Consolidated Financial Results
for the Fiscal Year Ended March 31, 2023
[Japanese GAAP]May 12, 2023
Company name: Meiji Shipping Co., Ltd.
Stock exchange listing: Tokyo Stock Exchange
Code number: 9115
URL: https://www.meiji-shipping.com/
Representative: Takaya Uchida, President, COO
Contact: Toshiro Mizuno, Managing Director
Phone: +81-3-3792-0811
Scheduled date of Annual General Meeting of Shareholders: June 29, 2023
Scheduled date of commencing dividend payments: June 30, 2023
Scheduled date of filing annual securities report: June 29, 2023
Availability of supplementary briefing material on annual financial results: No
Schedule of annual financial results briefing session: No(Amounts of less than one million yen are rounded down.)
1. Consolidated Financial Results for the Fiscal Year Ended March 31, 2023 (April 1, 2022 to March 31, 2023)(1) Consolidated Operating Results(% indicates changes from the previous corresponding period.)
Profit attributable to
Net sales
Operating profit
Ordinary profit
owners of parent
Fiscal year ended
Million yen%
Million yen%
Million yen%
Million yen%
March 31, 2023
58,061
26.7
8,764
99.1
6,443
48.3
6,439
96.4
March 31, 2022
45,81514.1
4,401 111.4
4,346
65.7
3,277 163.0(Note) Comprehensive income: Fiscal year ended March 31, 2023: ¥21,092 million [133.3%]
Fiscal year ended March 31, 2022: ¥9,039 million [530.4%]
Basic earnings
per share

Diluted earnings
per share

Return on equity

Ordinary profit tototal assets

Operating profit
to net sales

Fiscal year ended
Yen
Yen
%
%
March 31, 2023
190.17–
21.7
2.5
March 31, 2022
97.82
–
15.2
2.0
(Reference) Equity in earnings (losses) of affiliates: Fiscal year ended March 31, 2023: ¥1,748 million
Fiscal year ended March 31, 2022: ¥939 million(2) Consolidated Financial Position
Total assets

Net assets

Million yen

274,947
As of March 31, 2023
As of March 31, 2022
237,569(Reference) Equity: As of March 31, 2023: ¥35,332 million
As of March 31, 2022: ¥23,972 million

Equity ratio

%

15.1
9.6

Net assets per share

Million yen%

Yen

68,43347,382

12.9
10.1

1,038.96
715.44(3) Consolidated Cash Flows
Cash flows fromoperating activities

Fiscal year ended
March 31, 2023
March 31, 2022

Cash flows frominvesting activities

Cash flows fromfinancing activities

Cash and cash
equivalents at the endof period

Million yen

Million yen

Million yen

Million yen

26,37819,896(18,415)(31,478)(5,456)
12,02826,971
23,137

2. Dividends
Annual dividends
1st
2nd
3rd
Year-endquarter-end quarter-end quarter-end

Total

Total
dividends

Payoutratio(consolidated)

Fiscal year ended
Yen
Yen
Yen
Yen
Yen Million yen
March 31, 2022
–
–
–
5.00
5.00
179
March 31, 2023
–
–
–
5.00
5.00
179
Fiscal year ending
March 31, 2024
–
–
–
–
–
(Forecast)(Note) Dividend forecast for the fiscal year ending March 31, 2024 is not available at this point.

Dividends
to netassets(consolidated)

%

%

5.1
2.6

0.8
0.6

–

3. Consolidated Financial Results Forecast for the Fiscal Year Ending March 31, 2024 (April 1, 2023 to March
31, 2024)(% indicates changes from the previous corresponding period.)
Net salesFirst half
Full year

Operating profit

Million yen%

Million yen%

30,00060,000

13.9
3.3

4,000
7,500

55.3
(14.4)

Profit attributable toowners of parent

Ordinary profit
Million yen

Basic earnings
per share%

Million yen%

Yen

1,500 242.7
3,200 (50.3)

800
2,100

(80.1)(67.4)

