Chiyoda Corporation (6366)
Consolidated Financial Results for Three Months ended June 30, 2024

Abridged Translation:
The report is not audited and this translation is an abridged version prepared based on the statutory format in Japan for ref erence
purpose only. If there is any discrepancy between this translation and the original Japanese version, the Japanese shall prevail.

Consolidated Financial Results
for the Three Months Ended June 30, 2024
August 9, 2024
Company name : CHIYODA CORPORATION
Listing: Tokyo Stock Exchange
Stock code
: 6366URL: http://www.chiyodacorp.com/en/
Representative: Koji Ota, Representative Director, President & CEO
Inquiries: Masataka Kinoshita, General Manager, Accounting Department TEL : +81-45-225-7777
Dividend payable date
:Supplementary Explanation Material : Yes
Financial Results Presentation: Yes(Millions of yen with fractional amounts discarded, unless otherwise noted)

1. Consolidated performance for three months ended June 30, 2024(April 1, 2024 to June 30, 2024)(1) Consolidated operating results(Percentages indicate year-on-year changes)

Net sales

Operating income

Millions of yen

For three months ended
June 30, 2024
For three months ended
June 30, 2023
Note: Comprehensive Income

Profit attributable toowners of parent

Ordinary income%

Millions of yen%

Millions of yen

117,019 (9.6)

6,413

25.8

5,484 (15.2)

4,016 (17.8)

129,392 70.8

5,099

35.3

6,464

4,884 123.0

three months ended June 30, 2024:
three months ended June 30, 2023:

Millions of yen

83.3

%

3,974 million yen / ((57.8)%)
9,415 million yen / (134.5%)

Fully diluted net
income per share

Net income per share
For three months ended
June 30, 2024
For three months ended
June 30, 2023

%

Yen

Yen

13.48

3.93

16.84

4.88

(2) Consolidated financial position
Total assets
As of June 30, 2024
As of March 31, 2024
Reference: Equity

Net assets

Equity ratio

Millions of yen

Millions of yen%

414,944426,967
as of June 30, 2024
as of March 31, 2024

10,058
6,077

2.1
1.1

: 8,648 million yen: 4,858 million yen

2. Cash dividends
Cash dividends per share
Record date

First quarter

Second quarter

Yen
Fiscal year ended
March 31, 2024－

Fiscal year ending
March 31, 2025－

Fiscal year ending
March 31, 2025 (Forecast)Third quarter

Yen

Fiscal year-end

Yen

－

－

－

－

－

Annual

Yen

Yen

0.00

0.00

－

Note: Revision to the latest forecast announcement 2024: None
Note: No forecast has been made about the year-end dividends for the fiscal year ending March 31, 2025 at this time.
Note: The table shows dividends status of common stock. For dividends status of class A shares (unlisted), please refer to‘Dividend Status of Class A Shares’ as referred to hereinafter.

Chiyoda Corporation (6366)
Consolidated Financial Results for Three Months ended June 30, 2024

3. Consolidated forecasts for the fiscal year ending March 31, 2025 (April 1, 2024 to March 31, 2025)(Percentages indicate year-on-year changes)

Net sales
Millions of yen

Operating income%

Millions of yen%

Profit attributable toowners of parent

Ordinary income
Millions of yen%

Millions of yen

Net income
per share%

Yen

Fiscal year ending
450,000 (11.1)
17,00020,00015,00049.79
March 31, 2025
Note: Revision to the latest forecast announcement 2024: Yes
Note: The current consolidated forecast does not include the impact of Zachry's withdrawal from the Golden Pass LNG
project or any new execution plans to be agreed with the client. We will promptly disclose any revisions to the forecast,
including profit and loss, in accordance with disclosure criteria as soon as is reasonably practicable following Zachry’s
withdrawal.

# Notes(1) Changes in Significant Subsidiaries during the Period (Changes in specified subsidiaries accompanying
changes in the scope of consolidation) : None
(2) Adoption of Specified Accounting Methods for the Preparation of Quarterly Consolidated Financial
Statements : None
(3) Changes in Accounting Policies and Accounting Estimates / Restatements
a. Changes in accounting policies due to revisions of accounting standards, etc.
b. Changes in accounting policies other than a. abovec. Changes in accounting estimates
d. Restatements(4) Number of issued shares (common stock)a. Total number of issued shares
As ofat the end of the period
June 30, 2024
(including treasury stock): None: None: None: None260,324,529
sharesYear ended
March 31, 2024

260,324,529
sharesb. Number of treasury stock at
the end of the period

As ofJune 30, 2024

1,237,364
SharesYear ended
March 31, 2024

1,251,898
Sharesc. Average number of shares
during the period

For three months
ended
June 30, 2024

259,077,476
sharesFor three months
ended
June 30, 2023

258,979,702
shares#This earnings release is not subject to audit procedures by certified public accountant nor audit corporation.

