Summary of Consolidated Financial Statements for the First Half Ended
June 30, 2022 [IFRS]
August 8, 2022
Company name: Lion Corporation
Listed stock exchanges: Tokyo Stock Exchange
Code: 4912

URL: http://www.lion.co.jp/
Representative: Masazumi Kikukawa, Representative Director, President and Executive Officer
Contact: Akihiko Takeo, Director of Finance Department
Telephone: +81-3-3621-6211
Scheduled date of filing of quarterly financial report: August 10, 2022
Start date of payment of dividend: September 5, 2022
Supplementary materials prepared for quarterly results: Yes
Quarterly results information meeting held: Yes (for institutional investors, analysts, etc.)
Figures in this and subsequent tables are truncated at the nearest million.

1. Consolidated Results for the First Half Ended June 30, 2022
(January 1, 2022 – June 30, 2022)(1) Consolidated Results (cumulative)(Percentage figures denote year-on-year change)
Net sales
Millions of yen

Operating profit%

Millions of yen

Profit before tax%

Millions of yen%

Six months ended
June 30, 2022

185,195

6.9

14,2670.6

15,749(1.1)

Six months ended
June 30, 2021

173,223

2.4

14,186(45.4)

15,928(41.1)

Profit for the period
Millions of yen

Six months ended
June 30, 2022
Six months ended
June 30, 2021%

Profit for the period
attributable toowners of the parent
Millions of yen%

Total comprehensive
income for the period
Millions of yen%

11,400(3.4)

11,055

2.2

17,24320.0

11,797(39.7)

10,815(41.9)

14,368(3.7)

Note: Core operating income for the six months ended June 30, 2022 was ¥9,096 million (down 35.2%
year on year). Core operating income for the six months ended June 30, 2021 was ¥14,032 (down
14.3% year on year).
Core operating income is an earnings indicator the Company uses to measure regular businessperformance and is calculated by subtracting selling, general and administrative expenses fromgross profit.

Basic earnings per share Diluted earnings per share
Yen

Yen

Six months ended
June 30, 2022
Six months ended
June 30, 2021

38.75

38.68

37.20

37.14

(2) Consolidated Financial Position

Total assets Total equity

Equityattributable toowners of theparentRatio of equity
attributable toowners of theparent to total
assetsMillions of yen

Millions of yen

Millions of yen%

412,901
428,025

267,717265,014June 30, 2022
December 31, 2021

253,400
251,572

61.4
58.8

2. Dividends

Fiscal 2021
Fiscal 2022
Fiscal 2022
(forecast)First
Quarter

SecondQuarter

Yen

Yen

—
—

Cash dividends per share
Third
Year-End
Quarter
Yen

12.00
12.00

Yen

Total
Yen

—

12.00

24.00

—

13.00

25.00

Note: Changes from the most recently published forecast of dividends: No
3. Forecast of Consolidated Financial Results for the Fiscal Year Ending December 31, 2022
(January 1, 2022 – December 31, 2022)(Percentage figures denote year-on-year change)
Net sales
Millions of yen

Fiscal 2022

375,000

Operating profit%

Millions of yen

2.4

27,500%(11.8)

Profit for the period
attributable to owners of
the parent
Millions of yen

20,000%(15.8)

Notes: 1. Core operating income forecast:Fiscal 2022: ¥23,000 million
2. Changes from the most recently published financial results forecast: No

Basic earnings per
share
Yen

68.79

Notes(1)

Significant Change in Scope of Consolidation during Period: No(2)

