volume has been increasing steadily, as the
supply area has been expanded and the product has been adopted at construction sites in Japan.
As a result of these activities, the operating results for the fiscal year ended March 31, 2022 are as
follows.
Revenue was ¥224,496 million (up 39.6% year on year). This was mainly due to the increase in unit
sales prices of industrial petroleum products resulting from higher crude oil prices.
Profit from operating activities was ¥4,674 million (down 6.7% year on year). Net profit attributable to
Itochu Enex’s shareholders was ¥3,250 million (down 15.7% year on year). This is mainly due to thefact that, while the asphalt sales business increased its profit, it was largely affected by the reaction to
the temporary revenue from operations capturing crude oil price fluctuations in the previous fiscal year.
(*4) AdBlue® is a world-standard High-Grade Aqueous Urea used in the decomposition and detoxification of diesel
exhaust. (AdBlue® is a registered trademark of Verband der Automobilindustrie e.V. (VDA).)(*5) Abbreviation for gas to liquids, a clean diesel replacement fuel made from natural gas with low environmental
impact.

Power & Utility Division(Millions of yen)
Fiscal year ended
March 31, 2021

Fiscal year ended
March 31, 2022

Revenue

84,686

101,148

16,462

Profit from operating activities

5,220

6,180

960

Net profit attributable to Itochu Enex’s shareholders

2,669

3,483

814

ChangeIn the electric power business of the Power & Utility Division, during the fiscal year ended March 31,
2022, high-voltage power sales volumes(*6) increased year on year due to landing a large-scale project.
Low-voltage sales volume increased year on year due to an increase in the number of contracts,
particularly for households, and retail electricity sales volumes increased year on year overall.
In the heat supply business(*7), demand for heat decreased year on year in the first half due to thesignificantly lower average temperature this summer compared to the previous fiscal year. On the other
hand, demand for heat increased year on year in the second half due to the lower average temperatures-5-

this winter compared to the previous fiscal year, and full-year demand for heat was only slightly below
the previous fiscal year.
As a result of these activities, the operating results for the fiscal year ended March 31, 2022 are as
follows.
Revenue was ¥101,148 million (up 19.4% year on year). This was mainly due to the effect of anincrease in market wholesale volume and an increase in prices in the electric power business.
Profit from operating activities was ¥6,180 million (up 18.4% year on year). Net profit attributable to
Itochu Enex’s shareholders was ¥3,483 million (up 30.5% year on year). This was mainly due to thecontribution of valuation gains, etc. from making large-scale solar power plants (mega solar power
plants) subsidiaries of the Company (impact of ¥2,935 million on net profit attributable to Itochu
Enex’s shareholders), while the electricity retail margins contracted due to higher procurement prices
caused by surging resource prices.
(*6) Electricity sales volume includes brokerage volume for both high voltage and low voltage.
(*7) Heat supply business: The heat supply business supplies cold and hot water for air conditioning to multiple officebuildings and other buildings from a heat source plant using pipes.

3)

Forecasts of consolidated financial results for the fiscal year ending March 31, 2023
In the forecast of consolidated financial results for the fiscal year ending March 31, 2023, we project¥1,000,000 million in revenue, up 6.8% year on year, ¥19,400 million in profit from operating
activities, down 7.3% year on year, ¥20,800 million in profit before tax, down 6.5% year on year, and¥13,000 million in net profit attributable to Itochu Enex’s shareholders, down 1.5% year on year.
Basic earnings per share attributable to Itochu Enex’s shareholders are projected at ¥115.17.

-6-

(2) Overview of Financial Position for the Fiscal Year Ended March 31, 2022
1)