#(Proper use of earnings forecasts, and other special directions)
The forward-looking statements, including earnings forecasts, contained in these materials are based on information
currently available to the Company and on certain assumptions deemed to be reasonable. Actual business and otherresults may differ substantially due to a number of factors. Please refer to ‘(3) Consolidated Financial Forecasts of
the Fiscal Year in 1. Qualitative Information Related to Consolidated Performance’ for earnings forecasts conditions
and notes on the use of earnings forecasts.

Dividend Status of Class A SharesClass A Share
Cash dividends per share
Record date
First quarter
Second quarter
Third quarter
Fiscal year-end
Yen
Yen
Yen
Yen
Fiscal year ended
March 31, 2024－

Fiscal year ending
March 31, 2025－

Fiscal year ending
March 31, 2025 (Forecast)

－

－

－

－

Annual
Yen

0.00

－

0.00

－

Note: No forecast has been made about the year-end dividends for the fiscal year ending March 31, 2025 at this time.

Chiyoda Corporation (6366)
Consolidated Financial Results for Three Months ended June 30, 2024

Table of Contents for the appendices1.

2.

Qualitative Information Related to Consolidated Performance ................................................... 2(1)

Qualitative Information on Business Performance............................................................... 2(2)

Financial Information on Business Performance ................................................................. 6(3)

Consolidated Financial Forecasts of the Fiscal Year ........................................................... 6(4)

Important Events concerning Going Concern Assumption .................................................. 6

Consolidated Quarterly Financial Statements and Notes ........................................................... 7(1)

Consolidated Balance Sheets ............................................................................................. 7(2)

Consolidated Statement of Income and Comprehensive Income ........................................ 9(3)

Notes to Quarterly Consolidated Financial Statements ..................................................... 11(Basis of Quarterly Consolidated Financial Statements) .......................................................... 11(Notes to Segment Information) ............................................................................................... 11(Notes to Significant Changes in Shareholders’ Equity) ........................................................... 11(Notes to Going Concern Assumption)..................................................................................... 11(Notes to Quarterly Consolidated Statement of Cash Flow) ..................................................... 11(Additional Information) ............................................................................................................ 11(Subsequent Events after Reporting Period) ............................................................................ 12(Borrowing a Large Amount of Funds) ..................................................................................... 12
3.

Production, Contracts and Sales .............................................................................................. 13

1

Chiyoda Corporation (6366)
Consolidated Financial Results for Three Months ended June 30, 2024

1. Qualitative Information Related to Consolidated Performance(1) Qualitative Information on Business Performance
While the global economy continues to show signs of recovery, the risk of volatility due to geopolitical
destabilization remained in the first quarter of the fiscal year.
Under the circumstances and considering the business environment in which Chiyoda operates, the needfor decarbonization and the realization of a sustainable environment and a prosperous future for our planet
and its inhabitants in response to climate change continues, in tandem with the increasing demand for LNG
as a stable supply of energy.
Zachry Industrial, Inc. (Zachry), our Joint Venture (JV) partner on the Golden Pass LNG project (Project)*,
filed for Chapter 11 relief under the United States Bankruptcy Code on May 21, 2024. Court proceedings
for Zachry’s withdrawal from the Project continue and a final decision has yet to be made. Discussions with
the Golden Pass LNG Terminal LLC (client), and the other JV partner, CB&I LLC (CB&I), regarding shortterm and long-term project execution plans to complete the Project are also ongoing, in preparation for the
court’s decision regarding Zachry’s withdrawal.
On consolidated basis, for the first quarter of the fiscal year ending March 31, 2025, New Orders amounted
to JPY 24,172 million (down 29.8% YoY), Revenues amounted to JPY 117,019 million (down 9.6% YoY)
and the Order Backlog amounted to JPY 950,568 million (down 4.4% from last FY). Operating Profit is JPY
6,413 million (up 25.8% YoY) and Ordinary Profit is JPY 5,484 million (down 15.2% YoY). A recording ofIncome Taxes resulted in a Profit Attributable to the Owners of the Parent of JPY 4,016 million (down 17.8%
YoY).
*Golden Pass LNG project is the project Zachry, CB&I and CIC** jointly have executed EPC work for the LNG Plant(Total 15.6 MMTPA, 5.2 MMTPA x 3 Trains) with associated facilities from 2019. Construction is currently ongoing.
**CIC: Chiyoda International Corporation, a US-based wholly owned subsidiary of Chiyoda Corporation