Changes in accounting principles, procedures and presentation methods in connection with the preparation ofquarterly consolidated financial statements:
a. Changes in accounting standards required under IFRS: No
b. Other changes: No
c. Changes in accounting estimates: No(3) Number of outstanding shares (common stock)a. Number of outstanding shares on balance sheet dates (including treasury stocks):
As of June 30, 2022:
292,536,446 shares
As of December 31, 2021:
299,115,346 sharesb. Number of treasury stocks on balance sheet date:
As of June 30, 2022:
8,303,496 shares
As of December 31, 2021:
8,382,512 sharesc. Average number of shares outstanding over period
Six months ended June 30, 2022:
285,294,727 shares
Six months ended June 30, 2021:
290,726,043 shares* This report is not subject to review by a certified public accountant or external auditor.
* Appropriate use of results forecasts; other special items
The forecasts and projected operating results contained in this report are based on information available at the timeof preparation and thus involve inherent risks and uncertainties, including those related to economic conditions, thecompetitive environment and exchange rate fluctuations. Accordingly, readers are cautioned that actual results may
differ materially from those projected as a result of a variety of factors. For information on forecasts of operating
results, see I. Qualitative Information Concerning the Results of Operations for the First Half of the Current Fiscal
Year (3) Forecast of Consolidated Financial Results on page 8.

Lion Corporation (Code 4912): Consolidated Financial Statements
for the First Half Ended June 30, 2022

Contents
1. Qualitative Information Concerning the Results of Operations for the First Half of the Current Fiscal
Year ---------------------------------------------------------------------------------------------------------------------------- 2(1) Consolidated Performance -------------------------------------------------------------------------------------------- 2(2) Financial Status ---------------------------------------------------------------------------------------------------------- 8(3) Forecast of Consolidated Financial Results ---------------------------------------------------------------------- 8

2. Condensed Consolidated Financial Statements and Notes ---------------------------------------------------- 9(1) Condensed Consolidated Statement of Financial Position ------------------------------------------------- 9(2) Condensed Consolidated Statement of Income and Statement of Comprehensive Income ---- 11(3) Condensed Consolidated Statement of Changes in Equity ---------------------------------------------- 13(4) Notes to Condensed Consolidated Financial Statements ------------------------------------------------ 15
Notes relating to the assumption of a going concern ---------------------------------------------------------------------------- 15
Segment Information --------------------------------------------------------------------------------------------------------------------- 15

1

Lion Corporation (Code 4912): Consolidated Financial Statements
for the First Half Ended June 30, 2022

1. Qualitative Information Concerning the Results of Operations for the First Half of theCurrent Fiscal Year
(1) Consolidated Performance
Consolidated results for the first half of fiscal 2022 (January 1, 2022–June 30, 2022) are as follows. Net
sales amounted to ¥185,195 million, a year-on-year increase of 6.9% (or a 4.6% increase at constantcurrency excluding exchange rate fluctuations). Core operating income came to ¥9,096 million, down
35.2% compared with the previous fiscal year, and operating profit to ¥14,267 million, up 0.6% year on
year. Profit for the period attributable to owners of the parent totaled ¥11,055 million, up 2.2% comparedwith the previous fiscal year.
The Lion Group is advancing initiatives based on three growth strategies under Vision2030 1st STAGE, its
medium-term management plan for the three years beginning 2022. These three strategies are “Accelerate
growth in four fields of value creation,” “Transform our business foundations for growth” and “Generate
dynamism to realize innovative change.”
The operating environment became more challenging, as the ongoing COVID-19 pandemic andincreasingly grave situation with Ukraine contributed to an uncertain economic outlook. In particular, Lion
was affected by rising raw material costs attributable to soaring resource prices and exchange rate
fluctuations. Amid these circumstances, the entire Lion Group worked as one to achieve the targets of thefirst year of the medium-term management plan.
In its domestic operations, Lion focused on cultivating markets for such high-value-added products as
toothpastes, toothbrushes, household cleaners and antipyretic analgesics. In its overseas operations, inaddition to efforts to expand its business in the personal care field, which includes oral care and beauty
care products, the Group focused on bolstering its competitiveness in the home care field, which includes
such products as laundry detergents. Both in Japan and overseas, the Group worked to increase theefficiency of sales promotion efforts and further reduce costs to secure profitability.
Consolidated Results(Millions of yen)Six months ended
June 30, 2022

Net sales

Ratio tonet sales

Six months ended
June 30, 2021

185,195

Ratio tonet sales

173,223

ChangeChange(%)

11,971

6.9%

Core operating income

9,096

4.9%

14,032

8.1%(4,935)(35.2%)

Operating profit

14,267

7.7%

14,186

8.2%

81

0.6%

11,055

6.0%

10,815

6.2%

239

2.2%

Profit for the period
attributable to owners of
the parent
Notes: 1. Core operating income is an earnings indicator the Company uses to measure regular business performanceby subtracting selling, general and administrative expenses from gross profit.
2. Operating profit includes gain on transfer of land held by a consolidated subsidiary (transferred January 31,2022).