Analysis of assets, liabilities, equity and cash flows

Assets, liabilities and equity(Millions of yen)
As of March 31, 2021

As of March 31, 2022

ChangeTotal assets

408,327

447,017

38,690Total liabilities

246,928

275,819

28,891

Total equity

161,399

171,198

9,799

Total assets amounted to ¥447,017 million as of March 31, 2022, an increase of ¥38,690 million fromMarch 31, 2021. This was mainly due to an increase in property, plant and equipment of ¥24,201 million
due to the acquisition of subsidiaries and an increase in trade receivables of ¥19,147 million due to anincrease in selling prices resulting from a rise in the crude oil prices. Total liabilities amounted to¥275,819 million, an increase of ¥28,891 million from March 31, 2021. This was mainly due to anincrease in trade payables of ¥17,459 million due to an increase in purchase prices resulting from a rise in
the crude oil prices and an increase in bonds and borrowings of ¥15,470 million due to the acquisition ofsubsidiaries. Total equity totaled ¥171,198 million, an increase of ¥9,799 million from March 31, 2021,
due to factors including an increase of ¥13,194 million from net profit attributable to Itochu Enex’s
shareholders and a decrease of ¥6,408 million by payment of cash dividends.
We consequently ended the fiscal year with a ratio of shareholders’ equity to total assets of 32.3%.
Cash flows
While taking COVID-19 into consideration, the Group will expand peripheral businesses, develop new
business areas, and aggressively promote investment in environment-related businesses, using the cash
flow generated from its core businesses.
With respect to financing capacity for the time being, we have sufficiently secured account overdraft
facilities and commercial paper issuance facilities, in addition to maintaining ample cash and cash
equivalents. Moreover, we are essentially free of debt amid a situation where we have maintained healthy
levels of debt thus far, which is currently reflected by our net debt-equity ratio (net DER) of negative 0.04
times.
(Millions of yen)
Fiscal year ended
March 31, 2021

Fiscal year ended
March 31, 2022

Cash flows from operating activities

40,21439,955(259)

Cash flows from investing activities(125)(19,113)(18,988)[Free cash flows][40,089][20,842][(19,247)]

Cash flows from financing activities(24,528)(17,625)

6,903

Net increase (decrease) in cash and cash
equivalents

15,561

3,217(12,344)

37

87

50

34,841

38,1453,304

Effect of exchange rate changes on cash and cash
equivalents
Cash and cash equivalents at the end of theperiod-7-

ChangeCash and cash equivalents (net cash) totaled ¥38,145 million as of March 31, 2022, up ¥3,304 million
from March 31, 2021.
Cash flows from operating activities(Millions of yen)
Fiscal year ended
March 31, 2021

Fiscal year ended
March 31, 2022

ChangeCash flows from operating activities

40,21439,955(259)

Changes in working capital and others

7,359

6,109

(1,250)Substantive operating cash flow*

32,85533,846

991*Substantive operating cash flow excludes working capital, etc. from cash flows from operating activities.

Operating activities provided net cash of ¥39,955 million. Major items included profit before tax of¥22,241 million, depreciation and amortization of ¥20,780 million, and income taxes paid of ¥7,162
million. Net cash provided decreased ¥259 million year on year. Moreover, substantive operating cash
flow increased ¥991 million year on year.
Cash flows from investing activities
The Group has always made investments with an awareness of capital efficiency based on our investment
strategy.
In the two years of the “SHIFT! 2022” medium-term business plan, we plan to invest a total of ¥60.0
billion, ¥30.0 billion to maintain and strengthen the important revenue base that generates cash, and ¥30.0
billion to invest in growth, such as renewable energy, environment-friendly business, and overseas
business.
Investing activities used net cash of ¥19,113 million. This was mainly due to payments for acquisition of
additional shares in silent partnerships with the aim of operating large-scale solar power plants (megasolar power plants) of ¥8,397 million, and payments for purchase of property, plant and equipment andinvestment property of ¥10,999 million. Net cash used increased ¥18,988 million year on year.
Cash flows from financing activities
The Group aims to streamline Group-wide financing activities to enhance our corporate value. Enhancing
Group-wide financial management through our Group Financial System* resulted in ¥17,625 million infunds used for financing activities. This was mainly due to repayments of lease liabilities of ¥11,359
million and cash dividends paid to Itochu Enex’s shareholders of ¥5,762 million. Net cash used decreased¥6,903 million year on year.
*The Group Financial System streamlines fund management and procurement costs by sharing funds within the Group.

-8-

2)

Cash flow indicators
Fiscal year ended March 31,
Ratio of shareholders’ equity to total assets (%)
Ratio of shareholders’ equity to total assets at market
value (%)
Ratio of cash flow to interest-bearing debt (years)
Interest-coverage ratio (times)