Further information regarding reportable engineering business segments is presented below.
⚫ Energy
LNG / Gas
【Overseas】
The Group continues executing EPC projects for LNG plants in the USA, Indonesia and Qatar, where theNorth Field East (NFE) project, an expansion of four LNG trains with capacities of 8 mtpa each, is ongoing.
Regarding the Golden Pass LNG project, we have confirmed our commitment to work collaboratively withthe client and CB&I to complete construction and are actively engaged in constructive dialogue discussions
to achieve this aim.
In the gas sector, the Group continues the engineering design for renovation work of LNG/gas processing
plants in Qatar.
【Japan】
We are currently engaged in the EPC phase of projects to reinforce, modify and repair LNG terminals,
previously constructed by the Group.
Refinery/Petrochemical
In Japan, we are working on upgrading oil refinery facilities and examining measures for energy saving andcarbon neutrality for oil companies. The Group deploys operation and maintenance (O&M) business for
operation optimization, efficient facility maintenance and O&M digital transformation (DX) promotion by
combining our expertise of advance analysis technologies such as 3D fluid analysis, dynamic simulation,
structure analysis and earthquake resistance technology, and the latest digital technology for oil refineries
and petrochemical compounds.
The Chiyoda Group, Microwave Chemical Co., Ltd, and Mitsui Chemicals, Inc. are engaged in a joint2

Chiyoda Corporation (6366)
Consolidated Financial Results for Three Months ended June 30, 2024

development project for innovative naphtha cracking technology using microwave heating, decreasing CO2
emissions from pyrolysis of naphtha. The project has been adopted by the New Energy and Industrial
Technology Development Organization (NEDO) under a Program for ‘Promotion of Research &Development and Social Implementation of Energy-saving Technologies towards Realization of a
Decarbonized Society: Priority Issues Promotion Scheme’. The technology will significantly reduce CO 2
emissions from the thermal decomposition of naphtha, a major challenge in the chemical industry.
⚫ Environment
Pharmaceutical/Biochemistry/General Chemistry
Chiyoda is executing the EPC phase for pharmaceutical product manufacturing plants, including a new
biopharmaceutical API manufacturing plant for AGC Corporation.
Following selection by NEDO after an open call for proposals, we are collaborating with industry andacademia on a ‘Technology Development for Large-scale Production of Highly Modified RecombinantProteins in Plants’ research and development project.
In the general chemistry field, we are engaged in an EPC project, awarded by Kureha Corporation, toincrease the capacity of their monomer process for producing polyvinylidene fluoride (PVDF).
Environment/New Energy/Infrastructure/Advanced Materials【Environment】
We are installing flue gas desulfurization (FGD) equipment in coal-fired power plants in India in response totightening environmental regulations. The Group’s thoroughbred 121 (CT-121) FGD process has been
installed in a number of plants.
【New Energy】
We are reinforcing the utilization of stored energy for efficient use of renewable energy, while working on aterritorially distributed energy procurement system. Miscellaneous activities, including support for fixedoffshore power plants in Japan and feasibility studies for floating power plants, are ongoing.
【Infrastructure】
The Group is in the final phase of construction for an EPC contract for a copper smelting plant in Indonesia,
the world’s largest single manufacturing line plant.
【Advanced Materials】
In Japan, the Group is executing an inorganic battery material demonstration plant project to increase safety,
extend cruising distances and shorten recharge durations of next-generation batteries. We are also
executing restoration work for plants damaged by the 2024 Noto Peninsula Earthquake.
(Note)
Please refer to 3. ‘Production, Contracts and Sales’ for further details of New Contracts, Net Sales andContract Backlog, by segment.
<<Decarbonization Business >>The Group’s hydrogen business (hydrogen/ammonia), Carbon Capture and Storage (CCS)/ Carbon Captureand Utilization (CCU) business and energy management business are presented below.
Hydrogen/Ammonia
In the hydrogen field, the Group is participating in projects in Japan and in foreign countries to constructhydrogen supply chains using our unique SPERA HydrogenTM technology.
In Singapore, conceptual design is ongoing with Mitsubishi Corporation and Sembcorp Industries, a leading
integrated utilities company and government-affiliated conglomerate, to realize a commercial scale cleanhydrogen supply chain in the city-state. The three participants have established a goal to commencecommercial hydrogen supply in the latter half of the 2020s.
Chiyoda is a managing board member of the Japan Hydrogen Association and is engaged in creating social
implementation projects in Japan while providing government policy support. In April 2023, the Group
concluded a Memorandum of Understanding (MOU) with Chubu Electric Power Company and Hazer Group3