2

Lion Corporation (Code 4912): Consolidated Financial Statements
for the First Half Ended June 30, 2022

Results by Business(Millions of yen)
Net sales
Six months
ended June30, 2022

Six months
ended
June 30,
2021

Consumer Products

125,538

Industrial Products

Segment profit (core operating income)ChangeChange(%)

Six months
ended
June 30,2022

Six months
ended
June 30,2021

121,061

4,477

3.7%

4,301

8,105

(3,804)(46.9%)

27,20424,018

3,186

13.3%

1,550

1,558

(7)

(0.5%)

Overseas

61,18953,594

7,595

14.2%

1,880

3,481

(1,601)(46.0%)

Other

6,451

16,363(9,912)(60.6%)

486

1,014

(528)

(52.1%)

Subtotal

220,385

215,038

14,159(5,941)(42.0%)(35,190)(41,815)

2.5%
—

8,218

Adjustment

5,346
6,625

878

(127)

1,006

—

Change(%)

Change173,223

Total
185,195
11,971
6.9%
9,096
14,032(4,935)(35.2%)
Note: From the first quarter of the fiscal year under review, due to a change in the business structure of consolidated Groupsubsidiary Lion Chemical Co., Ltd., said company’s business, which was previously concentrated in the Industrial
Products segment, has been divided between the Industrial Products and Consumer Products segments.
Segment information for the first half of the previous fiscal year has been restated to reflect this change.

Results by business segment are as follows.
Consumer Products Business
The Consumer Products Business segment comprises the Oral Care Products, Beauty Care Products,
Fabric Care Products, Living Care Products, Pharmaceutical Products and Other Products businesses.
Segment net sales increased 3.7% compared with the previous fiscal year. Segment profit decreased
46.9%.
(Millions of yen)Six months ended
June 30, 2022
Net sales
Segment profit

Ratio tonet sales

Six months ended
June 30, 2021

125,538
4,301

Ratio tonet sales

121,061
3.4%

8,105

6.7%

ChangeChange
(%)

4,477

3.7%

(3,804)(46.9%)

Note: Net sales include internal sales within and among segments, which amounted to ¥17,025 million in the first halfof fiscal 2022 and ¥13,893 million in the first half of fiscal 2021.

3

Lion Corporation (Code 4912): Consolidated Financial Statements
for the First Half Ended June 30, 2022

Net Sales by Product Segment(Millions of yen)Six months ended
June 30, 2022

Six months ended
June 30, 2021

Oral Care Products

33,65232,150

1,502

4.7%

Beauty Care Products

12,553

11,650902

7.7%Fabric Care Products

28,901

28,592308

1.1%

Living Care Products

11,40011,596(196)(1.7%)

Pharmaceutical Products

11,171

11,415(243)(2.1%)

Other Products

27,85925,656

2,203

8.6%

ChangeChange(%)

Oral Care Products
In toothpastes, sales of CLINICA ADVANTAGE Toothpaste were strong, and new SYSTEMA Haguki (theGums) Plus Premium Toothpaste Yokubari na BIHAKU (Whitening) received favorable customer reviews.
Overall sales increased year on year.
In toothbrushes, sales of CLINICA ADVANTAGE Toothbrush and NONIO Toothbrush were strong, andoverall sales increased year on year.
In dental rinses, sales of NONIO Plus Whitening Dental Rinse were favorable, and sales of SYSTEMA
Haguki (the Gums) Plus Premium Dental Rinse, launched in 2021, also contributed. Overall sales
increased significantly year on year.
Beauty Care Products
In hand soaps, sales of KireiKirei Medicated Foaming Hand Soap were strong. Overall sales increased
significantly year on year.
In body washes, sales of hadakara Body Soap were firm, and overall sales increased year on year.
Fabric Care Products
In fabric softeners, sales of SOFLAN Premium Deodorizer decreased year on year, but those of
SOFLAN Aroma Rich were strong. Overall sales were up year on year.
In laundry detergents, sales of liquid laundry detergents TOP Clear Liquid and Kaori Tsuzuku (Long-Lasting
Fragrance) Top fell year on year, but sales of highly concentrated liquid laundry detergent TOP SUPERNANOX For Odors were strong. Overall sales increased year on year.
Living Care Products
In dishwashing detergents, sales of CHARMY Magica fell year on year, and overall sales decreased year
on year.
4