2020
33.1

2021
33.4

2022
32.3

24.6

30.2

25.9

0.9
25.0

0.4
37.6

0.8
40.2

Ratio of shareholders’ equity to total assets: Total shareholders’ equity / Total assets
Ratio of shareholders’ equity to total assets at market value: Market capitalization / Total assets
Ratio of cash flow to interest-bearing debt: Interest-bearing debt / Cash flow
Interest-coverage ratio: Cash flow / Interest expense(Note 1.) All of the above ratios were calculated using consolidated financial statement data.
(Note 2.) Market capitalization was calculated by multiplying the fiscal-year-end closing share price by
the number of shares outstanding at fiscal year-end (net of treasury stock).
(Note 3.) “Cash flow” is “Cash provided by (used in) operating activities” on the Consolidated Statementof Cash Flows.
(Note 4.) Interest-bearing debt is all debt, of the debt carried on the Consolidated Statement of Financial
Position, on which interest is payable.
(3) Profit Distribution Policy and Dividends for the Fiscal Years Ended March 31, 2022 and Ending
March 31, 2023
In terms of shareholder returns, we aim to maintain a consolidated dividend payout ratio of at least 40% in
accord with our policy of paying stable dividends on an ongoing basis while maintaining sustained
business growth.
For the fiscal year ended March 31, 2022, we plan to pay a year-end dividend of ¥25 per share. For the
fiscal year ending March 31, 2023, we plan to pay annual dividends of ¥48 per share (including an interim
dividend of ¥24 per share).
With respect to internally retained funds, our basic policy is to use such funds to invest in our business tostrengthen our operating foundation and further increase earnings.

-9-

2.

Basic Concepts Underlying Selection of Accounting Standards
The Itochu Enex Group has adopted IFRS (International Financial Reporting Standards) from the fiscal
year ended March 31, 2014, in order to improve international comparability and the convenience offinancial information in capital markets.

- 10 -

3.

Consolidated Financial Statements and Significant Notes Thereto(1) Consolidated Statement of Financial Position
As ofMarch 31, 2021
ASSETS
Current assets
Cash and cash equivalents
Trade receivables
Other current financial assets
Inventories
Income taxes receivable
Trade advances paid
Other current assets
Total current assets
Non-current assets
Investments accounted for by the equity method
Other investments
Non-current financial assets other than investments
Property, plant and equipment
Investment property
Goodwill
Intangible assets
Deferred tax assets
Other non-current assets
Total non-current assets
Total assets- 11 -(Millions of yen)
As ofMarch 31, 2022

34,841
99,764
17,90025,495
3,055
100
2,710

38,145
118,911
14,95722,161
118
150
2,704

183,865

197,146

29,437
4,246
10,330136,291
12,797521
19,6889,728
1,424

28,042
3,396
13,883
160,492
12,979521
19,2328,412
2,914

224,462

249,871408,327

447,017

As ofMarch 31, 2021
LIABILITIES AND EQUITYCurrent liabilities
Short-term bonds and borrowings
Trade payables
Lease liabilities
Other current financial liabilities
Income taxes payable
Advances from customers
Other current liabilities(Millions of yen)
As ofMarch 31, 2022

3,041
102,768
10,2855,614
3,874
11,006
14,35323,091
120,227
9,468
7,527
3,054
10,78011,190150,941

185,337

14,41850,49914,425
9,925
1,001
5,465
254

9,838
48,16014,691
10,480
1,038
6,006
269

Total non-current liabilities

95,98790,482

Total liabilities

Total current liabilities
Non-current liabilities
Non-current bonds and borrowings
Lease liabilities
Other non-current financial liabilities
Non-current liabilities for employee benefits
Deferred tax liabilities
Provisions
Other non-current liabilities

246,928

275,819

EquityCommon stock
Capital surplus
Retained earnings
Other components of equity
Treasury stock

19,87818,974
99,829(576)(1,871)

19,87818,990107,617(315)(1,871)

Total shareholders’ equity

136,233

144,297

25,165

26,901

161,399

171,198

408,327

447,017

Non-controlling interests
Total equity
Total liabilities and equity- 12 -

(2) Consolidated Statement of Comprehensive Income
Fiscal year ended
March 31, 2021

(Millions of yen)
Fiscal year ended
March 31, 2022

Revenue
Cost of sales

739,067(652,178)

936,306(852,715)

Gross profit

86,88983,591Other income and expense
Selling, general and administrative expenses
Loss from tangible assets, intangible assets and goodwill
Other – net(67,115)(1,369)941(68,065)
(615)
6,018

(67,543)(62,662)

Profit from operating activities

Total other income and expense

19,34620,929Financial income and costs
Interest income
Dividends received
Interest expense
Other financial income and costs – net

41
509(1,070)
(513)

31
119
(994)
(253)

Total financial income and costs(1,033)(1,097)

Share of profit of investments accounted for by the equity method
Profit before tax
Income tax expense
Net profit
Net profit attributable to:
Net profit attributable to Itochu Enex’s shareholders
Net profit attributable to non-controlling interests
Total- 13 -