Chiyoda Corporation (6366)
Consolidated Financial Results for Three Months ended June 30, 2024

Limited, an Australian technology development company, to produce hydrogen using the HAZER®Process.
Detailed discussions regarding plans to develop carbon-free hydrogen and carbon-graphite production
facilities in the Chubu region are ongoing.
Chiyoda signed a basic cooperation agreement with Toyota Motor Corporation in February 2024 to jointly
develop a large-scale electrolysis system and construct a strategic partnership. Both signatories will develop
20 MW-class equipment as the basic unit for the introduction of the system at Hydrogen Park in the Toyota
Honsha Plant in FY2025.
The Group is also conducting studies on ammonia receiving and hydrogen fuel supply facilities in Japan.
CCS/CCU
The Group signed an MOU with Pace CCS Limited, a global leader in the field of CO 2 capturing technology
and CCS system design, to collaborate in the field of CCS, and we will deliver CCS projects from initial
feasibility studies and conceptual design through FEED and EPC.
Carbon dioxide separation and recovery technology development for large-scale natural gas fired power
plant turbines using domestic solid sorbent material is ongoing, under a NEDO Green Innovation Fund
Program.
In Southeast Asia, the Group entered into a joint study agreement in March 2023 with PT Pertamina(Persero), a state-owned oil company in Indonesia, to develop carbon recycling technology. The Group is
conducting research for efficient transition to carbon neutrality in this area.
In 2023, Chiyoda, Nippon Yusen Kabushiki Kaisha and its affiliate Knutsen NYK Carbon Carriers AS,
conducted a joint study to quantitatively evaluate and verify the feasibility of a CCUS value chain, includingliquefaction and temporary storage and marine transportation of carbon dioxide covering Low Pressure (LP),Middle Pressure (MP) and Elevated Pressure (EP) CCUS value chain methodologies. We will continue thejoint study to propose EP methods to customers.
Chiyoda signed a comprehensive license agreement with Mitsubishi Heavy Industries, Ltd. for their CO 2
capture technologies, developed with The Kansai Electric Power Co., Inc., named the ‘KM CDR Process™’and the ‘Advanced KM CDR Process™,‘ promoting strategic business cooperation.
In the CCU field, the Group is realizing carbon recycling as part of a collaboration project with industry,
government and academia, researching and developing CO2 capture and utilization technology using CO2
as a raw material to produce para-xylene.
In the first quarter of the fiscal year, we completed construction of a 1 Barrel per Day (1B/D) synthetic fuelproduction test plant project for ENEOS Corporation (ENEOS). We are also executing a 400Nm3-CO2/h
methanation test plant project for INPEX CORPORATION.
Energy Management
The Group is executing a twenty (20) year maintenance contract for the world’s largest Battery Energy
Storage System (BESS) for North Hokkaido Wind Energy Transmission Corporation, completed in March2023 by the Group. New BESS projects for ENEOS CORPORATION are also progressing.
We are currently in the construction phase of an EPC contract for a large-scale BESS project for Nijio Co.,
Ltd., a wholly owned subsidiary of Tokyo Gas Co., Ltd. BESS is required in Japan to address electrical
power output fluctuations destabilizing the supply and demand balance and expand the use of renewableenergy towards the realization of a decarbonized society. Chiyoda’s ‘Safety in Design’ expertise andoptimization experience in previously constructing BESS and our project management capabilities were key
factors for the award of the contract.
The Group is reinforcing its domestic virtual power plant (VPP) business in collaboration with a start-up
company.
<<Digital Transformation (DX) Business>>
Chiyoda is accelerating company-wide digital transformation (DX) in three areas: Corporate DX, Project DX
and Human Resources DX, supporting our purpose of ‘Enriching Society through Engineering Value’ andenabling employees to work more efficiently through common information sharing digital platforms. As partof our business portfolio transformation, we combine digital and physical technologies to provide hybrid
operation and maintenance (O&M) solutions through our O&M-X businesses.
(a)Project Execution DX
The Group utilizes Advanced Work Packaging (AWP) to align engineering and procurement deliverables
with construction schedules to improve construction efficiency, increase productivity and reduce costs. We