Lion Corporation (Code 4912): Consolidated Financial Statements
for the First Half Ended June 30, 2022

In household cleaners, sales of bath detergent LOOK Plus Bath Cleansing and LOOK Plus Bath Antimold
Fogger were firm. Overall sales increased year on year.
Pharmaceutical Products
In antipyretic analgesics, amid a favorable market, sales of BUFFERIN PREMIUM DX, launched in 2021,
received favorable customer reviews, and overall sales were up year on year.
In eye drops, sales of the Smile 40EX series were steady, and overall sales increased year on year.
In acne medicines, sales of PAIR® Acne Cream W decreased year on year, and overall sales fell year on
year.
Other Products
In pet supplies, sales of Nioi wo Toru Suna (Deodorizing Cat Litter) were firm and oral care products
were favorable. Overall sales were up year on year.
In direct-to-consumer sales products, sales of Intestinal Effect Nice rim essence Lactoferrin were down
year on year, and overall sales were down year on year.
Industrial Products Business
The Industrial Products Business segment includes the Mobility, Electronics and Detergents for
Institutional Use Products fields. These businesses handle products that include anti-sticking agents fortires, electro-conductive carbon for secondary batteries, and detergents for institutional and kitchen use,
respectively. Segment net sales increased 13.3% compared with the previous fiscal year. Segment profit
decreased 0.5%.
(Millions of yen)Six months ended
June 30, 2022
Net sales

27,204

Segment profit

1,550

Ratio tonet sales

Six months ended
June 30, 2021

Ratio tonet sales

24,018
5.7%

1,558

6.5%

ChangeChange
(%)

3,186

13.3%

(7)

(0.5%)

Note: Net sales include internal sales within and among segments, which amounted to ¥8,921 million in the first halfof fiscal 2022 and ¥7,387 million in the first half of fiscal 2021.

In the Mobility field, sales of anti-sticking agents for tires and mold releasing agent for rubber werestrong, and overall sales increased year on year.
In the Electronics field, sales of conductive carbon for vehicle batteries were strong, and overall sales
were up substantially year on year.
In the Detergents for Institutional Use Products field, sales of hand soaps were down year on year, but
sales of alcohol sanitizers for kitchen use were strong, and overall sales were up year on year.

5Lion Corporation (Code 4912): Consolidated Financial Statements
for the First Half Ended June 30, 2022

Overseas Business
The Overseas Business segment comprises business operations located in Southeast Asia, including
Thailand and Malaysia, and Northeast Asia, including South Korea and China. Segment net sales
increased 14.2% year on year (or a 6.0% increase at constant currency excluding exchange rate
fluctuations). Due in part to the significant impact of rising raw material prices in Southeast Asia, segment
profit decreased 46.0% year on year.
(Millions of yen)Six months ended
June 30, 2022
Net sales

61,189Segment profit

1,880

Ratio tonet sales

Six months ended
June 30, 2021

Ratio tonet sales

53,594
3.1%

3,481

6.5%

ChangeChange
(%)

7,595

14.2%

(1,601)(46.0%)

Note: Net sales include internal sales within and among segments, which amounted to ¥5,521 million in the first halfof fiscal 2022 and ¥5,293 million in the first half of fiscal 2021.