1,726

2,409

20,03922,241(5,675)(6,675)

14,364

15,566

12,1682,196

13,1942,372

14,364

15,566

Fiscal year ended
March 31, 2021
Other comprehensive income, net of tax effectItems that will not be reclassified to profit or loss
FVTOCI financial assets
Remeasurement of net defined benefit liability
Other comprehensive income of investments accounted for by theequity method
Items that may be reclassified to profit or loss
Exchange differences on translating foreign operations
Cash flow hedges
Other comprehensive income of investments accounted for by theequity method(Millions of yen)
Fiscal year ended
March 31, 2022

219
26

53
40

77

59

(65)
147

16
229

417

229

821

626

Comprehensive income

15,185

16,192Comprehensive income attributable to:Comprehensive income attributable to Itochu Enex’s shareholders
Comprehensive income attributable to non-controlling interests

12,9452,240

13,8102,382

15,185

16,192

Total other comprehensive income, net of tax effect

Total

(Yen)
Earnings per share attributable to Itochu Enex’s shareholders
Basic
Diluted- 14 -

107.79–116.89–(3) Consolidated Statement of Changes in Equity
Fiscal year ended March 31, 2021
(Millions of yen)
Shareholders’ equity
Commonstock
Balance at April 1, 2020

19,878

Capitalsurplus18,934

Net profit

Noncontrollinginterests

Total equity

128,333

23,551

151,884

12,1682,196

14,364

777

777

44

821

777

12,9452,240

15,185(5,084)(675)(5,759)–50

50

Retainedearnings

Other
components ofequityTreasury
stock

Total
shareholders’ equity

92,761(1,370)(1,870)12,168Other comprehensive
incomeComprehensive income

12,168Transactions with owners
Cash dividends(5,084)

Changes due to additional
acquisitions and sales ofinterests in subsidiaries
Transfer from othercomponents of equity toretained earnings
Purchase and disposal oftreasury stock

–

(17)

(1)

Share-based payments
Balance at March 31, 2021

1739
19,87818,974

99,829

(576)

–

–

(1)

(1)

1

40

(1,871)

136,233

40
25,165

161,399

Fiscal year ended March 31, 2022
(Millions of yen)
Shareholders’ equity
Commonstock
Balance at April 1, 2021

19,878

Capitalsurplus18,974

Net profit

Noncontrollinginterests

Total equity

136,233

25,165

161,399

13,194

2,372

15,566

616

616

10

626

616

13,8102,382

16,192(5,762)(646)(6,408)

(23)

–

(23)

Retainedearnings

Other
components ofequityTreasury
stock

Total
shareholders’ equity

99,829(576)(1,871)

13,194

Other comprehensive
incomeComprehensive income

13,194

Transactions with owners
Cash dividends(5,762)

Changes due to additional
acquisitions and sales ofinterests in subsidiaries
Transfer from othercomponents of equity toretained earnings
Purchase and disposal oftreasury stock

(23)

356

Share-based payments
Balance at March 31, 2022

(356)

39
19,87818,990107,617- 15 -

(315)

–

–

(1)

(1)

(1)

–

39

39

(1,871)

144,297

26,901

171,198

(4) Consolidated Statement of Cash Flows(Millions of yen)
Fiscal year ended
March 31, 2021
Cash flows from operating activities
Profit before tax
Depreciation and amortization
Loss from tangible assets, intangible assets and goodwill
Gain on remeasurement resulting from companies becoming
subsidiaries
Financial income and costs
Share of profit of investments accounted for by the equity method
Increase in trade receivables
Decrease (increase) in inventories
Increase in trade payables
Other – net
Dividends received
Interest received
Interest expense
Income taxes paid
Income taxes refund
Net cash flows provided by operating activities
Cash flows from investing activities
Purchase of investments (including investments accounted for by
the equity method)
Proceeds from sales and redemption of investments (including
investments accounted for by the equity method)
Acquisition of subsidiaries, net of cash acquired
Proceeds from acquisition of subsidiaries
Proceeds from sales of subsidiaries, net of cash acquired
Payment for loans receivableCollection of loans receivable
Payments for purchase of property, plant and equipment andinvestment property
Proceeds from sales of property, plant and equipment andinvestment property
Purchase of intangible assets
Proceeds from sales of intangible assets
Decrease in deposits paid – net
Other – net
Net cash flows used in investing activities- 16 -