4Chiyoda Corporation (6366)
Consolidated Financial Results for Three Months ended June 30, 2024

have commenced Chiyoda AWP on overseas projects to enhance our EPC execution management
capabilities and improve project outcomes. An innovative space design system that improves construction
planning and preliminary and detailed engineering efficiency has been developed by PlantStream Inc, a joint
venture with Arent Inc, and has been introduced to plant owners and EPC contractors worldwide.
(b)
Corporate Management DX
Chiyoda is accelerating Corporate DX, linking core accounting activities to accelerate the dissemination of
information to management while simplifying structures and reducing costs, aiming to be fully digital inplanning and managing human resources for more efficient resource allocation. We initiated a resource
management system to coordinate resource management with order management to facilitate the rapid
examination of business plan scenarios, and commenced a talent management system, sharing employee
career aspirations and progress with supervisors and Human Resource Officers. We use this digital
infrastructure to support employees progress and gain experience, while clarifying their career plans,
enabling us to foster key talent that is essential for our business.
Corporate-wide initiatives to improve work style include the introduction of Robotic Process Automation(RPA), AI services and community sites to share information and initiate constructive discussion.
(c)
DX Business
The Group has reorganized its plant O&M solution and digital transformation business organizational
functions, deploying solution businesses to support the transformation of client operation and maintenanceactivities. By combining Chiyoda X-ONE Engineering Corporation with our inherent digital technologies,
such as advanced diagnosis and analysis, IoT and AI, we provide O&M total solution services throughplantOS®, a field-centered physical maintenance support service for industrial plants.
We have signed a MOU’s with Japan Business Systems, Inc. to collaborate in the development and provisionof cloud services to optimize the O&M of industrial facilities, and NSXe Co.LTD. to develop a rotating
equipment diagnosis business. We have joined The Digital Twin Consortium, an organization of leadinginternational digital twin technology companies, universities, governments and research institutes, to utilize
the plantOS® digital twin solution in plant O&M and have signed an MOU with Visionaize Inc to utilize their
V-Suite® digital twin platform.
We have also established a capital and business alliance with SENSYN ROBOTICS, Inc. to engineer
solutions based on their technologies and expertise in the infrastructure maintenance field, and collect data
in real time using robots, drones, AR/VR technologies etc for integration into Chiyoda’s 3D digital twin
platform.
Chiyoda has entered into a business alliance with Kobata Gauge MFG. Co., Ltd.,(Kobata Gauge) a specialist
gauge manufacturer, to utilize their Salfa® IoT sensor as a partner product for Chiyoda's plantOS™.
Introducing Kobata Gauge's Salfa® into Chiyoda's plantOS™ will overcome the challenges of remotely
monitoring analog gauges and use AI to realize smarter maintenance, linking with Chiyoda's digital twin topromptly visualize plant conditions.
The Group has been awarded a Technical Service Agreement by PT. Donggi-Senoro LNG (DSLNG) as partof plantOS®, covering engineering, technology and process safety support for their LNG plant, and we will
use our consulting and engineering capabilities to provide optimal solutions for its safe and stable operation.

5

Chiyoda Corporation (6366)
Consolidated Financial Results for Three Months ended June 30, 2024

(2) Financial Information on Business Performance(Assets)
Total Assets decreased by JPY 12,022 million from the end of the last fiscal year, with a decrease of
Jointly Controlled Assets of Joint Venture of JPY 11,654 million, Notes Receivable, Accounts Receivablefrom Completed Construction Contracts and Contract Assets by JPY 10,230 million. Cash and Deposits
increased by JPY 5,939 million.
(Liabilities)
Total Liabilities decreased by JPY 16,003 million from the end of the last fiscal year, with a decrease ofNotes Payable, Accounts Payable for Construction Contracts of JPY 9,081 million, Contract Liabilitiesof JPY 6,319 million and Provision for Loss on Construction Contracts of JPY 1,342 million,.
(Net Assets)
Total Net Assets is JPY 10,058 million, with an increase in Retained Earnings by increasing a Profit
Attribute to Owners of Parent. Accumulated Other Comprehensive Income decreased with a decreaseof Foreign Currency Translation Adjustment.

(3) Consolidated Financial Forecasts of the Fiscal YearThe current full-year forecast does not include the impact of Zachry's withdrawal from the Golden Pass
LNG project or any new execution plans to be agreed with the client.
We will promptly disclose any revisions to the forecast, including profit and loss, in accordance withdisclosure criteria as soon as is reasonably practicable following Zachry’s withdrawal.

