July 24, 2024

Summary Report of Consolidated Financial Results
for the second (interim) quarter ended June 30, 2024
Registered company name:

Canon Marketing Japan Inc.

Stock listing:Code number:Tokyo Stock Exchange, Prime Market8060

URL:

https://cweb.canon.jp/eng/ir

Representative director:

Masachika Adachi, President

Contact:

Akihiro Shirone, General Manager Accounting Div. Accounting Headquarters

Dividend payable date (as planned):
U.S. Accounting Standards Applied:

August 26, 2024
No

1.Consolidated business results for the six months ended June 30, 2024(From January 1, 2024 to June 30, 2024)(1) Consolidated Results of Operations(Amounts less than one million yen are truncated)(Percentage represents increases or decreases from the previous year)
Net income attributable
Operating income
Ordinary income
to owners of the parent

Net sales
Six months ended

26,990%(3.1)

Millions of yen

26,033%(3.9)

Millions of yen

318,903%
5.3

Millions of yen

June 30, 2024

20,147%
8.0

June 30, 2023

302,778

4.5

27,091(2.7)

27,857(2.0)

18,661(3.7)[Note] Comprehensive Income:Millions of yen

Six months ended June 30, 2024 : 20,483 million yen [1.6%]
Six months ended June 30, 2023 : 20,164 million yen [23.3%]
Basic earnings
per share

Diluted net income
per share

Yen

Yen

June 30, 2024

155.36155.32June 30, 2023

143.91143.87Six months ended(2) Consolidated Financial Position(Amounts less than one million yen are truncated)
Total assets

Second quarter ended June 30, 2024

Shareholders' equity
per share

Equity ratio

Millions of yen
575,841

Millions of yen
446,931

%
77.5

Yen
3,439.62

557,366

435,50978.0

3,352.30Year ended December 31, 2023
[Reference] Shareholders' equity:

EquitySecond quarter ended June 30, 2024 : 446,052 million yen
Year ended December 31, 2023 : 434,721 million yen

2.Dividends
First quarter-end

Second quarter-end

Third quarter-end

Yen

Yen

Yen

Year ended December 31, 2023

-50.00Year ending December 31, 2024

-60.00Year ending December 31, 2024
(forecast)Year-end

Annual
Yen

Yen-

70.00

120.00-60.00120.00[Note] Revision of cash dividend forecast for this period : Yes
3.Consolidated financial forecast for the fiscal year ending December 31, 2024

Net sales
Millions of yen

Full year

650,000(Amounts less than one million yen are truncated)(Percentage represents increases or decreases from the previous year)
Basic earnings
Net income attributable
Operating income
Ordinary income
to owners of the parent
per share% Millions of yen
6.6
54,000[Note] Revision of forecast for this period : Yes-1-% Millions of yen %2.9
55,000 2.6

Millions of yen%

Yen

37,5002.8

289.17

*Others(1) Material changes in subsidiaries during this period(Changes in scope of consolidations resulting from change is subsidiaries) :(2) Application of a specified accounting procedure :

None
Yes

(3) Changes in accounting policies and accounting estimates, retrospective restatement( i ) Changes in accounting policies based on revisions of accounting standard :None( ii ) Changes in accounting policies other than ( i ) :None( iii ) Changes in accounting estimates :None( iv ) Retrospective restatement :None(4) Number of issued and outstanding shares (common stock)( i ) Number of issued and outstanding shares at the end of the period (including treasury stock)
131,079,972
As of June 30, 2024 :As of December 31, 2023 :

131,079,972( ii ) Number of treasury stock at the end of the period
As of June 30, 2024 :1,399,232

As of December 31, 2023 :

1,401,615( iii ) Average number of shares
As of June 30, 2024 :

129,679,413

As of June 30, 2023 :

129,677,728* Audits by CPAs or audit corporations are not required for financial results.

Disclaimer :Earnings forecasts are based on information available at the time these materials were announced, and the Companycannot guarantee that they will be realized. Also, actual results may differ from the estimated figures given due tovarious factors.

-2-Consolidated Balance Sheets(Amounts less than one million yen are truncated)

AssetsCurrent assets
Cash and deposits
Notes, accounts receivable-trade and contract assets
Securities
Merchandise and finished goods
Work in process
Raw materials and supplies
Short-term loans receivable
Other current assets
Allowance for doubtful receivables
Total current assets
Non-current assets
Property, plant and equipment
Buildings and structures, netMachinery and vehicles, net
Furniture and fixtures, netRental assets, netLand
Lease assets, net
Construction in progress
Total property, plant and equipment
Intangible assets
Software
Goodwill
Customer-related intangible assets
Facility utilization rights
Other intangible assets
Total intangible assets
Investments and other assets
Investments in securities
Long-term loans receivable
Prepaid pension and severance costs
Deferred tax assets
Lease deposits
Other investments and other assets
Allowance for doubtful receivables[Note] Revision
cash dividend
forecast
for this period : Yes
Total ofinvestments
and otherassetsTotal non-current assets
Total assets-3-