Fiscal year ended
March 31, 2022

20,03919,9301,369

22,241
20,780615–(4,211)

1,033(1,726)(12,927)(4,807)
18,950
6,143
3,105
41
(1,006)(10,028)98

1,097(2,409)(19,145)
3,318
17,119
4,817
695
31
(886)
(7,162)
3,055

40,21439,955(5,375)(1,023)

5,521

2,550

–
11
–
(875)
1,180

(8,397)
–
825
(749)
815

(11,646)(10,999)

700

1,089

(1,618)219
11,021737(1,811)29–(1,442)(125)(19,113)(Millions of yen)
Fiscal year ended
March 31, 2021

Fiscal year ended
March 31, 2022

Cash flows from financing activities
Proceeds from bonds and borrowings
Repayments of bonds and borrowings
Repayments of lease liabilities
Net increase in short-term borrowings
Capital contribution from non-controlling interests
Cash dividends paid to Itochu Enex’s shareholders
Cash dividends paid to non-controlling interests
Purchase of treasury stock

11,050(18,941)(11,106)
179
50(5,084)
(675)
(1)

1,050
(1,896)(11,359)
989–(5,762)(646)(1)

Net cash flows used in financing activities(24,528)(17,625)

Net increase in cash and cash equivalents

15,561

3,217

Cash and cash equivalents at the beginning of the period

19,243

34,84137

87

34,841

38,145

Effect of exchange rate changes on cash and cash equivalents
Cash and cash equivalents at the end of the period- 17 -

(5) Notes to Consolidated Financial Statements
Notes on Uncertainties of Entity’s Ability to Continue as Going Concern
No items to report.
Segment Informationi) Outline of Reportable Segments
The reportable segments of the Group are components of the Group whose separate financial
information is available. These segments are periodically evaluated by the Board of Directors indeciding how to allocate management resources and in assessing performance.
The Group is organized into business divisions, consolidating related businesses. Each businessdivision plans strategies for each category of target customers and markets and develops businessactivities. The Group has four reportable segments that correspond to the business divisions, namely
the “Home-Life Division,” “Car-Life Division,” “Industrial Business Division,” and “Power & Utility
Division.”
The Home-Life Division engages in sales and services involving LP gas, kerosene, town gas (Nakatsu
City, Oita Prefecture and Kanto region), industrial gas, electricity, household equipment, smart energy
equipment, remodeling, residential lithium-ion electricity storage systems, pressure resistanceinspection for gas containers and welding materials.
The Car-Life Division engages in sales and services involving gasoline, kerosene, diesel oil, electricity,
automobiles, car rental, lifestyle and automotive products.
The Industrial Business Division engages in sales and services involving gasoline, kerosene, diesel oil,fuel oil, LP gas, high-grade urea solution “AdBlue®,” GTL fuel, corporate fleet refueling cards asphalt,
and marine fuel, as well as recycling of fly ash, recovery and recycling of slop, import/ export ofpetroleum products and terminal tank rental.
The Power & Utility Division is engaged in the sale of electricity (wind, hydropower, photovoltaic
power, coal-fired, natural gas-fired) and steam, as well as in providing district heating services,comprehensive energy services, electricity/heat supply services, electric power supply/demand
management services, and asset management business.

- 18 -

ii) Information on Reportable Segments
Fiscal year ended March 31, 2021
(Millions of yen)
Reportable segment
Home-Life
Division

Car-Life
Division

Industrial
Business
Division

Power &
Utility
Division

Total

Revenue from externalcustomers

78,962

414,641

160,778

84,686

739,067–

739,067Intersegment revenue

54

10,910

5,262

4,224

20,450(20,450)–

Total revenue

Adjustment

Consolidated

Revenue

79,016425,551

166,040

88,910759,517(20,450)

739,067

Gross profit

20,42946,776

9,426

10,25886,889–86,889Selling, general andadministrative expenses(18,750)(39,162)(4,103)(4,985)(67,000)(115)(67,115)

Loss from tangible assets,intangible assets andgoodwill

(157)

(214)

(310)

(668)

(1,349)(20)(1,369)Other profit (loss)

31

204

(3)

615

847

94

941

Profit from operating
activities

1,553

7,604

5,010

5,220

19,387(41)

19,346

Financial income and costs

(14)

(453)

438

(855)

(884)

(149)

(1,033)

Share of profit ofinvestments accounted forby the equity method

1,410

69

66

181

1,726

–

1,726

Profit before tax

2,949

7,220

5,514

4,546

20,229(190)