(4) Important Events concerning Going Concern Assumption
Zachry, a joint venture (JV) partner of Chiyoda International Corporation (CIC), a wholly owned
subsidiary of Chiyoda to execute the Golden Pass LNG project in Texas, U.S. (the “Project”), filed for
Chapter 11 relief under the United States Bankruptcy Code on May 21, 2024 in the U.S time.
Considering the potential impacts related to the possibility of Zachry’s withdrawal from the Project,based on the generally accepted accounting principles, we recorded Operating Loss and Loss
Attributable to the Owners of the Parent on a consolidated basis for the fiscal year ended March 31,
2024.
Although we have recorded Operating Profit and Profit Attributable to the Owners of the Parent for the
first quarter of the fiscal year ending March 31, 2025, discussions with the client, Golden Pass LNG
Terminal LLC (“GPX”), toward amendment of the EPC contract have been ongoing. We recognize thatthese conditions still indicate the existence of events or conditions, which may cast significant doubt on
our ability to continue as a going concern.
As described in (Subsequent Events after Reporting Period) of “(3) Notes to Quarterly Consolidated
Financial Statements” of “2. Consolidated Quarterly Financial Statements and Notes,” the court
provisionally approved the Agreement concerning Zachry's withdrawal from the Project. With thisapproval, GPX placed an official order to continue business operations regarding a short-term plan.
CB&I LLC (“CB&I”), the other partner of the Project, and CIC will accelerate the discussion with GPX
regarding the long-term execution plan toward the completion of the Project for agreement at an earlydate, and we will review the profitability upon agreement.
In terms of finance, considering that we have sufficient funds as of June 30, 2024, there is not asignificant impact on our future cash flow, and there are no major concerns regarding the continuity ofour business activities. As described in (Borrowing a Large Amount of Funds) of “(3) Notes to
Quarterly Consolidated Financial Statements” of “2. Consolidated Quarterly Financial Statements andNotes,” on July 24, 2024, we resolved to enter into the Subordinated Loan Agreement with MUFG
Bank, Ltd., which is refinance of existing loan with the bank at the maturity date, and began borrowings
on July 31, 2024.
Based on the above, we have concluded that no material uncertainty exists regarding the going
concern.

6

Chiyoda Corporation (6366)
Consolidated Financial Results for Three Months ended June 30, 20242.

Consolidated Quarterly Financial Statements and Notes(1) Consolidated Balance Sheets(Millions of yen)
As of March 31, 2024
AssetsCurrent assets
Cash and deposits
Notes receivable, accounts receivablefrom completed construction
contracts, and contract assets
Costs on construction contracts inprogress
Jointly controlled assets of joint
ventureShort-term loans receivable
Other
Allowance for doubtful accounts
Total current assets
Non-current assets
Property, plant and equipment
Buildings and structures, net
Land
Other, net
Total property, plant andequipment
Intangible assets
Investments and other assets
Investment securities
Retirement benefit asset
Deferred tax assets
Other
Allowance for doubtful accounts
Total investments and other assets
Total non-current assets
Total assets

7

As of June 30, 2024

102,072

108,01227,58817,35818,874

16,671147,017

135,362

66,20044,628(2,021)
404,359

70,00047,191(1,973)392,622

4,252
4,552
2,080

4,117
4,513
2,028

10,886

10,659

5,493

5,328

4,272
483
94
1,396
(18)
6,228
22,608426,967

4,386
390
108
1,467
(18)
6,334
22,321
414,944Chiyoda Corporation (6366)
Consolidated Financial Results for Three Months ended June 30, 2024

(Millions of yen)
As of March 31, 2024
Liabilities
Current liabilities
Notes payable, accounts payable forconstruction contracts
Current portion of long-termborrowings
Income taxes payable
Contract liabilities
Provision for warranties for completed
construction
Provision for loss on construction
contracts
Provision for bonuses
Other
Total current liabilities
Non-current liabilities
Long-term borrowings
Deferred tax liabilities
Retirement benefit liability
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
incomeValuation difference on available-forsale securities
Deferred gains or losses on hedges
Foreign currency translation
adjustment
Remeasurements of defined benefit
plans
Total accumulated othercomprehensive income
Non-controlling interests
Total net assets
Total liabilities and net assets

8

As of June 30, 2024

133,775

124,694

20,00020,000987
188,701

618
182,382

1,601

2,431

36,50835,166

3,715
26,865412,156

1,768
28,245395,308

3,600
1,471
727
2,933
8,732
420,889

3,600
2,446
704
2,825
9,577
404,886

15,014142(1,962)(805)
12,38915,014
142
2,054
(799)
16,412

(18)

