Summary of Financial Results:
1st Quarter of FY2023

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Table of Contents

１．1st Quarter of FY2023
Summary of Consolidated Financial Results
２．FY2023 Full-Year Forecast

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Summary

Summary of
1st Quarter • Quarterly sales and net income recorded historical high due toautomobile production recovery, improved profit margins
Financialand foreign exchange effects
Results

Full-yearForecast• Upward revision of sales and each profit due to automobile production
recovery and revision of foreign exchange assumptions• Fixed costs are well-managed despite increases in raw materials,
electricity and logistics costs.

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Table of Contents

１．1st Quarter of FY2023
Summary of Consolidated Financial Results
２．FY2023 Full-Year Forecast

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4

1. Financial Highlights

Historical Net Sales and Operating Profit• Recorded quarterly high net sales, as in the previous quarter• Operating profit margin improved to 11.5% (+1.3%pts QoQ)

(Billion of yen)
900879 20.0%Net Sales:OP margin:

800

15.0%
700

11.5%
600

10.0%

500
5.0%
400

300

0.0%

200
-5.0%
1000
23/1Q

3Q

22/1Q

3Q

21/1Q

3Q

20/1Q

3Q

19/1Q

3Q

18/1Q

3Q

17/1Q

3Q

16/1Q

3Q

15/1Q

3Q

14/1Q

3Q

13/1Q

3Q

12/1Q

3Q

11/1Q

3Q

10/Q1

Q3

09/Q1

Q3

08/Q1

-10.0%All Rights Reserved. Copyright © 2018. Nifco Inc.

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2. Overview of FY2023 1Q Consolidated

Better-than-expected with increased sales& profits and improved OP margin• Increased sales due to automobile production recovery improved each profit and profit margin• Net income and EPS recorded quarterly highs

FY2022

FY2023

1Q

2Q

3Q

4Q

1Q

YoY

Net Sales

72.6bn75.7bn85.9bn87.5bn87.9bn21.1%

Operating
Profit(OP)

7.9bn

7.3bn

10.3bn8.9

10.1bn

28.0%

OPM

10.9%

9.6%

11.9%

10.2%

11.5%

0.6%pts

Quartelynet income1)

8.0bn

5.8bn

4.7bn

2.6bn

9.7bn

21.1%

EPS

80.22yen(JPY)

FX rates

57.90yen 46.77yen 26.37yen 97.50yen

21.5%

1USD=JPY116.3 1USD=123.1JPY 1USD=128.3JPY 1USD=131.6JPY 1USD=132.4JPY 1USD=+16.1JPY
1EUR=EUR130.4 1EUR=134.4JPY 1EUR=136.1JPY 1EUR=138.1JPY 1EUR=142.1JPY 1EUR=+11.7JPY1) Net profit attributable to the parent company

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3. FY2023 Q1 Consolidated Operation Profit(YoY)1

Operating Profit Analysis(YoY)• OP increased mainly due to increased sales thanks to automobile production recovery• OP increase YoY by approximately 20%, even with no foreign exchange effect-1.5bn-1.6bn+4.7bn+0.6bn10.1bn7.9bn

Operating profit(FY2022 full-year)

Salesfactors

Marginal profit
ratio factors(Raw materialcosts,etc.)

1 Overseas: January - March 2023; Japan: April – June 2023

Fixed costfactors

FX impact

Operating profit(FY2023 full-year)

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4. FY2023 1Q by Segment(Net Sales)1

10%+YoY sales growth in all regions and segments except China• YoY sales growth in Japan, Europe and North America was conspicuous• Sales in China decreased due to lower production volume of the Japanese OEMs caused byto struggling sales(JPY)

FY2022(1Q)

FY2023(1Q)

YoY

Consolidated

72.6bn87.9bn+21.1%

Plastics

65.2bn79.8bn+22.4%

Japan

16.6bn20.8bn+25.2%

Automobile production recovery

NorthAmerica

15.8bn20.9bn+32.3%

Automobile production recoveryof Japanese OEMs

Europe9.1bn

11.7bn+28.0%

Automobile production recovery

Asia

23.7bn26.4bn+11.5%

Strong production of Korean OEMs

China

8.3bn

6.6bn

-21.1%

7.4bn

8.1bn

+10.0%Bed

1 Overseas: January – March 2023; Japan: April – June 2023

Major Factors of ChangeDecreased automobile productionof Japanese OEMs
The previous year was affectedby Covid

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5. FY2023 1Q by Segment(Operating Profit)1

IP increased in all regions and segments except China• OP increased due to increased profits and improved OP margin in Japan and Europe• OP in China decreased due to sales decrease

FY2022(1Q)

FY2023(1Q)

YoY

7.9bn

10.1bn(10.9%)(11.5%)+28.0%

7.9bn

10.1bn(12.1%)(12.6%)

2.5bn

4.0bn

(15.1%)(19.4%)

0.9bn

1.0bn

(5.5%)(4.7%)

Europe0.04bn0.6bn(0.4%)(5.0%)

Asia

4.5bn

4.5

(18.8%)(17.0%)

1.5bn

0.8bn

(18.6%)(11.8%)

1.3bn

1.4bn

(17.8%)(16.8%)