Net Sales by Region(Millions of yen)Six months ended

Six months ended

ChangeChangeJune 30, 2022
Net sales
Southeast Asia

Northeast Asia

June 30, 2021(%)

39,14834,251

4,896

14.3%

833

2,384

(1,550)(65.0%)Net sales

22,041

19,342

2,698

14.0%

Segment profit

1,046

1,097

(50)

(4.6%)

Segment profit

Net Sales by Region
In Southeast Asia, overall sales were up 14.3% year on year (or up 7.1% at constant currency excluding
exchange rate fluctuations), but segment profit was down 65.0%.
In Thailand, sales of laundry detergents were down year on year, but sales of body washes were strong.
Overall sales after yen conversions were up year on year.
In Malaysia, sales of TOP laundry detergent were strong. Overall sales after yen conversions were up
significantly year on year.
In Northeast Asia, overall sales were up 14.0% year on year (or up 4.2% at constant currency excluding
exchange rate fluctuations), but segment profit was down 4.6%.
In South Korea, sales of laundry detergents were strong. Overall sales after yen conversions increased
significantly year on year.
In China, sales of SYSTEMA toothbrushes decreased year on year, but sales of products imported fromJapan increased. Overall sales after yen conversions were up year on year.
6Lion Corporation (Code 4912): Consolidated Financial Statements
for the First Half Ended June 30, 2022

Other (Construction Contracting Business, etc.)
Six months ended
June 30, 2022
Net sales
Segment profit

Ratio tonet sales

Six months ended
June 30, 2021

6,451
486

(Millions of yen)
Ratio tonet sales

16,363
7.5%

1,014

6.2%

ChangeChange(%)(9,912)(60.6%)(528)(52.1%)

Note: Net sales include internal sales within and among segments, which amounted to ¥3,530 million in the first halfof fiscal 2022 and ¥15,192 million in the first half of fiscal 2021.

7

Lion Corporation (Code 4912): Consolidated Financial Statements
for the First Half Ended June 30, 2022

(2) Financial Status
Status of Consolidated Assets, Liabilities and Equity
June 30, 2022

December 31, 2021

ChangeTotal assets (millions of yen)

412,901

428,025(15,124)

Total equity (millions of yen)

267,717265,014

2,703

61.4

58.8

2.6

Ratio of equity attributable to ownersof the parent to total assets (%)

Total assets fell ¥15,124 million compared with the previous consolidated fiscal year-end to ¥412,901
million. This was primarily attributable to a decrease in cash and cash equivalents. Total equity increased¥2,703 million to ¥267,717 million. The ratio of equity attributable to owners of the parent to total assets
stood at 61.4%.
(3) Forecast of Consolidated Financial Results
Lion has made no revisions to the consolidated financial results forecasts released on February 14, 2022
for the full fiscal year.
Lion utilized the following foreign exchange rates in the calculation of the aforementioned forecasts.
JPY110= USD1.00
JPY3.4 = THB1.00

8

Lion Corporation (Code 4912): Consolidated Financial Statements
for the First Half Ended June 30, 2022

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

December 31, 2021

June 30, 2022

AssetsCurrent assets
Cash and cash equivalents

97,25079,345Trade and other receivables

70,11566,848Inventories

51,71456,790

Other financial assets

6,656

7,170

Other current assets

6,413

4,727

Total current assets

232,150

214,882

120,673

124,065

Non-current assets
Property, plant and equipment
Goodwill

182

327

Intangible assets

23,97524,980

Right-of-use assets
Investments accounted for using theequity method
Deferred tax assets

5,416

5,189

6,935

8,103

6,005

4,439

Retirement benefit assets

9,768

7,549

Other financial assets

21,81522,472Other non-current assets

1,100

888

Total non-current assets

195,875

198,018

428,025

412,901

Total assets

9Lion Corporation (Code 4912): Consolidated Financial Statements
for the First Half Ended June 30, 2022
(Millions of yen)
December 31, 2021

June 30, 2022

Liabilities and equity
Liabilities
Current liabilities
Trade and other payables

123,146

107,930

Borrowings

1,411

1,432

Income tax payables

2,470

2,049

Provisions

1,673

1,806

Lease liabilities

1,483

1,393

855

1,536

Other financial liabilities
Other current liabilities

8,178

4,514

Total current liabilities

139,218

120,664

Non-current liabilities
Borrowings

392

282

Deferred tax liabilities

1,270

1,530

Retirement benefit liabilities

12,684

13,655332

334

Lease liabilities

5,088

4,749

Other financial liabilities

2,469

2,373

Other non-current liabilities

1,554

1,592

Total non-current liabilities

23,792

24,518163,011145,183

Share capital

34,43334,433

Capital surplus

35,18930,939Treasury stock(4,731)(8,055)