(25)

4,176

6,273

(11,851)(13,854)

163

(156)

(7,530)(7,763)

1,218
6,077
426,967

1,410
10,058414,944Chiyoda Corporation (6366)
Consolidated Financial Results for Three Months ended June 30, 2024

(2) Consolidated Statement of Income and Comprehensive Income(Consolidated Statement of Income)(Millions of yen)Three months ended
June 30, 2023

Net sales of completed construction
contracts
Cost of sales of completed construction
contracts
Gross profit on completed construction
contracts
Selling, general and administrative
expenses
Operating profit
Non-operating income
Interest income
Dividend income
Share of profit of entities accounted forusing equity method
Other
Total non-operating income
Non-operating expenses
Interest expenses
Share of loss of entities accounted forusing equity method
Foreign exchange losses
Other
Total non-operating expenses
Ordinary profit
Extraordinary income
Gain on termination of retirement benefit
plan
Gain on liquidation of subsidiaries andassociates
Total extraordinary income
Profit before income taxes
Income taxes - current
Income taxes - deferred
Total income taxes
ProfitProfit attributable to non-controllinginterests
Profit attributable to owners of parent

9

Three months ended
June 30, 2024

129,392

117,019

120,963

106,196

8,428

10,822

3,329

4,409

5,099

6,413

2,127
756

2,793
2

－

0

49
2,933

60
2,857

173

166

61

－

1,300
33
1,568
6,464

3,588
31
3,786
5,484

－

207

45

－

45
6,510
1,538
49
1,587
4,922

207
5,691
1,494
65
1,559
4,132

37

115

4,884

4,016

Chiyoda Corporation (6366)
Consolidated Financial Results for Three Months ended June 30, 2024

(Consolidated Statement of Comprehensive
Income)(Millions of yen)Three months ended
June 30, 2023

ProfitOther comprehensive income
Valuation difference on available-for-salesecurities
Deferred gains or losses on hedges
Foreign currency translation adjustment
Remeasurements of defined benefit
plans, net of tax
Share of other comprehensive income ofentities accounted for using equity
methodTotal other comprehensive income
Comprehensive income
Comprehensive income attributable toComprehensive income attributable toowners of parent
Comprehensive income attributable tonon-controlling interests

10

Three months ended
June 30, 2024

4,922

4,132

(15)

(7)

4,855
(332)

2,096
(1,936)

(16)

(319)

1

9

4,493
9,415

(157)
3,974

9,367

3,783

48

191

Chiyoda Corporation (6366)
Consolidated Financial Results for Three Months ended June 30, 2024

(3) Notes to Quarterly Consolidated Financial Statements(Basis of Quarterly Consolidated Financial Statements)
We prepare the quarterly consolidated financial statements in accordance with the Article 4-1 of theTokyo Stock Exchange’s standard for preparation of quarterly financial statements and the accounting
standards for quarterly financial statements generally recognized as fair and reasonable in Japan, omitting
certain disclosures under the Article 4-2 of the Tokyo Stock Exchange’s standard for preparation of quarterly
financial statements.
(Notes to Segment Information)
I.

For three months ended June 30, 2023
We omit the description. The Group's reportable business segment consists only of the ‘Engineering,’and ‘Other business’ has limited importance.

II.

For three months ended June 30, 2024
We omit the description. The Group's reportable business segment consists only of the ‘Engineering,’and ‘Other business’ has limited importance.

(Notes to Significant Changes in Shareholders’ Equity)
None(Notes to Going Concern Assumption)
None(Notes to Quarterly Consolidated Statement of Cash Flow)
There is no quarterly consolidated statement of cash flow available for three months ended June 30, 2024.
The depreciation (including amortization of intangible assets other than goodwill) and amortization of goodwill
are as follows.

Depreciation
Amortization of goodwill

Three months ended
June 30, 2023

Three months ended
June 30, 2024

Millions of yen

Millions of yen

768

905

8

8

(Additional Information)[Estimation on the Golden Pass LNG project]
Zachry filed for Chapter 11 relief under the United States Bankruptcy Code in May, 2024 and the court
proceedings for Zachry’s withdrawal from the project continue. In June, the project client, CB&I and CIC filed
motions for requesting Zachry’s withdrawal from the project and for lifting the Automatic Stay to resumeconstruction work of Train 1.
For the first quarter of the fiscal year, considering Zachry’s withdrawal from the project, we estimated the total
costs to be incurred to complete construction and the contract amount based on the signed documents as ofJune 30, 2024, based on the generally accepted accounting principles.
As described in the below (Subsequent Events after Reporting Period), after the court provisional approval of
the Agreement concerning Zachry's withdrawal from the project, Zachry's withdrawal will be officiallyconfirmed after final court approval, which is expected in August.
CB&I and CIC have been in discussion with the client regarding the two companies long-term execution plan
toward the completion of the project, with the goal of revising the EPC contract at an early date, and we will
review the profitability upon its revision.