As of December 31, 2023

As of June 30, 2024

88,190111,649
1,500
39,149196479
170,0057,482(42)418,611

115,317
105,479
1,500
35,487694
436
130,005
11,262(24)
400,158

47,714
60
3,029
5,585
28,3593271
85,024

46,951
62
4,425
6,018
28,3592
1,484
87,305

5,600
4,868
3,408
302
1
14,181

7,131
24,866
17,236300
149,535

16,314
10
10,987
5,916
2,559
3,962
(201)
39,548
138,755
557,366

16,3951012,471
2,791
2,934
4,440
(200)
38,841
175,683
575,841

Consolidated Balance Sheets(Amounts less than one million yen are truncated)

Liabilities
Current liabilities
Notes and accounts payable-trade
Short-term bank loans
Current portion of long-term loans
Current portion of long-term lease obligations
Accrued expenses
Accrued income taxes
Consumption taxes payable
Accrued bonuses
Accrued directors’ bonuses
Accrued product warranties
Accrued loss on contracts
Other current liabilities
Total current liabilities
Long-term liabilities
Long-term loans
Long-term lease obligations
Allowance for long-term continuous service rewards
Accrued pension and severance costs
Defferred tax liabilities
Other long-term liabilities
Total long-term liabilities
Total liabilities
EquityShareholders' equity
Common stock
Capital surplus
Retained earnings
Treasury stock
Total shareholders' equity
Accumulated other comprehensive income (loss)
Unrealized gain (loss) on available-for-sale securities
Deferred gain (loss) on derivatives under hedge accounting
Foreign currency-translation adjustments
Defined retirement benefit plans
Total accumulated other comprehensive income (loss)[Note]
Stock
Revisionacquisitionof cashrightsdividend forecast for this period : Yes
Non-controlling interests
Total equity
Total liabilities and equity-4-

As of December 31, 2023

As of June 30, 2024

45,552
99
16,585
8,233
6,712
3,222
107
269
51
29,755110,590

44,813
1,100
219
137
14,27911,185
5,999
4,230
38
257
62
33,048115,375

206
723
7,760
178
2,397
11,266
121,856

1,810
296
784
7,300
934
2,409
13,535
128,91073,30382,727
256,880(2,092)
410,81773,30382,733267,950(2,091)
421,895

6,860
87
345
16,61023,90358729
435,509557,366

6,643
106
557
16,84924,15768809
446,931575,841

Consolidated Statements of Income(Amounts less than one million yen are truncated)
Six months of FY2023(from January 1, 2023
to June 30, 2023)
Net sales
Cost of sales
Gross profit
Selling, general and administrative expenses
Operating income
Non-operating income
Interest income
Dividend income
Insurance income
Foreign exchange gains
Gain on investments in partnership
Other, net
Total non-operating income
Non-operating expenses
Interest expense
Investment partnership management expenses
Foreign exchange losses
Loss on investments in partnership
Other, net
Total non-operating expenses
Ordinary income
Extraordinary income
Gain on sales of long-lived assets
Gain on sales of shares of subsidiaries and associates
Gain on sales of investments in securities
Other, net
Total extraordinary income
Extraordinary losses
Loss on sales and disposal of long-lived assets
Loss on sales of shares of subsidiaries and associates
Other, net
Total extraordinary losses
Net income before income taxes
Income taxes
Net income
Net income attributable to non-controlling interests
Net income attributable to owners of the parent-5-

Six months of FY2024(from January 1, 2024
to June 30, 2024)

302,778
200,790
101,988
74,89727,091

318,903
215,476
103,426
77,392
26,033

177
149
450
128
906

203
165
449
152
37
148
1,157

540
32
61
140
27,857

10
86
104
200
26,990

1
55
56

1
2,902
9
2,912

376
159
3
538
27,375
8,663
18,71150
18,66196
0
96
29,806
9,609
20,19649
20,147

Consolidated Statements of Comprehensive Income(Amounts less than one million yen are truncated)
Six months of FY2023(from January 1, 2023
to June 30, 2023)
Net income
Other comprehensive income (loss)
Unrealized gain (loss) on available-for-sale securities
Deferred gain (loss) on delivatives under hedge accounting
Foreign currency-translation adjustments
Defined retirement benefit plans
Total other comprehensive income
Comprehensive income
Comprehensive income attributable toOwners of the parent
Non-controlling interests-6-

Six months of FY2024(from January 1, 2024
to June 30, 2024)

