Note: This document is a translation of a part of the original Japanese version and provided for reference purposes only. In the event of any discrepancy
between the Japanese original and this English translation, the Japanese original shall prevail.

Consolidated Financial Results
for the Six Months Ended September 30, 2023
[Japanese GAAP]
October 30, 2023
Company name: NAGAWA Co.,Ltd.
Stock exchange listing: Tokyo
Code number: 9663
URL: https://group.nagawa.co.jp/
Representative: Ryo Shimmura
President
Contact: Masayoshi Kunou
Senior Executive Officer
Phone: +81-3-5288-8666
Scheduled date of filing quarterly securities report: November 8, 2023
Scheduled date of commencing dividend payments: Availability of supplementary briefing material on quarterly financial results: Yes
Schedule of quarterly financial results briefing session: Yes(Amounts of less than one million yen are rounded down.)
1. Consolidated Financial Results for the Six Months Ended September 30, 2023 (April 1, 2023 to September 30, 2023)(1) Consolidated Operating Results(% indicates changes from the previous corresponding period.)
Profit attributable toNet sales
Operating profit
Ordinary profitowners of parent
Millions of yen% Millions of yen% Millions of yen% Millions of yen%
Six months ended
September 30, 2023
14,9443.7
1,792(12.2)
2,016(11.9)
1,313(18.1)
September 30, 2022
14,414
0.9
2,042
(1.6)
2,289
1.8
1,603
7.7
(Note) Comprehensive income:Six months ended September 30, 2023:¥
2,778 million [94.2%]
Six months ended September 30, 2022:¥
1,430 million [(14.6) %]Basic earnings
per share
Six months ended
September 30, 2023
September 30, 2022

Diluted earnings pershare
Yen

Yen

83.54
102.00-(2) Consolidated Financial Position
Total assets
Millions of yen
As ofSeptember 30, 2023
60,392
March 31, 2023
58,806(Reference) Equity: As of September 30, 2023:
As of March 31, 2023:

Net assets

Capital adequacy ratio

Millions of yen¥¥

55,31453,48055,314 million
53,480 million

%

91.6
90.9

2. Dividends
Annual dividends
1stquarter-end

2ndquarter-end

3rdquarter-end

Yen

Yen

Yen

Yen

Yen

Fiscal year ended March 31, 2023

-0.00

-60.0060.00

Fiscal year ending March 31, 2024

-0.00
-60.0060.00

Fiscal year ending March 31, 2024
(Forecast)(Note) Revision to the forecast for dividends announced most recently:
No(Note) Breakdown of the 2nd quarter dividend for the fiscal year ending March 31, 2024 :Commemorative dividend- yenSpecial dividend- yenYear-endTotal

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.)
Profit attributable to Basic earnings
Net sales
Operating profit
Ordinary profit
owners of parent
per share
Millions of yen% Millions of yen% Millions of yen

Full year
35,000
10.6
5,200
20.7
(Note) Revision to the financial results forecast announced most recently:

5,400
No

* Notes:(1) Changes in significant subsidiaries during the six months ended September 30, 2023
(changes in specified subsidiaries resulting in changes in scope of consolidation):
New(Company name:
Exclusion:(Company name:% Millions of yen

15.5

3,700

(3) 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

2) Number of treasury shares at the end of the period:
September 30, 2023:
636,507 shares
March 31, 2023:
633,507 shares
3) Average number of shares outstanding during the period:
Six months ended September 30, 2023:
Six months ended September 30, 2022:

15,721,907 shares
15,720,730 shares

Yen

235.31

No(2) Accounting policies adopted specially for the preparation of quarterly consolidated financial statements:(4) Total number of issued shares (common shares)
1) Total number of issued shares at the end of the period (including treasury shares):
September 30, 2023:
16,357,214 shares
March 31, 2023:
16,357,214 shares%18.2))
NoQuarterly Consolidated Financial Statements
Quarterly Consolidated Balance Sheets(Millions of yen)
As of March 31, 2023
AssetsCurrent assets
Cash and deposits
Notes receivable - trade
Electronically recorded monetary claims operating
Accounts receivable - trade
Contract assets
Merchandise and finished goods
Work in process
Raw materials and supplies
Other
Allowance for doubtful accounts
Total current assets
Non-current assets
Property, plant and equipment
Assets for rent, net
Buildings and structures, netLand
Construction in progress
Other, net
Total property, plant and equipment
Intangible assets
Investments and other assets
Investment securities
Leasehold and guarantee deposits
Retirement benefit asset
Deferred tax assets
OtherAllowance for doubtful accounts
Total investments and other assets
Total non-current assets
Total assets