23.52
61.75

* Notes:(1) Changes in significant subsidiaries during the period under review: Yes(Changes in specified subsidiaries resulting in changes in scope of consolidation)
Excluded: 1 company (PRIMATE SHIPPING S.A.)
ESTEEM MARITIME S.A. merged two companies by an absorption-type merger including PRIMATESHIPPING S.A. effective January 1, 2022. Accordingly, PRIMATE SHIPPING S.A. has been excluded from thescope of consolidation since the first quarter of the fiscal year under review.
(2) Changes in accounting policies, changes in accounting estimates and retrospective restatement
1) Changes in accounting policies due to the revision of accounting standards: No
2) Changes in accounting policies other than 1) above: No
3) Changes in accounting estimates: No4) Retrospective restatement: No(3) Total number of issued shares (common shares)
1) Total number of issued shares at the end of the period (including treasury shares):
March 31, 2023: 36,000,000 shares
March 31, 2022: 36,000,000 shares2) Total number of treasury shares at the end of the period:
March 31, 2023: 1,992,307 shares
March 31, 2022: 2,492,283 shares
3) Average number of shares during the period:
Fiscal Year ended March 31, 2023: 33,860,368 sharesFiscal Year ended March 31, 2022: 33,508,260 shares

(Reference) Summary of Non-consolidated Financial Results
1. Non-consolidated Financial Results for the Fiscal Year Ended March 31, 2023 (April 1, 2022 to March 31,2023)(1) Non-consolidated Operating Results(% indicates changes from the previous corresponding period.)
Net sales
Operating profit
Ordinary profit
ProfitFiscal year ended
Million yen%
Million yen%
Million yen%
Million yen%
March 31, 2023
2,798
14.9
737
52.2
1,571
23.8
1,092
11.2
March 31, 2022
2,434
–
484
–
1,269
–
982
–
Basic earnings per share
Fiscal year ended
March 31, 2023
March 31, 2022
(2) Non-consolidated Financial Position
Total assets
Million yen

Diluted earnings per share
Yen

Yen

30.36
27.31

–
–

Net assets
Million yen

As of March 31, 2023
24,903As of March 31, 2022
23,708(Reference) Equity: As of March 31, 2023: ¥9,151 million
As of March 31, 2022: ¥8,061 million

9,151
8,061

Equity ratio

Net assets per share
%

Yen

36.7
34.0

254.28224.01* These consolidated financial results are outside the scope of audit by certified public accountants and audit
corporations.
* Explanation of the proper use of financial results forecast and other notes
The earnings forecasts and other forward-looking statements herein are based on the information available at thetime of preparation of this report and certain assumptions believed to be reasonable, and the Company does notassure the achievement of any of these. Actual results may differ significantly from the forecast due to a wide range
of factors. Please refer to “Future Outlook” on page 4 of the attached supplementary materials for information
regarding the underlying assumptions for financial results forecast, as well as explanatory and other notes regarding
the use of financial results forecast.

Supplementary Materials: Table of Contents
1. Overview of Business Results, etc. ................................................................................................................ 2(1) Overview of Business Results for the Fiscal Year under Review .............................................................. 2(2) Overview of Financial Position for the Fiscal Year under Review ............................................................ 3(3) Overview of Cash Flows for the Fiscal Year under Review ....................................................................... 4(4) Future Outlook ........................................................................................................................................... 4
2. Basic Stance Concerning Choice of Accounting Standards ........................................................................... 5
3. Consolidated Financial Statements and Primary Notes .................................................................................. 6(1) Consolidated Balance Sheets ..................................................................................................................... 6(2) Consolidated Statements of Income and Comprehensive Income ............................................................. 8(3) Consolidated Statements of Changes in Net Assets ................................................................................. 10(4) Consolidated Statements of Cash Flows .................................................................................................. 12(5) Notes to the Consolidated Financial Statements ...................................................................................... 14(Notes on Going Concern Assumption) .............................................................................................. 14(Segment Information) ........................................................................................................................ 14(Per Share Information) ....................................................................................................................... 16(Significant Subsequent Events) .......................................................................................................... 16