Provisions

Total liabilities
EquityOther components of equity

9,311

14,789Retained earnings

177,370

181,293

Equity attributable to owners of the parent

251,572

253,400

Non-controlling interests

13,442

14,317

Total equity

265,014

267,717428,025

412,901

Total liabilities and equity

10Lion Corporation (Code 4912): Consolidated Financial Statements
for the First Half Ended June 30, 2022

(2) Condensed Consolidated Statement of Income and Statement of Comprehensive Income
Condensed Consolidated Statement of Income
Six months ended June 30, 2021 and 2022
(Millions of yen)Six months ended
June 30, 2021

Six months ended
June 30, 2022

Net sales

173,223

185,195

Cost of sales(86,830)(102,418)

86,39382,776(72,360)(73,680)

Gross profit
Selling,
generalexpenses
Other income

andadministrative

Other expenses
Operating profit

647

5,893

(493)

(722)

14,186

14,267

Finance income

481

468

Finance costs
Share of profit of investments accounted forusing the equity method
Profit before tax

(69)

(63)

1,330

1,076

15,92815,749

Income taxes(4,131)(4,348)

11,797

11,40010,815

11,055981

345

11,797

11,400

Basic (Yen)

37.20

38.75

Diluted (Yen)

37.14

38.68

Profit for the period
Profit for the period attributable to:
Owners of the parent
Non-controlling interests
Profit for the period
Earnings per share

11Lion Corporation (Code 4912): Consolidated Financial Statements
for the First Half Ended June 30, 2022

Condensed Consolidated Statement of Comprehensive Income
Six months ended June 30, 2021 and 2022
(Millions of yen)Six months ended
June 30, 2021
Profit for the period

Six months ended
June 30, 2022

11,797

11,400

(125)

512

1,295

(1,435)

14

(9)

1,184

(933)

(1)

―

1,169

6,775

218

―

1,385

6,775

Other comprehensive income
Items that will not be reclassified as profit
or loss
Net gain (loss) on revaluation offinancial assets measured at fair value
through other comprehensive income
Remeasurements of defined benefit
plans
Share of other comprehensive income(loss) of investments accounted forusing the equity method
Total items that will not be reclassified as
profit or loss
Items that may be subsequently
reclassified as profit or loss
Net gain (loss) on derivatives
designated as cash flow hedges
Exchange differences on translation offoreign operations
Share of other comprehensive income(loss) of investments accounted forusing the equity method
Total items that may be subsequently
reclassified as profit or loss
Total other comprehensive income, net oftax
Comprehensive income for the period

2,570

5,842

14,36817,243Comprehensive income for the period
attributable to:
Owners of the parent

13,31915,274Non-controlling interests

1,048

1,968

Comprehensive income for the period

14,36817,24312

Lion Corporation (Code 4912): Consolidated Financial Statements
for the First Half Ended June 30, 2022

(3) Condensed Consolidated Statement of Changes in Equity
Six months ended June 30, 2021
(Millions of yen)
Equity attributable to owners of the parent
Other components of equity
Net gain (loss)
on revaluationof financial
Remeasureassets
Share capital Capital surplus Treasury stock Subscription
ments ofrights tomeasured at fairsharesvalue through defined benefit
plans
other
comprehensive
incomeBalance atJanuary 1, 2021

34,43334,986(4,739)138

10,592

―

(82)

1,295

(82)

1,295

(115)

(1,295)

Profit for the period
Other
comprehensive
incomeTotal comprehensive
income for the period

―

―

―

―

Dividends
Acquisition oftreasury stock
Disposal of treasury
stock
Share-based
payments
Transfer from othercomponents ofequity to retained
earnings
Total transactions withownersBalance atJune 30, 2021

(1)
1

10

(2)

44

―

45

8

(2)

(115)