As of September 30, 2023

10,8701,372

8,674
1,264

1,618

1,797

4,559
815
2,708
267
922
293
(1)
23,428

3,972
113
3,282
273
546
201
(1)
20,125

11,541
2,437
7,340
245
212
21,777244

12,723
3,058
7,505
162
251
23,701
222

12,193
683
12
137
329
13,35635,37858,806

15,291
732
28
290
(0)
16,34240,26660,392

(Millions of yen)
As of March 31, 2023
Liabilities
Current liabilities
Accounts payable - trade
Income taxes payable
Provision for bonuses
Provision for bonuses for directors (and otherofficers)
Asset retirement obligations
OtherTotal current liabilities
Non-current liabilities
Long-term accounts payable - other
Asset retirement obligations
Deferred tax liabilities
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-salesecurities
Foreign currency translation adjustment
Total accumulated other comprehensive income
Non-controlling interests
Total net assets
Total liabilities and net assets

As of September 30, 2023

2,777768
280

2,215
685
262

6938

1
1,347
5,246

2
1,277
4,480

24
52
2
80
5,326

24
45
523
2
596
5,077

2,855
8,855
42,996(1,820)52,8872,855
8,855
43,366(1,820)53,257

608

2,078

(15)
593
53,48058,806(20)
2,057
55,31460,392

Quarterly Consolidated Statements of Income and Comprehensive Income
Quarterly Consolidated Statements of Income (For the six months)(Millions of yen)
For the six months
ended September 30, 2022
Net sales
Cost of sales
Gross profit
Selling, general and administrative expenses
Operating profit
Non-operating income
Interest income
Dividend income
Rental income
Compensation income
Foreign exchange gains
Miscellaneous income
Total non-operating income
Non-operating expenses
Share-based remuneration expenses
Miscellaneous losses
Total non-operating expenses
Ordinary profit
Extraordinary income
Gain on sale of non-current assets
Gain on sale of investment securities
Total extraordinary income
Extraordinary losses
Loss on disposal of non-current assets
Loss on liquidation of subsidiaries
Loss on disaster
Total extraordinary losses
Profit before income taxesIncome taxes - current
Income taxes - deferred
Total income taxes
ProfitProfit attributable to owners of parent

For the six months
ended September 30, 2023

14,414
8,303
6,110
4,068
2,042

14,944
8,759
6,185
4,392
1,792

6
171
7
43
23
14
266

5
208
10
6
13
246

18
0
19
2,289

21
0
22
2,016

30
4

0
12
12

4
10
14
2,278
625
49
675
1,603
1,603

37
20
57
1,971
642
15
657
1,313
1,313

Quarterly Consolidated Statements of Comprehensive Income (For the six months)(Millions of yen)
For the six months
ended September 30, 2022
ProfitOther comprehensive income
Valuation difference on available-for-sale securities
Foreign currency translation adjustment
Total other comprehensive income
Comprehensive income
Comprehensive income attributable toComprehensive income attributable to owners ofparent
Comprehensive income attributable to non-controllinginterests

For the six months
ended September 30, 2023

1,603

1,313

(154)
(18)
(172)
1,430

1,470
(5)
1,464
2,778

1,430

2,778

--

Quarterly Consolidated Statements of Cash Flows(Millions of yen)
For the six months
ended September 30, 2022
Cash flows from operating activities
Profit before income taxes
Depreciation
Amortization of goodwill
Cost of sales of assets for rent
Increase (decrease) in allowance for doubtful accounts
Increase (decrease) in provision for bonuses for
directors (and other officers)
Increase (decrease) in provision for loss on liquidationof subsidiaries and associates
Share-based payment expenses
Interest and dividend income
Compensation income
Foreign exchange losses (gains)
Loss (gain) on disposal of non-current assets
Loss (gain) on sale of investment securities
Loss on liquidation of subsidiaries
Loss on disaster
Purchase of assets for rental
Decrease (increase) in trade receivables
Decrease (increase) in inventories
Increase (decrease) in trade payables
Other, net
Subtotal
Proceeds from insurance income
Interest and dividends received
Proceeds from compensation
Income taxes paid
Payments associated with disaster loss
Net cash provided by (used in) operating activities
Cash flows from investing activities
Purchase of own-used assets
Proceeds from sale of own-used assets
Purchase of investment securities
Proceeds from sale of investment securities
Other, net
Net cash provided by (used in) investing activities
Cash flows from financing activities
Purchase of treasury shares
Dividends paid
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

For the six months
ended September 30, 2023

2,278
1,484
511(0)

1,971
1,694
580(36)(31)(1)-37(178)
(43)
(23)
0(0)
10(2,441)
898(997)
(445)
(88)
471
2192
38(772)(68)

39(214)(6)
36(12)
20(2,704)
1,218
(203)
(562)
151
1,410
216(724)
(20)
881

(809)
5(1)
2(37)
(839)

(1,097)0(1,270)302(73)(2,140)(0)(1,021)(1,021)

(936)
(936)

2(1)

(1,927)
12,794
10,867(2,195)
10,8708,674