1

1. Overview of Business Results, etc.
(1) Overview of Business Results for the Fiscal Year under Review<Business environment>
During the fiscal year under review, the global economy followed a recover path from the coronavirus(COVID-19) crisis, however, inflation, monetary tightening and Russia’s invasion of Ukraine weighed on theeconomy, resulting in a global growth rate of 3.4%.
The U.S and European economies staged a modest recovery amid expectations that inflation will peak out
after monetary tightening. The Chinese economy was stagnant in the second half of 2022 due to multiple major
outbreaks of the COVID-19 and a shrink in real estate investment.
The Japanese economy grew at a rate of 1.1%, partly due to shift to living with COVID-19 toward the endof the year, although the recovery in consumer spending was delayed because of semi-emergency COVID-19
measures applied to prevent the spread of the Omicron strain along with soaring prices caused by the sanctions
against Russia.
In the fiscal year under review, the foreign exchange rate began at the ¥122 level amid the ending of thezero-interest rate policy, subsequent and rapid acceleration of inflation and corresponding substantial rate hikes
in the United States. In Japan, on the other hand, the interest rate gap between our country and the United Stateswidened under our continuous monetary-easing policy, which made the yen hit the ¥151 level in October. From
November onward, the dollar’s appreciation against yen slowed thanks to the scaling back of the U.S. interest
rate hikes, leading the yen to hover at the ¥132 level at the end of December and ¥133 level at the end of March.
<International shipping business>
The large tanker chartering market tanker market remained generally firm from July onward. While theimpact of the decreased cargo movements due to easing of global crude oil supply and demand owing to the
COVID-19 pandemic continued from the previous year, the increase in shipping demand due to changes intrade patterns brought by the situation in Ukraine significantly exceeded the negative factors of the pandemic.
In the product tanker chartering market, there were concerns that the COVID-19 pandemic crisis would slow
down cargo movements in the early part of 2022 due to sluggish shipments of jet fuel and other petroleum
products. However, the growth in ton-miles due to alternative procurement of petroleum products from Russia
offset these concerns, keeping the market relatively steady throughout the year. Besides, the LPG/LNG
chartering market remained generally strong throughout the fiscal year, with cargo movements augmenting
amid its increasing demand along with the widening regional differences in cargo prices stemmed from
Ukrainian situation. The demand for LNG carriers, in particular, stayed at a historically high level under the
influence of the Russian invasion of Ukraine, with a rapid demand increase for vessel capacity in Europe.
The bulker chartering market, in contrast to the charter tanker market, kept declining until March, especiallyfor large vessels, mainly due to weak demand for raw materials due to the slowdown in the Chinese economy
since mid of 2022, but finally and temporarily showed signs of bottoming out in March. The small andmedium-sized vessels market remained generally sluggish throughout the year, although the decline in themarket was moderate compared to that of large vessels.
The car carrier chartering market remained historically high. This is due to growth in automobile production
and cargo movement since the second half of 2021 under post-pandemic recovery, and the market conditions
that obviously reflected the slashed shipping capacity among Japanese and European operators, in particular,that promoted vessel scrapping when cargo movement declined in 2020.
The containership chartering market peaked in early 2022 due to an increase in demand for shipping
capacity in the wake of port congestion and container shortages in some areas caused by the COVID-19
pandemic since mid-2020. The market then plummeted as the situation calmed, it returned to pre-pandemic
levels and remained flat from November onward.

2

Under these conditions, net sales in the international shipping business for the fiscal year under review were¥51,007 million (an increase of 21.7% year on year). This is mainly attributable to an increase in the operationof vessels delivered or acquired in the previous fiscal year, in addition to the new operation of two tankers andthree bulk carriers in the fiscal year under review coupled with the effect of weak yen. Segment profit in theinternational shipping business amounted to ¥8,868 million (an increase of 43.5% year on year). In addition, as
extraordinary income, the Company recorded ¥7,466 million in gain on sales of three vessels held by theCompany’s consolidated subsidiaries.
<Hotel-related business>
For the hotel-related business, despite the impact of the spread of the COVID-19 pandemic, demandrebounded since October on account of the easing in immigration restrictions and the expansion of the national
travel subsidy program. As a result, net sales in the business stood at ¥6,522 million (an increase of 92.8% year
on year), and segment loss in the hotel-related business was ¥400 million (a loss of ¥2,068 million in thebusiness in the previous fiscal year). Subsidies for employment adjustment of ¥356 million (¥1,129 million in
the previous fiscal year) are stated under non-operating income.
<Real estate leasing business>
Net sales in the real estate leasing business were ¥531 million (an increase of 4.6% year on year). Segment
profit in the business was ¥296 million (an increase of 1.3% year on year).
As a result, for the fiscal year under review, net sales were ¥58,061 million (an increase of 26.7% year onyear) and operating profit was ¥8,764 million (an increase of 99.1% year on year). Although ¥1,748 million ofshare of profit of entities accounted for using equity method is recorded in non-operating income, which was
overweighed by ¥2,843 million of interest expenses and ¥1,782 of foreign exchange losses, ordinary profit was¥6,443 million (an increase of 48.3% year on year). Profit attributable to owners of parent, with the gain on
sales of vessel mentioned above and income taxes – deferred of ¥1,176 million according to a change in profit
before income taxes, amounted to ¥6,439 million (an increase of 96.4% year on year).