Consolidated
Plastics
JapanNorth
AmericaChina
Bed

1 Overseas: January – March 2023; Japan: April – June 2023

Major Factors of Change+28.1%+64.0%

Improvement due to increased sales
and fixed cost management+13.2%+1525.3%

Improved utilization ratio due toIncreased production-0.6%

Korea and ASEAN remain strong-49.9%

Decrease sales and associatedincrease in fixed cost burden+5.3%

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96. CAPEX and Depreciation

Continue Cash Flow-Oriented Management & Manage Appropriate Fund Allocation• Operating cash flow progressed as planned• Progress of CAPEX is 13% of the plan. Will execute appropriately based on demand
FY2022(1Q)

FY2023(1Q)

ChangeFY2023 Forecast

CAPEX

1.8bn

1.7bn

-0.1bn13.3bnDepreciation

3.2bn

3.4bn

+0.2bn13.8bn

R&D

0.9bn

0.8bn

-0.1bn3.6bn

Operating CF

6.1bn

10.2bn+4.1bn36.0bnInvestment CF-4.0bn-2.2bn+1.8bn‐13.3bn

Free CF

2.1bn

8.0bn

+5.9bn22.7bnFinancial CF-4.5bn-16.2bn-11.7bn‐19.5bn

Cash equivalentbalance

111.8bn

117.0bn+5.2bn124.2bn(JPY)

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Table of Contents

１．1st Quarter of FY2023
Summary of Consolidated Financial Results
２．FY2023 Full-Year Forecast

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7. FY2023 Forecast(Summary of revised guidance)

Revised the forecast due to automobile production recovery and yen depreciation• Upwardly revised sales forecast due to automobile production recovery in Japan andoverseas and yen depreciation• Upwardly revised operating profit forecast due to fixed cost management despite increases in
raw material, logistics and electricity costs
FY2023 full-year forecast
OldNew

Compared to oldSales

322.5bn343.0bn+6.4%

Operatingprofit35.5bn38.0bn+7%

OP margin

11.0%

11.1%

+0.1%pts

Net income

21.2bn23.5bn+10.8%

EPS

212.15yen

235.59yen+11%pts

Dividend

64yen

64yen

+/- 0%(JPY)All Rights Reserved. Copyright © 2018. Nifco Inc.

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8. FY2023 Forecast(Estimate) 1

Revised foreign exchange assumptions• Revised foreign exchange assumptions for FY2023 considering the trends(1USD=132 yen, 1EUR=145 yen)
• China is weak, but the rest of the overseas is improving
PeriodcoveredPrevious (May) Current
Assumption Assumption

Domestic

2023/7~2024/3• Production and model mix improved

Oversea

2023/4~2023/12• Improvement trend except in China

FX rates

1USD=JPY125
1EUR=JPY135

1 Overseas: January – March 2023; Japan: April – June 2023

1USD=JPY132
1EUR=JPY145

1USD=JPY+7
1EUR=JPY+10

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9. FY2023 Forecast (by Segment)

Revised the forecast due to automobile production recovery and yen depreciation• Upwardly revised every region except China for synthetic resin molding products.
China is expected to be challenging• Forecast for bed business is not revised
FY2023(1Ｑ1)
Sales
Consolidated

87.9bn

Plastics

79.8bnJapan

20.8bn

NorthAmerica

20.9bnEurope11.7bnAsia

26.4bn

China

6.6bn

Bed

8.1bn

OP(OPM)

10.1bn(11.5%)
10.1bn(12.6%)
4.0bn(19.4%)
1.0bn(4.7%)
0.6bn(5.0%)
4.5bn(17.0%)
0.8bn(11.8%)
1.4bn(16.8%)

1 .Overseas: January – March 2023; Japan: April – June 2023
2. Overseas: January – December 2023; Japan: April 2023 – March 2024

FY2023(Initial Plan 2)
Sales
322.5bn
289.5bn
80.5bn73.0bn36.0bn100.0bn
31.0bn33.0bnOP(OPM)

35.5bn(11.0%)
34.9bn(12.1%)
14.0bn(17.4%)
3.0bn(4.1%)
1.2bn(3.3%)
16.7bn(16.7%)
4.5bn(14.5%)
6.0bn(18.2%)FY2023(revised plan 2)
Sales
343.0bn
310.0bn
85.0bn80.0bn43.0bn102.0bn
26.0bn33.0bnOP(OPM)

38.0bn(11.1%)
37.1bn(12.0%)
15.0bn(17.6%)
3.6bn(4.5%)
2.2bn(5.1%)
16.3bn(16.0%)
2.6bn(10.0%)
6.0bn(18.2%)All Rights Reserved. Copyright © 2018. Nifco Inc.

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10.Shareholder return

Plan to remain DPS the same level as FY2022,consider flexible buybacks• Revised foreign exchange assumptions for FY2023 considering the trends(1USD=132 yen, 1EUR=145 yen)
• China is weak, but the rest of the overseas is improving
FY2018FY2019FY2020

FY2021

FY2022

Dividend(full year)62
yen/share62
yen/share53
yen/share62
yen/share

64
64
yen/shareyen/share (Maintainthe initial forecast)Sharebuyback

0.2mn
1mn shares
0.79mn0.71mn1.38mn0.36mn(2.8bn yen) (1.4bn yen) (1.4bn yen) (4.8bn yen) (1.2bn yen) (0.7bn yen)

TargetShareholder return((payout ratio)30%: Dividend

Trackrecord

30%

30%

30%

30%

FY2023e30%: Share buyback

45%

43%

14%

8%

31%

35%

37%
8%
29%

48%
20%

27%

36%
6%
30%

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End

Forward-looking statements or projections included in this document, including
earnings projections, are based on currently available information and certain
premises that are judged to be rational at the time of this writing. Actual results may
differ greatly from the forecast figures depending on various factors.
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