(1,295)34,43335,032(4,730)135

10,394―Equity attributable to owners of the parent
Other components of equity
Net gain (loss) Exchange
on derivatives differences ondesignated as translation offoreigncash flow
operations
hedgesBalance atJanuary 1, 2021

(0)

(654)

Profit for the period
Other
comprehensive
incomeTotal comprehensive
income for the period

Retainedearnings

Total

Noncontrollinginterests

Total

Total equity

10,076

156,965

231,723

13,133244,856―

10,815

10,815981

11,797

2,503

66

2,570

(1)

1,292

2,503

(1)

1,292

2,503

10,815

13,3191,048

14,368Dividends―(3,488)(3,488)(1,040)(4,528)Acquisition oftreasury stock
Disposal of treasury
stock
Share-based
payments
Transfer from othercomponents ofequity to retained
earnings

―

(1)

(1)

(2)

8

8

―

44

44
―

Total transactions withownersBalance atJune 30, 2021

(1,411)

1,411

―

―

―

(1,413)(2,077)(3,436)(1,040)(4,476)(1)

638

11,166

165,704

241,606

13,141

254,748

13

Lion Corporation (Code 4912): Consolidated Financial Statements
for the First Half Ended June 30, 2022

Six months ended June 30, 2022
(Millions of yen)
Equity attributable to owners of the parent
Other components of equity
Net gain (loss)
on revaluationof financial
Remeasureassets
Share capital Capital surplus Treasury stock Subscription
ments ofrights tomeasured at fairsharesvalue through defined benefit
plans
other
comprehensive
incomeBalance atJanuary 1, 2022

34,43335,189(4,731)

135

8,541

―

477

(1,435)477(1,435)

(164)

1,435

Profit for the period
Other
comprehensive
incomeTotal comprehensive
income for the period

―

—

—

—

Dividends
Acquisition oftreasury stock
Disposal of treasury
stock
Cancellation oftreasury stock
Share-based
payments
Transfer from othercomponents ofequity to retained
earnings
Total transactions withownersBalance atJune 30, 2022

(10,000)
1

46(4,259)

6,630

(12)

6

―

(4,250)(3,323)

(12)

(164)

1,435

34,43330,939(8,055)

123

8,854

—

Equity attributable to owners of the parent
Other components of equity
Net gain (loss) Exchange
on derivatives differences ondesignated as translation offoreigncash flow
operations
hedgesBalance at January 1,
2022

―

634

Profit for the period
Other
comprehensive
incomeTotal comprehensive
income for the period

Retainedearnings

Total

Noncontrollinginterests

Total

Total equity

9,311

177,370

251,572

13,442265,014―

11,055

11,055345

11,400

4,219

1,623

5,842

―

5,177

4,219

―

5,177

4,219

11,055

15,274

1,968

17,243

Dividends―(3,488)(3,488)(1,093)(4,581)

Acquisition oftreasury stock
Disposal of treasury
stock
Cancellation oftreasury stock
Share-based
payments
Transfer from othercomponents ofequity to retained
earnings—(10,000)(10,000)

(12)
—

35

35

—

―

6

6
—

Total transactions withownersBalance atJune 30, 2022

(2,731)—
1,271(1,271)

—

―

―

1,259

(7,132)(13,446)(1,093)(14,539)―

5,811

14,789181,293

253,400

14,317

267,717

14

Lion Corporation (Code 4912): Consolidated Financial Statements
for the First Half Ended June 30, 2022
(4) Notes to Condensed Consolidated Financial Statements
Notes relating to the assumption of a going concern
Not applicable.
Segment Information(1) Overview of reportable segments
The Group’s reportable segments are component units of the Company for which separate financial information isavailable and that are subject to regular review by the Board of Directors for the purpose of making decisions regarding
the allocation of management resources and evaluating business performance.
The Group’s business divisions are organized by product category; each business division formulates acomprehensive strategy and carries out business activities for the products it handles. Affiliated companies in Japan
undertake business activities pertinent to the characteristics of their respective products and services.
Affiliated companies located overseas are independent management units that conduct business activities pertinent
to the characteristics of the regions in which they operate.
Accordingly, the Group comprises three reportable segments divided by product and service type and by region,
which are, in turn, based on business divisions and companies; namely, the reportable segments are Consumer
Products Business, Industrial Products Business and Overseas Business.