(2) Overview of Financial Position for the Fiscal Year under Review
Assets as of the end of the fiscal year under review increased by ¥37,377 million from the end of the previous
fiscal year to ¥274,947 million. This is mainly attributable to an increase in cash and deposits, the effect of foreign
currency translation of our overseas subsidiaries, and an increase in the number of vessels resulting from new
shipbuilding.
Liabilities increased by ¥16,326 million from the end of the previous fiscal year to ¥206,513 million. This ismainly attributable to an increase in borrowings for the acquisition of vessels and the effect of foreign currencytranslation of our overseas subsidiaries. Furthermore, net assets increased by ¥21,051 million from the end of theprevious fiscal year to ¥68,433 million. This is mainly attributable to increases in retained earnings and noncontrolling interests.

3(3) Overview of Cash Flows for the Fiscal Year under Review
Cash and cash equivalents as of the end of the fiscal year under review increased by ¥3,833 million from theend of the previous fiscal year to ¥26,971 million. The conditions of each cash flow as of the end of the fiscal year
under review are as follows.
(Cash flows from operating activities)
Net cash provided by operating activities as of the end of the fiscal year under review increased by ¥6,481
million from the previous fiscal year to ¥26,378 million. This is mainly attributable to ¥13,879 million of profit
before income taxes and ¥16,631 million of depreciation and amortization.
(Cash flows from investing activities)
Net cash used in investing activities as of the end of the fiscal year under review decreased by ¥13,063 million
from the previous fiscal year to ¥18,415 million. This is mainly attributable to purchase of property, plant andequipment of ¥28,393 million including the costs for new shipbuilding and proceeds from sales of property, plantand equipment of ¥11,213 million.
(Cash flows from financing activities)
Net cash used in financing activities as of the end of the fiscal year under review was ¥5,456 million, comparedto ¥12,028 million provided as of the end of the previous fiscal year. This is mainly attributable to proceeds fromlong-term borrowings of ¥20,022 million, and repayments of long-term borrowings of ¥25,681 million.

(4) Future Outlook
The growth rate of the global economy in 2023 is projected to be 2.8% with constantly elevated inflation despite
its moderate growth, persisting geopolitical tensions brought by Russia’s invasion of Ukraine, and recent concerns
over the financial sector turmoil originated by the collapse in some U.S. regional banks.
In these economic conditions, there shall be no change to the Group’s management policy, and the Company
will endeavor to further enhance its management foundations based on safety, security and stability.
In the international shipping business, although the vessels delivered in the fiscal year under review will go intofull operation, and the two vessels scheduled for acquisition in the next fiscal year are predicted to go into
operation, net sales are expected to be ¥50,600 million (a decrease of 0.8% year on year) under our scenario of yen
appreciation. In terms of expenses, vessel costs such as crew expenses and others are expected to rise, thereby
segment profit in the business is projected to be ¥7,000 million (a decrease of 21.1% year on year). From the next
fiscal year onward, the Company will work to unerringly address changes in conditions, maintaining andenhancing its fleet, and at the same time securing a safe structure for operations. In this way, the Company will
strive steadily to maintain and enhance its business foundation based primarily on the medium-to-long-term time
charter.
In the hotel-related business, with domestic guests representing post-pandemic recovery and overseas guests,
likewise, expected to return gradually, net sales of ¥8,900 million (an increase of 36.4% year on year) and a profitof ¥200 million (a loss of ¥400 million in the fiscal year under review) are projected in the segment. Meanwhile,
under the undeniable labor shortage happening in the industry, the Company will endeavor to improve profitability
by constantly reinforcing recruitment and taking various measures to retain employees.
In the real estate leasing business, net sales are expected to be ¥500 million (a decrease of 6.0% year on year)
while segment profit in the business is anticipated to be ¥300 million (an increase of 1.3% year on year). The
Company will continue to aim to secure stable earnings in the future by maintaining and enhancing the quality of
the Company’s real estate properties.
As a result of the above, the Company expects full-year consolidated net sales of ¥60,000 million (an increase4

of 3.3% compared with the fiscal year under review), and consolidated operating profit of ¥7,500 million (adecrease of 14.4% compared with the fiscal year under review). Ordinary profit is expected to be ¥3,200 million
yen (a decrease of 50.3% compared with the fiscal year under review) on the assumption of a decrease in share of
profit of entities accounted for using equity method due to a decline in earnings from dollar-denominatedsubsidiaries resulting from the aforementioned increases in vessel costs and other factors in the non-operating
profit (loss). In addition to the sale of the vessel described in the Significant Subsequent Events section, theCompany anticipates the sale of another vessel and expects to record a combined gain of ¥3,400 million yen in
extraordinary income. Accordingly, final profit attributable to owners of parent is expected to be ¥2,100 million
yen (a decrease of 67.4% compared with the fiscal year under review). The Company assumes the foreignexchange rate for the next fiscal year to be at the level of ¥125 to the U.S. dollar.