20,039Net profit attributable to
Itochu Enex’s shareholders

1,726

4,054

3,857

2,669

12,306(138)

12,168(3,887)(7,604)(1,799)(5,089)(18,379)(1,551)(19,930)

(119)

(136)

(295)

(496)

(1,046)–(1,046)

Total assets

72,235150,123

56,28894,979373,625

34,702

408,327

Investments accounted
for by the equity method

20,282

429

194

8,532

29,437–29,437

Capital expenditures

4,309

2,146

431

5,931

12,817447

13,264

Increase in right-of-use
assets

1,350

5,876

1,916

630

9,772

3

9,775

Other items
Depreciation andamortization
impairment loss

(Note)

Intersegment transactions have been decided by reference to the market price.
The adjustment of negative ¥138 million to net profit attributable to Itochu Enex’s shareholders represents corporate
profit (loss) not allocated to reportable segments.
The adjustment of ¥34,702 million to total assets represents corporate assets not allocated to reportable segments.

- 19 -

Fiscal year ended March 31, 2022
(Millions of yen)
Reportable segment
Home-Life
Division

Car-Life
Division

Industrial
Business
Division

Power &
Utility
Division

Total

Revenue from externalcustomers

93,992516,670

224,496

101,148936,306–

936,306

Intersegment revenue

103

14,324

7,440

5,055

26,922(26,922)–

Total revenue

94,095

530,994

231,936

106,203

963,228(26,922)936,306

Gross profit

21,726

46,383

8,408

7,074

83,591–

83,591

Selling, general andadministrative expenses(19,189)(38,735)(4,781)(5,125)(67,830)(235)(68,065)

Loss from tangible assets,intangible assets andgoodwill

(56)

(226)

(76)

(255)

(613)

(2)

(615)

Other profit

154

235

1,123

4,486

5,998

20

6,018

2,635

7,657

4,674

6,180

21,146(217)

20,929Financial income and costs

(9)

(429)

25

(535)

(948)

(149)

(1,097)

Share of profit ofinvestments accounted forby the equity method

2,025

75

1

308

2,409

–

2,409

Profit before tax

4,651

7,303

4,700

5,953

22,607(366)

22,241

Net profit attributable to
Itochu Enex’s shareholders

2,759

3,971

3,250

3,483

13,463(269)

13,194(4,076)(7,464)(2,023)(5,725)(19,288)(1,492)(20,780)

(483)

(115)

(43)

(123)

(764)

–

(764)

Total assets

77,719149,627

70,757

117,272

415,375

31,642447,017

Investments accounted
for by the equity method

21,219

738

209

5,876

28,042–

28,042

Capital expenditures

3,481

3,380

656

5,057

12,574236

12,810

Increase in right-of-use
assets

1,113

1,309

1,932

614

4,968

84

5,052

Adjustment

Consolidated

Revenue

Profit from operating
activities

Other items
Depreciation andamortization
impairment loss

(Note)

Intersegment transactions have been decided by reference to the market price.
The adjustment of negative ¥269 million to net profit attributable to Itochu Enex’s shareholders represents corporate
profit (loss) not allocated to reportable segments.
The adjustment of ¥31,642 million to total assets represents corporate assets not allocated to reportable segments.

- 20 -

iii) Products and Services Information
This information is omitted because the classification of products and services is the same as theclassification of reportable segments.
iv) Geographic Information
This information is omitted because revenue from external customers in Japan accounts for a large
percentage of the revenue recorded in the consolidated statement of comprehensive income for the
fiscal years ended March 31, 2021 and 2022.
v) Major Customers Information
This information is omitted because there is no major external customer from which revenue accounts
for 10% or more of the revenue recorded in the consolidated statement of comprehensive income forthe fiscal years ended March 31, 2021 and 2022.
Earnings per Share
Basic earnings per share for the fiscal years ended March 31, 2021 and 2022, were calculated asfollows:
Fiscal year ended
March 31, 2021

Fiscal year ended
March 31, 2022

Net profit attributable to Itochu Enex’s shareholders(Millions of yen)

12,16813,194Weighted-average number of ordinary shares outstanding(Thousands of shares)

112,881

112,880

Basic earnings per share attributable to Itochu Enex’s shareholders(Yen)

107.79116.89(Note)

Diluted earnings per share attributable to Itochu Enex’s shareholders are not presented because there were no
dilutive potential shares.

Significant Events after the Reporting Period
No items to report.

- 21 -