Supplementary Material on Financial Results

Consolidated Financial Results
for the Three Months
Ended June 30, 2023
August 4, 2023
SHIBAURA MACHINE CO., LTD.

Consolidated Financial Results
Overview for the Three Months
Ended June 30, 2023
1) Key Points of Financial Results2) Year-on-Year Comparison

2Key Points of Financial Results (Year-on-Year)

Increased Revenue and Profits Year-on-Year◼ Orders Received• The demand for LiB separator film production lines for EV in extrusion
machines has been sustained at a high level. However, compared to the same
period of the previous year, it decreased due to the timing of recording orders.
Additionally, the orders received decreased year-on-year due to a decline ininjection molding machines, etc, caused by the worsening market conditions inthe U.S. and China.

◼ Net Sales• Significant increase in LiB separator film production lines for EV in China• Against the background of decarbonization, there has been an increase inmedium to large electric injection molding machines in North America.

◼ Operating Profit, Ordinary Profit, Net Profit• All operating profit, ordinary profit and quarterly net profit increased with apositive effect of boosting profits on the back of increased sales, etc.
3Performance Summary (Year-on-Year)(Unit: 100 million yen)

Q1 FY2023

Q1 FY2022

(A)

(B)

Increase/Decrease(A-B)

Net sales

347

264

+83

Operating profit

26

4+22

7.6%

1.6%+6.0pt

348+269.9%

3.3%+6.6pt

26

0+26

7.7%

0.1%+7.6pt

Profit ratio
Ordinary profit

Profit ratio
Net profit attributableto owners of parent

Profit ratio
Orders received
Exchange rate
(USD)

389

632

145 yen

137 yen4- 243*Exchange rate sensitivity on operating profit (USD)
Approximately 100 million yen per 1 yen(Profits will increase with yen’s depreciation)

Amounts of Orders Received (By Segment)(Unit: 100 million yen)

(Unit: 100 million yen)
Increase/Decrease

632
Others389

Breakdown of Metal &Plastics Industrial Machine-243（-38.4％）

Injection: Injection molding machines
Die Casting: Die casting machines
Extrusion: Extrusion machines

3Controlsystems 19Machine
tools

78

Metal &plastics
industrialmachine

Q1 FY2022

3-0（-5.4%）

19+0（+3.7%）

70-8（-10.8%）

Injection116530530
Extrusion
368
295-235（-44.2%）

Q1 FY2022

Q1 FY2023

Q1 FY2023

5Die Casting
45Injection
92295

Extrusion
159

Die Casting44Trends of Orders Received (By Segment)(Unit: 100 million yen)

632

Metal & plastics industrial machine has quarterly fluctuation inamounts of orders received, because of including large volume
orders for LiB separator film production lines for EV.

3 19468

78

283

389

533
2 2360

4 23

Others 368
3 26

530
373

55

447

199
Q1 FY2022(Apr-Jun 2022)

Q2 FY2022(Jul-Sep 2022)

Current Orders➢ Injection:
➢➢
➢
➢
➢

Die Casting:
Extrusion:
Machine Tools:
Precision:
Control :Q3 FY2022(Oct-Dec 2022)

Machine tools: Large machine tools (machine tool segment)
Precision: High-precision machine tools (machine tool segment)
Control: Control systems

Q4 FY2022(Jan-Mar 2023)(Unit: 100 million yen)Controlsystems

19

Machinetools

70

Metal &plastics
industrial
machineBreakdown of Metal &Plastics Industrial Machine

Injection
Extrusion

295

Q1 FY2023(Apr-Jun 2023)

159

295

92

Die Casting

44

Q1 FY2023(Apr-Jun 2023)

Demand for hydraulic injection molding machines in India remains strong due to continued demand,
but demand for electric machines is low due to economic stagnation in China and North America
Demand is showing a slow recovery in relation to automotive capital investments
Continuously in high demand for LiB separator film production lines for EV in China
Demand for energy-related applications in North America is steady
Demand for smartphone lens molds in China is low
Demand for Industrial robots in China is low, demand for electronic control systems in Japan is steady6)Net Sales (By Segment)(Unit: 100 million yen)

(Unit: 100 million yen)

Breakdown of Metal &Plastics Industrial Machine

Increase/Decrease

264

347
3Others

3+83（+31.2%）+0（+12.2%）

32＋8（＋35.3%）

46-13（-21.3%）

Q1 FY2022

Q1 FY2023

Controlsystems 24
Machinetools 59+88（+48.1%）

Metal &plastics
industrialmachine

Extrusion
61
182

270

182

Die
Casting
34
Adjustment
amountQ1 FY2022

Injection
85

Q1 FY2023

7

Extrusion
135

Injection
100270Die
Casting34

Trends of Net Sales (By Segment)(Unit: 100 million yen)

43264
24325
2778

296

346

Others28Controlsystems

32Machine
tools

46

344257858

Breakdown of Metal &Plastics Industrial Machine(Unit: 100 million yen)

59

182

347

Metal &plastics
industrialmachine

222

215

270

240

Extrusion

Injection

135

100270Die Casting

Adjustment

Q1 FY2022(Apr-Jun 2022)