2. Basic Stance Concerning Choice of Accounting Standards
Taking into consideration the comparability of consolidated financial statements across periods and among
companies, the Group’s policy is to prepare its consolidated financial statements using Japanese GAAP for thetime being. With regard to application of International Financial Reporting Standards (IFRS), the Group’s policy is
to respond appropriately based on consideration of the situation in Japan and overseas.

5

3. Consolidated Financial Statements and Primary Notes(1) Consolidated Balance Sheets(Thousand yen)
As of March 31, 2022
AssetsCurrent assets
Cash and deposits
Accounts receivable - trade
Merchandise and finished goods
Raw materials and supplies
Other
Total current assets
Non-current assets
Property, plant and equipment
Vessels, net
Buildings and structures, net
LandConstruction in progress
Other, net
Total property, plant and equipment
Intangible assets
Other
Total intangible assets
Investments and other assets
Investment securities
Long-term loans receivable
Deferred tax assets
Other
Total investments and other assets
Total non-current assets
Total assets

6

As of March 31, 2023

23,662,305
467,657
22,378
901,699
3,102,522
28,156,563

27,572,231
706,560
23,341
1,135,464
4,624,826
34,062,424

166,894,357
11,875,010
8,682,793
8,498,538
437,785
196,388,487

183,586,204
11,625,588
9,679,620
14,526,040
350,916
219,768,369

107,271
107,271

84,03484,034

8,975,879
1,058,039
1,169,606
1,713,416
12,916,941
209,412,700
237,569,264

11,472,623
1,290,401
991,685
7,277,558
21,032,268
240,884,672
274,947,097

(Thousand yen)
As of March 31, 2022
Liabilities
Current liabilities
Accounts payable - shipping
Current portion of bonds payable
Short-term borrowings
Lease liabilities
Accounts payable - other
Income taxes payable
Provision for bonuses
Other
Total current liabilities
Non-current liabilities
Bonds payable
Long-term borrowings
Lease liabilities
Deferred tax liabilities
Deferred tax liabilities for land revaluation
Provisions
Provision for retirement benefits for directors(and other officers)
Provision for special repairs
Total provisions
Retirement benefit liability
Liabilities from application of equity method
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 income
Valuation difference on available-for-sale securities
Deferred gains or losses on hedges
Revaluation reserve for land
Foreign currency translation adjustment
Total accumulated other comprehensive income
Non-controlling interests
Total net assets
Total liabilities and net assets

7

As of March 31, 2023

2,159,168
482,000
28,705,212
2,098
539,145714,392
46,482
4,845,052
37,493,552

2,708,906
240,000
34,762,821–
841,010395,354
67,566
8,713,877
47,729,536

418,000
144,120,567
708
1,001,427
1,043,086

178,000
146,006,946–
2,950,131
1,083,122

205,531205,5312,265,696
2,471,228
373,309341,466
2,923,599
152,693,394
190,186,946

2,835,203
3,040,735
367,392
207,8704,949,570
158,783,768
206,513,305

1,800,000
525,490
18,275,856(581,058)
20,020,289

1,800,000
733,608
24,472,827(420,655)
26,585,779

410,414
38,498
1,906,276
1,597,202
3,952,392
23,409,636
47,382,318
237,569,264

656,7022,598,797
1,891,582
3,599,761
8,746,844
33,101,168
68,433,792
274,947,097

(2) Consolidated Statements of Income and Comprehensive Income
Consolidated Statements of Income(Thousand yen)

Net sales
Cost of sales
Gross profit
Selling, general and administrative expenses
Operating profit
Non-operating income
Interest income
Dividend income
Foreign exchange gains
Share of profit of entities accounted for using equity
methodSubsidies for employment adjustment
Other
Total non-operating income
Non-operating expenses
Interest expenses
Foreign exchange losses
Loss on valuation of derivatives
Other
Total non-operating expenses
Ordinary profit
Extraordinary income
Gain on sales of vessel
Gain on sale of investment securities
Total extraordinary income
Extraordinary losses
Loss on retirement of property, plant and equipment
Total extraordinary losses
Profit before income taxes
Income taxes - current
Income taxes - deferred
Total income taxes
ProfitProfit attributable to non-controlling interests
Profit attributable to owners of parent