18,711

20,1961,549
119
111(326)
1,453
20,164(215)
19244
238
286
20,48320,09470

20,401
82

Consolidated Statements of Cash Flows(Amounts less than one million yen are truncated)
Six months of FY2023(from January 1, 2023
to June 30, 2023)
Cash flows from operating activities
Net income before income taxes
Depreciation and amortization
Amortization of goodwill
Amortization of customer-related intangible assets
Increase (decrease) in allowance for doubtful receivables
Increase (decrease) in accrued pension and severance costs
Decrease (increase) in prepaid pension and severance costs
Increase (decrease) in accrued bonuses
Interest and dividend income
Interest expense
Loss (gain) on sales and disposal of property, plant and equipment, net
Loss (gain) on sales of investments in securities
Loss (gain) on sales of shares of subsidiaries and associates
Loss (gain) on investments in partnership
Decrease (increase) in notes and accounts receivable
Decrease (increase) in inventories
Increase (decrease) in notes and accounts payable-trade
Other, net
SubtotalInterest and dividends received
Interest paid
Income taxes paid
Net cash provided by operating activities
Cash flows from investing activities
Payments for purchases of property, plant and equipment
Proceeds from sales of property, plant and equipment
Payments for purchases of intangible assets
Payments for purchases of investments in securities
Proceeds from sales of investments in securities
Payments for purchases of shares of subsidiaries
Proceeds from sales of shares of a subsidiary
Decrease (increase) in short-term loans receivable, net
Payments for acquisition of businesses
Other, net
Net cash provided by (used in) investing activities
Cash flows from financing activitiesRepayments of finance lease obligations
Repayments of long-term loans
Payments for purchases of treasury stock
Dividends paid
Dividends paid to non-controlling interests
Proceeds from share issuance to non-controlling shareholders
Other, net
Net cash used in financing activities
Effect of exchange rate changes 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-7-

Six months of FY2024(from January 1, 2024
to June 30, 2024)

27,375
4,795515(1,280)
(14)
287
(327)
5
59(55)
159
32
15,498(3,741)(2,961)(709)
39,180326(5)(7,449)32,05129,806
5,002
610
476
(19)
(2,467)
803
1,042
(369)
10
82
(2,902)
48
7,788
3,969
(1,219)(4,267)38,395372(9)(6,999)31,759(4,551)3(782)
(189)
109
(100)
2(750)(869)(7,128)(4,202)3(1,430)(420)(32,667)
3,257
40,000
(366)
4,173

(11)
(1)
(6,480)(22)(6,515)
183
18,591
84,632103,224

(1)
(36)
(4)
(9,075)(25)
50(9,137)
331
27,126
89,690116,817

Consolidated Segment Information
I. Six months of FY2023 (from January 1, 2023 to June 30, 2023)
Information on net sales and income (loss) by reportable segment(Amounts less than one million yen are truncated)

Reportable segment
Consumers

EnterpriseArea

66,264

101,426

110,826

Professional

Other

Total

Adjustments Consolidated

302,778-Net sales
Sales - external customers
Sales - intersegment
Total
Operating income (loss)

21,359

2,900

5,674

590

3,847

16,205(16,205)

116,501

21,9506,748

318,984(16,205)

302,778

2,860(1,006)27,192(101)

27,091

10

6,082

66,274

107,509

6,555

9,870

8,912

302,778-[Note]1. “Other” is a business segment that is not included in the reportable segments of the Company. The Other segment includes the shared service
business.
2. Adjustment of Operating income (loss) is the elimination of intersegment transactions.
3. Total segment income (loss) after adjustments for reportable and other business segments equals operating income in the consolidated statementof income.

II. Six months of FY2024 (from January 1, 2024 to June 30, 2024)
Information on net sales and income (loss) by reportable segment(Amounts less than one million yen are truncated)

Reportable segment
Other

Total

Adjustments Consolidated

Consumers

EnterpriseArea

64,095

112,866

111,249

24,2496,442

318,903

-

10

6,705

5,640

632

3,972

16,960(16,960)

64,105

119,571

116,889

24,882

10,414

335,863(16,960)

318,903

5,178

10,013

9,612

3,169

(1,863)

26,110(77)

26,033

Professional

Net sales
Sales - external customers
Sales - intersegment
Total
Operating income (loss)

318,903-[Note]
1. “Other” is a business segment that is not included in the reportable segments of the Company. The Other segment includes the shared servicebusiness.
2. Adjustment of Operating income (loss) is the elimination of intersegment transactions.
3. Total segment income (loss) after adjustments for reportable and other business segments equals operating income in the consolidated statementof income.

(Changes in Reporting Segments)
Starting from the interim consolidated accounting period of the current fiscal year, the Company transferred a part of the sales channelorganization in the "Area" segment, to the “Consumers” segment. The segment information of previous interim consolidation period hasbeen restated accordingly to reflect these changes.

-8-