11

Chiyoda Corporation (6366)
Consolidated Financial Results for Three Months ended June 30, 2024

(Subsequent Events after Reporting Period)[Estimation on the Golden Pass LNG project]
Zachry Industrial, Inc. (“Zachry”), a joint venture of Chiyoda International Corporation (“CIC”) and Zachry
engaged in the Golden Pass LNG Project (“Project”) in Texas, filed a Chapter 11 (“Chapter 11 ”) petition of theUnited States Bankruptcy Code. On July 19 (U.S. time), Zachry filed a petition with the court seeking approvalof the execution of an agreement through an Interim Order (the “Agreement”) by Zachry, Golden Pass LNG
Terminal LLC (“GPX”), a client of the Project, CB&I, LLC (“CB&I”), and CIC, a joint venture partner of Zachry,concerning Zachry's withdrawal from the Project. CB & I and CIC have agreed to the Agreement and the court
has provisionally approved the Agreement.
With this Interim Order, a short-term plan to resume Zachry’s portion of the construction work was agreed
between CIC, GPX and CB&I on August 7, 2024 and GPX placed an official order to continue business
operations.
(Borrowing a Large Amount of Funds)
On July 24, 2024, Chiyoda resolved to enter into the Subordinated Loan Agreement between Chiyoda and
MUFG Bank, Ltd., which is refinance of existing loan with the bank at the maturity date.
Lender

MUFG Bank, Ltd.

Amount of Borrowing

20 billion yen

Interest Rate on Borrowing

Floating rate (Applicable interest rate + Spread)

Borrowing Due Date

By July 31, 2027

Collateral

Not Applicable12Chiyoda Corporation (6366)
Consolidated Financial Results for Three Months ended June 30, 2024

3.

Production, Contracts and Sales(Millions of yen)
Apr. 1, 2023－Jun. 30, 2023
Segments

1. Engineering(1) LNG Plant
Energy(2) Gas Related Work
(3) Refinery/
Petrochemical(4) Pharmaceutical/
Biochemistry/
ChemicalGlobal(5) Environment/New
Environment
Energy/Infrastructure(6) Others
2. Other Business
Total
Domestic
Overseas
Note:

Apr. 1, 2024－Jun. 30, 2024

New
Contracts,
ratio

Net Sales,
ratio

Backlog ofContracts,
ratio

New
Contracts,
ratio

Net Sales,
ratio

Backlog ofContracts,
ratio

34,320
99.6%
1,107
3.2%
863
2.5%
7,109
20.6%
3,603
10.5%

129,264
99.9%
71,518
55.3%
287
0.2%
6,496
5.0%
7,590
5.9%

1,128,585
100.0%
795,173
70.5%
5,743
0.5%
26,3682.3%
36,062
3.2%

24,018
99.4%
671
2.8%
1,326
5.5%
3,739
15.5%
3,233
13.4%

116,865
99.9%
66,529
56.9%
766
0.7%
4,143
3.5%
3,757
3.2%

950,568
100.0%
679,736
71.5%
4,721
0.5%
31,9593.4%
97,234
10.2%

20,664
60.0%
972
2.8%
128
0.4%
34,448100.0%
29,721
86.3%
4,726
13.7%

42,347
32.7%
1,024
0.8%
128
0.1%
129,392
100.0%
16,367
12.6%
113,02587.4%

261,674
23.2%
3,562
0.3%

14,135
58.4%
912
3.8%
153
0.6%
24,172100.0%
11,25946.6%
12,913
53.4%

40,293
34.4%
1,374
1.2%
153
0.1%
117,019100.0%
14,594
12.5%
102,424
87.5%

131,764
13.9%
5,153
0.5%

－
－
1,128,585
100.0%
102,9129.1%
1,025,673
90.9%

－
－
950,568
100.0%
160,67616.9%
789,892
83.1%

The backlog of contracts includes an increase / decrease due to changes in construction contracts acquired
in prior fiscal years, and an increase / decrease due to foreign exchange translation adjustments.

13