For the fiscal year
ended March 31, 2022
45,815,168
37,341,720
8,473,447
4,071,676
4,401,770

For the fiscal year
ended March 31, 2023
58,061,579
44,899,639
13,161,939
4,397,148
8,764,791

47,035
89,125
192,666

236,674
112,055–

939,256

1,748,876

1,129,287
394,494
2,791,865

356,361
606,300
3,060,269

2,060,418–
479,103
307,947
2,847,469
4,346,166

2,843,434
1,782,781
541,606
213,633
5,381,455
6,443,604

2,616,772
169,829
2,786,601

7,466,533–
7,466,533––
7,132,768
1,002,070
458,682
1,460,753
5,672,014
2,394,083
3,277,930

30,85330,853
13,879,285
815,398
1,176,944
1,992,342
11,886,942
5,447,571
6,439,371

8

Consolidated Statements of Comprehensive Income(Thousand yen)

ProfitOther comprehensive income
Valuation difference on available-for-sale securities
Deferred gains or losses on hedges
Revaluation reserve for land
Foreign currency translation adjustment
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-controllinginterests

For the fiscal year
ended March 31, 2022
5,672,014

For the fiscal year
ended March 31, 2023
11,886,942(29,090)979,752–
1,896,364

247,041
5,090,948(40,036)
3,105,828

520,428

801,8023,367,455
9,039,470

9,205,584
21,092,527

5,128,616

11,233,823

3,910,853

9,858,703

9

(3) Consolidated Statements of Changes in Net Assets
For the fiscal year ended March 31, 2022
(Thousand yen)
Shareholders’ equity
Share capital
Balance at beginning of period

1,800,000

Capital surplus

Retained earnings

525,490

15,226,332

Treasury shares(580,595)

Total shareholders’equity16,971,228

Changes during period
Dividends of surplus
Change in scope of equity
methodProfit attributable toowners of parent(251,917)(251,917)

23,51023,5103,277,930

3,277,930

Purchase of treasury shares

(462)

(462)

Net changes in items otherthan shareholders’ equity
Total changes during period
Balance at end of period––

3,049,523(462)

3,049,060

1,800,000

525,490

18,275,856(581,058)

20,020,289

Accumulated other comprehensive income

Balance at beginning of period

Valuationdifference on
available-forsale securities

Deferred
gains or losses
on hedges

Revaluation
reserve forland

441,660(581,997)

1,906,276

Total
accumulated
othercomprehensive
income335,767
2,101,706

Foreigncurrencytranslation
adjustment

Noncontrollinginterests

Total net
assets

19,667,062

38,739,997

Changes during period
Dividends of surplus
Change in scope of equity
methodProfit attributable to ownersof parent
Purchase of treasury shares
Net changes in items otherthan shareholders’ equity(251,917)
23,5103,277,930(462)(31,245)

620,495–

1,261,435

1,850,685

3,742,573

5,593,259

Total changes during period(31,245)

620,495–

1,261,435

1,850,685

3,742,573

8,642,320

Balance at end of period

410,414

38,498

1,906,276

1,597,202

3,952,392

23,409,636

47,382,318

10

For the fiscal year ended March 31, 2023
(Thousand yen)
Shareholders’ equity

Balance at beginning of period

Share capital

Capital surplus

Retained earnings

Treasury shares

Total shareholders’equity1,800,000

525,490

18,275,856(581,058)

20,020,289

Changes during period
Dividends of surplus(179,940)(179,940)

Decrease by corporate
division(67,406)(67,406)

Increase by merger

1,665

1,665

3,280

3,280

6,439,371

6,439,371

Change in scope of equity
methodProfit attributable to ownersof parent
Purchase of treasury shares
Disposal of treasury shares

208,117

(40)

(40)

160,442

368,560

Net changes in items otherthan shareholders’ equity
Total changes during period
Balance at end of period–

208,117

6,196,970

160,4026,565,490

1,800,000

733,608

24,472,827(420,655)

26,585,779

Accumulated other comprehensive income

Balance at beginning of period

Valuationdifference on
available-forsale securities

Deferred
gains or losses
on hedges

Revaluation
reserve forland

Foreigncurrencytranslation
adjustment

410,414

38,498

1,906,276

1,597,202

Total
accumulated
othercomprehensive
income3,952,392

Noncontrollinginterests

Total net
assets23,409,636

47,382,318

Changes during period
Dividends of surplus(179,940)

Decrease by corporate
division(67,406)