Q2 FY2022(Jul-Sep 2022)

Q3 FY2022(Oct-Dec 2022)

Q4 FY2022(Jan-Mar 2023)

8Q1 FY2023(Apr-Jun 2023)

34
Q1 FY2023(Apr-Jun 2023)

Order Backlog (By Segment)(Unit: 100 million yen)

1,775

(Unit: 100 million yen)

2,134
458
Others4Controlsystems59245

Increase/Decrease

Breakdown of Metal &Plastics Industrial Machine＋359（＋20.2%）-0（-1.8%）-1（-2.1%）-7（-2.9%）

Q1 FY2022

Machine252
tools
Metal &plastics
industrialmachine

Injection204
Die Casting86＋368（＋25.2%）

1,826

1,458

1,458

Extrusion
1,167

Q1 FY2022

Q1 FY2023

9Q1 FY2023
Injection
145
Die Casting
111
1,826

Extrusion
1,568Operating Profit (By Segment),
Ordinary Profit, Net Profit(Unit: 100 million yen)

(Unit: 100 million yen)＋22（+521.7％）

Ordinary Profit

Net Profit

26+26（+294.6％）＋26（+132times）

4Others
Controlsystems

02

Metal &plastics
industrialmachine

27
Others0Controlsystems

05Machine
tools
(4)

Others-0(-8.2%)

Controlsystems+2(+376.8％)

Machinetools-334(－ %)Metal &plastics
industrialmachine△1Q1 FY2022

Machine
tools

△426

Metal &plastics
industrialmachine+2280(+439.6％)

Q1 FY2023

Q1 FY2022

10Q1 FY2023

Q1 FY2022 Q1 FY2023

(Metal & Plastics Industrial Machine)
Segment Results(Unit: 100 million yen)

(Injection molding machines, Die casting machines, Extrusion machines, etc.)

Increase/ Increase/
Q1 FY2023 Q1 FY2022 Decrease Decrease
AmountsRatio
Net sales
Operating profit

Profit ratio

27018227510.2%

2.8%+88+48.1%+22 +439.6%―+7.4pt

Performance Factor Analysis＋Positive Factors➢ Injection: Increase in medium to large electric machines amid the decarbonization
trend in North America➢ Extrusion: Significant increase in LiB separator film production lines for EV in China-Negative Factors➢ Difficulty and rising costs in the procurement of materials for semiconductors, etc.

11(Machine Tools) Segment Results(Unit: 100 million yen)

(Machine tools, high-precision machine tools, etc.)

Increase/ Increase/
Q1 FY2023 Q1 FY2022 Decrease Decrease
AmountsRatio
Net sales

46

59

- 13

- 21.3%Operating profit-4-1-3―- 8.8%- 2.9%―- 5.9pt

Profit ratio

Performance Factor Analysis＋Positive Factors➢ Precision: Increase in automotive camera lens molds-Negative Factors➢ Machine Tools: Decrease in industrial machinery in Japan➢ Precision: Decrease in smartphone lens molds in China➢ Difficulty and rising costs in the procurement of materials for semiconductors, etc.

12(Control Systems) Segment Results(Unit: 100 million yen)(Industrial robots, electronic control systems, etc.)

Increase/ Increase/
Q1 FY2023 Q1 FY2022 Decrease Decrease
AmountsRatio
Net sales
Operating profit

Profit ratio

3224+820+2 +376.8%

7.7%

2.2%

―+35.3%+5.5pt

Performance Factor Analysis＋

Positive Factors➢ Increase in systems engineering related to labor-saving and automation in Japan-Negative Factors➢ Decrease in Industrial robots in China➢ Difficulty and rising costs in the procurement of materials for semiconductors, etc.

13

Ordinary Profit Analysis(Unit: 100 million yen)

+26(+294.6%)

340-4

15・ Increase in logistics costs, etc.

248

Q1 FY2022
Ordinary Profit

ScaleexpansionGrossmarginSG&A

14

Currency
exchange

OthersQ1 FY2023
Ordinary Profit

Domestic and Overseas Sales(Unit: 100 million yen)

+85

➢

：

Japan

[Die Casting] [Extrusion] [Machine Tools]
Decrease

266-3

➢

181

83 80

：

China[Extrusion] Increase[Injection] [Precision] [Control] Decrease

Overseas ratio

68%[Injection] [Control] Increase➢SE Asia：

[Die Casting] Increase➢India：[Injection] Decrease

NorthAmerica / ：Mexico[Injection] Increase

77%

Q1 FY2022 Q1 FY2023 Q1 FY2022 Q1 FY2023➢

Overseas

Japan

Overseas Sales(By Region)

15583555413 17

23 2047 60
22Q1 FY2022 Q1 FY2023 Q1 FY2022 Q1 FY2023 Q1 FY2022 Q1 FY2023 Q1 FY2022 Q1 FY2023 Q1 FY2022 Q1 FY2023 Q1 FY2022 Q1 FY2023 Q1 FY2022 Q1 FY2023

China

TaiwanSouth Korea

SE Asia

15India, etc.