The Group’s reportable segments are as follows.
A.

Consumer Products Business
The Consumer Products Business engages in the manufacture and sale of commodities, over-the-counter drugs
and foods with function claims, primarily in Japan.
Main products: Toothpastes, toothbrushes, hand soaps, antipyretic analgesics, eye drops, health tonic drinks,
laundry detergents, dishwashing detergents, fabric softeners, household cleaners, bleaches and pet supplies
B. Industrial Products Business
The Industrial Products Business engages primarily in the manufacture and sale of chemical raw materials, industrial
products and other items in Japan and overseas.
Main products: Activator, electro-conductive carbon and detergents for institutional use
C. Overseas Business
The Overseas Business engages mainly in the manufacture and sale of commodities by affiliated overseas
businesses.
D. Other Business
Lion subsidiaries located in Japan primarily undertake operations related to Group businesses.
Main products and services: Construction contracting, real estate management and temporary staffing

15

Lion Corporation (Code 4912): Consolidated Financial Statements
for the First Half Ended June 30, 2022

(2) Net Sales and Performance of Reportable Segments
Six months ended June 30, 2021
(Millions of yen)
Reportable Segment
Other

Total

Adjustment2 Consolidated3

Consumer
Products
Business

Industrial
Products
Business

Overseas
Business

External

107,168

16,631

48,301

1,171

173,272(48)

173,223

Intersegment1

13,893

7,387

5,293

15,192

41,766(41,766)―

Total
Core operating
incomeOther income

121,061

24,01853,594

16,363215,038(41,815)

173,223

8,105

1,558

3,481

1,014

14,159(127)

14,032

Net sales

647

Other expenses(493)

Operating profit

14,186

Finance income

481

Finance costs
Share of profit ofinvestments accounted
for using the equity
methodProfit before tax(69)

Notes:

1,330
15,928

1. Includes intra-segment transactions within the reportable segments.
2. A negative ¥127 million adjustment of core operating income mainly comprises intersegment eliminations
and corporate expenses not allocated to any reportable segment.
3. Core operating income is reconciled with gross profit as follows.

Gross profit
Selling, general and administrative expenses

86,393(72,360)

Core operating income

14,032

Core operating income is calculated as gross profit less selling, general and administrative expenses, and is
the basis on which the Board of Directors evaluates the performance of each segment.

16

Lion Corporation (Code 4912): Consolidated Financial Statements
for the First Half Ended June 30, 2022

Six months ended June 30, 2022
(Millions of yen)
Reportable Segment
Other

Total

Adjustment2 Consolidated3

Consumer
Products
Business

Industrial
Products
Business

Overseas
Business

External

108,513

18,282

55,6682,920

185,385(189)

185,195

Intersegment1

17,025

8,921

5,521

3,530

35,000(35,000)―

Total

125,538

27,204

61,1896,451

220,385(35,190)

185,195

Core operating income

4,301

1,550

1,880

486

8,218

878

9,096

Net sales

Other income

5,893

Other expenses(722)

Operating profit

14,267

Finance income

468

Finance costs
Share of profit ofinvestments accounted
for using the equity
methodProfit before tax(63)

Notes:

1,076
15,749

1. Includes intra-segment transactions within the reportable segments.
2. A positive ¥878 million adjustment of core operating income mainly comprises intersegment eliminations
and corporate expenses not allocated to any reportable segment.
3. Core operating income is reconciled with gross profit as follows.

Gross profit
Selling, general and administrative expenses

82,776(73,680)

Core operating income

9,096Core operating income is calculated as gross profit less selling, general and administrative expenses, andis the basis on which the Board of Directors evaluates the performance of each segment.

(3) Disclosure of Changes, etc. in Reportable Segments
From the first quarter of the fiscal year under review, due to a change in the business structure of
consolidated Group subsidiary Lion Chemical Co., Ltd., said company’s business, which was previously
concentrated in the Industrial Products segment, has been divided between the Industrial Products andConsumer Products segments.
Segment information for the first half of the previous fiscal year has been restated to reflect this change.

17