Increase by merger

1,665

Change in scope of equity
methodProfit attributable to ownersof parent

3,280
6,439,371

Purchase of treasury shares(40)

Disposal of treasury shares

368,560

Net changes in items other thanshareholders’ equity

246,287

2,560,298(14,693)

2,002,558

4,794,452

9,691,531

14,485,983

Total changes during period

246,287

2,560,298(14,693)

2,002,558

4,794,452

9,691,531

21,051,474

Balance at end of period

656,7022,598,797

1,891,582

3,599,761

8,746,844

33,101,168

68,433,792

11

(4) Consolidated Statements of Cash Flows(Thousand yen)
For the fiscal year
ended March 31, 2022
Cash flows from operating activities
Profit before income taxes
Depreciation
Loss (gain) on sales of investment securities
Interest and dividend income
Loss (gain) on sales and retirement of property, plantand equipment
Interest expenses
Foreign exchange losses (gains)
Loss (gain) on investments in silent partnership
Loss (gain) on valuation of derivatives
Share of loss (profit) of entities accounted for using
equity method
Increase (decrease) in provision for retirement benefits
for directors (and other officers)
Increase (decrease) in retirement benefit liability
Increase (decrease) in provision for special repairs
Increase (decrease) in advances received
Decrease (increase) in inventories
Decrease (increase) in consumption taxes refund
receivable
Increase (decrease) in accounts payable - shipping
Decrease (increase) in other current assets
Other, net
SubtotalInterest and dividend 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
Proceeds from sales of property, plant and equipment
Payments into time deposits
Proceeds from withdrawal of time deposits
Purchase of investment securities
Proceeds from sales and redemption of investment
securities
Loan advances
Proceeds from collection of loans receivable
Other, net
Net cash provided by (used in) investing activities

12

For the fiscal year
ended March 31, 2023

7,132,768
15,066,432(169,829)(136,160)

13,879,285
16,631,189–(348,730)(2,596,997)(7,435,680)

2,060,418(276,878)
15,451
479,1032,843,434
1,845,540(95,082)541,606(939,256)(1,748,876)(10,691)–

2,399
643,157
192,135(206,194)(5,916)
569,506
843,060(234,727)(499)

190,634

131,790313,981
370,751
22,071,881
484,613(2,059,234)(600,603)
19,896,657

549,738(1,881,196)
2,112,858
28,256,643
1,957,507(2,689,833)(1,146,110)
26,378,206(37,769,063)
6,937,078(525,026)
88,100(1,150,779)(28,393,258)
11,213,643(601,046)
525,026(1,449,294)

666,938

385,258(330,730)
560,457
44,092(31,478,931)(672,023)
701,701(125,312)(18,415,305)

(Thousand yen)
For the fiscal year
ended March 31, 2022
Cash flows from financing activities
Net increase (decrease) in short-term borrowings
Proceeds from long-term borrowings
Repayments of long-term borrowings
Redemption of bonds
Dividends paid
Dividends paid to non-controlling interests
Purchase of treasury shares
Repayments of lease liabilities
Other, net
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

1,511,070
38,490,160(26,412,841)(758,000)(251,323)(395,012)(66)(2,057)(153,534)
12,028,396
1,661,989
2,108,112
21,029,167
23,137,279

13

For the fiscal year
ended March 31, 2023
1,365,360
20,022,263(25,681,295)(482,000)(179,745)(173,080)(40)(2,807)(324,705)(5,456,050)
1,327,054
3,833,905
23,137,279
26,971,185

(5) Notes to the Consolidated Financial Statements(Notes on Going Concern Assumption)
There is no relevant information.
(Segment Information)[Segment Information]
1. Description of reportable segments
Reportable segments of the Company are determined as segments whose separate financial information isaccessible from among the constituent units of the Company and are regularly examined by the Board of
Directors to determine the allocation of management resources and to evaluate achievements.
The reportable segments of the Company are composed of three segments, which are international shipping
business, hotel-related business, and real estate leasing business, and the Group companies of the Company
conduct business activities in each of these segments.
In the international shipping business, the Company operates businesses relating to shipping, centered on avessel chartering business, in addition to ship management operations. In the hotel-related business, theCompany presently holds hotels and golf courses at various locations, and offers services related to thesefacilities. In the real estate leasing business, the Company conducts a rental space leasing business, centered on
office buildings held by the Group.
2. Method of measurement for the amounts of net sales, profit (loss), assets, liabilities and other items for eachreportable segment
The accounting method used for reporting business segments is generally the same as those employed in the
preparation of the Consolidated Financial Statements.
3. Information on net sales, profit (loss), assets, liabilities and other items by reportable segment
For the fiscal year ended March 31, 2022
International
shipping
business
Net sales
Net sales to outside customers
Inter-segment net sales ortransfers
Total
Segment profit
Segment assets
Segment liabilities
Other items(Thousand yen)
Reportable segment
Real estate
Hotel-related
leasingbusinessbusiness