North AmericaEurope, etc.

Overseas Sales and Ratio (By Segment)(Unit: 100 million yen)Overseas Sales (By Segment)
（88%）
（80%）

Overseas Sales Ratio(Overseas ratio)

236

Q1 FY2022： 68％
Q1 FY2023： 77％

145（61%）（52%）

30（0%）（0%）

（23%）
（5%）

284

1

Q1 FY2022 Q1 FY2023

Q1 FY2022 Q1 FY2023

Q1 FY2022 Q1 FY2023

Metal & plastics
industrial
machineMachine Tools

Control Systems

00

Q1 FY2022

Q1 FY2023

Others

Metal & Plastics Industrial Machine (By Product)(Overseas ratio)（84%） （96%）

129（86%） （84%）

8373

Q1 FY2022

Q1 FY2023

InjectionInjectio

Extrusio（57%） （66%）

2023

Q1 FY2022

Q1 FY2023

Die Casting

1652
Q1 FY2022

Q1 FY2023

Extrusion

Balance Sheet(Unit: 100 million yen)

AssetsLiabilities

2,114

2,051

2,051

493

-15

508
Accounts
receivable229-33262

Inventry

Fixed assets

318

2,114
Trade debt

Cash, etc

802

Net assets

+127

929

404

365

+39140-26

114

487+12499

169+4173 Others

Loans
PayableContract
liabilities

Shareholder
equity807

817+10+16334

-32

129

83

107

Ended Jun. 2023

Ended Mar. 2023

Ended Jun. 2023

Others161

Ended Mar. 2023

OthersComprehensive IncomeEnded Mar. 2023 Ended Jun. 2023

Equity ratio
D/E ratio

43.5%
15.7%

1743.7%
12.4%

Forecast of Consolidated
Financial Results for the YearEnding March 31, 2024
1) Financial Results Forecast2) R&D Expenses, Capital Expenditures,
Depreciation Expenses
3) Dividend Forecast

18

FY2023 Financial Results Summary(Unit: 100 million yen)

*FY2023 summary of business results forecast has not been changed from it announced on May.15, 2023.

FY2022

Increase/

Cumulative

Decrease

(A)

(B)

(A-B)

1,800
1501,23157

FY2023
Forecast(Issued May. 15,2023)

Net sales
Operating profit

Profit ratio
Ordinary profit

Profit ratio
Net profit attributableto owners of parent

Profit ratio
Orders received
Exchange rate
(USD)

+569
+93

8.3%

4.7%+3.6pt

14552

+93

8.1%

4.3%+3.8pt

180

64

+116

10.0%

5.2%+4.8pt

1,830

1,916

126 円
19134 円- 86

R&D Expenses, Capital Expenditures,Depreciation Expenses(Unit: 100 million yen)

R&DExpenses

CapitalExpenditures

Depreciation
Expenses

New plant in India or other site forincreased production(excluding Sagami Logistic Center)

316432271918Q1 result

FY2021

FY2022

FY2023 Plan

21

Q1 result721

Q1 result58
FY202123

FY202220

FY2023 Plan

FY2021

FY2022

FY2023 PlanDividend Forecast
FY2023 summary of dividend forecast has not been changed from it announced on May.15, 2023.

Policy on Determination of Dividends
Our basic policy is to maintain stable dividends and to distribute profits in line with business performance whilestrengthening our management structure to improve profitability.
With regard to retained earnings, we will make strategic decisions on future business development for the purpose ofcontinuous corporate growth, and effectively invest in strengthening human capital, production facilities, technologicaldevelopment, overseas expansion, and other areas. We will also continue to return profits to shareholders in an
appropriate manner.
Dividend payout
ratio(Consolidated)

InterimYear-end

Full-year

FY ended
March 31, 2022

37.5 yen

37.5 yen

75.0 yen

48.6%

FY ended
March 31, 2023

37.5 yen

70.0 yen

107.5 yen

40.3%

FY endingMarch 31, 2024
(Forecast)

70.0 yen

70.0 yen

140.0 yen

* 18.8%* The net profit attributable to owners of parent for the fiscal year ending March 31, 2024 is expected to be 18.0 billion yen, which
includes approx. 8.0 billion yen (less deferred tax liabilities based on the advanced depreciation method) such as a gain on sale of a
portion of the south site of Sagami Plant to commercialize Sagami Logistic Center, which is scheduled to start operation in
September 2023.
Such gain on the sale will be used to acquire equity interest in the building being constructed on the land of the transferred asset
by the transferee as an equivalent exchange method is applied. Accordingly, we will distribute profits based on the net profit ofapprox. 10 billion yen after deducting the gain on sale.
In addition, we will also consider flexibly acquiring purchase of treasury shares as necessary, keeping in mind the total return ratio.

21

SHIBAURA MACHINE CO., LTD.
2-2, Uchisaiwaicho 2-Chome, Chiyoda-ku, Tokyo 100-8503, Japan
TEL +81-3-3509-0444 FAX +81-3-3509-0336 URL: https://www.shibaura-machine.co.jp/