Total

Adjustment

Total

41,924,072

3,382,656

508,438

45,815,168–

45,815,168

–

–

–

–

–

–

41,924,072
6,178,342
210,876,934
174,307,325

3,382,656(2,068,729)
19,142,103
13,830,032

508,438
292,157
7,550,226
2,049,588

45,815,168
4,401,770
237,569,264
190,186,946

–
–
–
–

45,815,168
4,401,770
237,569,264
190,186,946

Depreciation and amortization

14,239,705

730,100

96,625

15,066,432–

15,066,432

Increase in property, plant andequipment and intangible fixed
assets37,008,204

340,967

114,548

37,463,720–

37,463,720(Note)

Segment profit (loss) is equivalent to operating profit in the Consolidated Statements of Income.

14

For the fiscal year ended March 31, 2023
Reportable segment
Real estate
Hotel-related
leasingbusinessbusiness

International
shipping
business
Net sales
Net sales to outside customers
Inter-segment net sales ortransfers
Total
Segment profit (loss)
Segment assets
Segment liabilities
Other items
Depreciation and amortization
Increase in property, plant andequipment and intangible fixed
assets(Note)(Thousand yen)
Total

Adjustment

Total

51,007,028

6,522,916

531,634

58,061,579–

58,061,579

–

–

–

–

–

–

51,007,028
8,868,740
247,442,420
191,115,894

6,522,916(400,021)
18,320,830
12,604,834

531,634
296,071
9,183,846
2,792,576

58,061,579
8,764,791
274,947,097
206,513,305

–
–
–
–

58,061,579
8,764,791
274,947,097
206,513,305

15,808,677

718,360

104,151

16,631,189–

16,631,189

27,366,312

207,022861,885

28,435,220–

28,435,220

Segment profit (loss) is equivalent to operating profit in the Consolidated Statements of Income.

4. Differences between amounts recognized in reporting segments and the corresponding amounts reported in the
consolidated financial statements, and the primary items contributing to the difference
There is no relevant information.

[Information concerning impairment loss on noncurrent assets by reportable segment]
For the fiscal year ended March 31, 2022
There is no relevant information.

For the fiscal year ended March 31, 2023
There is no relevant information.

[Information on gain on bargain purchase by reportable segment]
For the fiscal year ended March 31, 2022
There is no relevant information.

For the fiscal year ended March 31, 2023
There is no relevant information.

15

(Per Share Information)
For the fiscal year
ended March 31, 2022

For the fiscal year
ended March 31, 2023

¥715.44

Net assets per share¥1,038.96¥97.82¥190.17
Basic earnings per share(Notes) 1. Diluted earnings per share is not disclosed since there are no potentially dilutive shares.
2. The basis for the calculation of basic earnings per share is as follows.
For the fiscal year
For the fiscal year
ended March 31, 2022
ended March 31, 2023
Basic earnings per share
Profit attributable to owners of parent
6,439,371
3,277,930(Thousand yen)Amount not attributable to commonshareholders (Thousand yen)
Profit attributable to owners of parent
relating to common shares (Thousand yen)
Average number of shares of common shares
outstanding during each fiscal year
(Thousand shares)––

3,277,930

6,439,371

33,50833,8603. The basis for the calculation of net assets per share is as follows.
For the fiscal year
ended March 31, 2022

For the fiscal year
ended March 31, 2023

Total net assets (Thousand yen)

47,382,318

68,433,792

Deductible amount from total net assets(Thousand yen)

23,409,636

33,101,168[Non-controlling interests (Thousand yen)](23,409,636)(33,101,168)

23,972,681

35,332,624

33,50734,007

Net assets relating to common shares at end ofyear (Thousand yen)
Number of common shares for calculation of
net assets per share at end of year (Thousand
shares)(Significant Subsequent Events)
The Company has determined that it will sell a vessel held by one of its consolidated subsidiaries (based in The
Netherlands, with a fiscal year end date of December 31), following the date of that company’s fiscal year end.
Given this, the Company will post extraordinary income in the following consolidated fiscal year, and projects an
impact of approximately ¥500 million in profit attributable to owners of parent.

16