Non-consolidated Financial Results for the Second Quarter of 2021
(Six Months Ended June 30, 2021)[Japanese GAAP]
August 13, 2021

Company name:
Stock code:
Representative:
Contact:

Nomura System Corporation Co., Ltd.
Listing: Tokyo Stock Exchange(the first section)
3940
URL: https://www.nomura-system.co.jp
Yoshimitsu Nomura, President
Yasuo Nemoto, Director, General Manager of Administrative.
Tel: +81-3-6277-0133
August 13, 2021
Scheduled date of filing of Quarterly Report:
Scheduled date of dividend payment:
Preparation of supplementary materials for quarterly financial results: Yes
Holding of quarterly financial results meeting:Yes (for institutional investors and analysts)(All amounts are rounded off to the nearest million yen)

1. Financial Results for the Second Quarter (January 1 to June 30, 2021) of 2021
(1) Results of operations(Percentages represent year-on-year changes)
Net sales

Operating income

Millions of yen

Six months ended Jun. 30, 2021
Six months ended Jun. 30, 2020

1,301
1,319

% Millions of yen

194
221

△1.4
7.4

Ordinary income% Millions of yen

202230△12.5
27.6

Net income per share

Diluted net income per shareYenYen

Profit% Millions of yen%

141
159

△11.2
27.4

△12.0
26.5

Six months ended Jun. 30, 2021
6.13
6.07
Six months ended Jun. 30, 2020
6.93
6.85
Notes: 1. Nomura System conducted a 2-for-1 common stock split on July 1, 2020. Net income per share and diluted net income
per share have calculated as if these stock splits had taken place at the beginning of 2020.

(2) Financial position
Total assets

Net assets

Millions of yen

As of June. 30, 2021
As of December. 31, 2020
Reference: Shareholders’ equity (millions of yen)

2,7462,683
As of Jun. 30, 2021:

2. Dividends
1Q-end

2,483

Yen

Yen

Year ended Dec. 31, 2020
0.00
Year ending Dec. 31, 2021
0.00
Year ending Dec. 31, 2021 (Forecast)
Notes: 1. Revisions to the most recently announced dividend forecast: None

3. Forecast for 2021 (January 1 to December 31, 2021)
Net sales
Millions of yen%

Operating income

Ordinary income

Millions ofyen

Millions ofyen%%%

2,483
90.4
2,396
89.3
As of Dec. 31, 2020: 2,395

Dividend per share
3Q-end2Q-endYen

Shareholders’ equity ratio

Millions of yenYear-end
Yen

Total
Yen-

5.00

5.00

-

5.50

5.50

(Percentages represent year-on-year changes)
Net income perProfit
shareMillions of yen%

Yen

Full year
2,700
6.3
371
371
253
10.99
△0.6
△5.0
△6.1
Notes: 1. Revisions to the most recently announced forecast: None
At the board of directors meeting held on May 14, 2021, the Company resolved to dispose of treasury stock as transferrestricted stock-based compensation. The impact of the disposal of the treasury stock is taken into consideration in theearnings per share forecast.

* Notes(1) Application of special accounting methods for presenting quarterly financial statements: None
(2) Changes in accounting policies and accounting estimates, and restatements
1) Changes in accounting policies due to revisions in accounting standards, others: None
2) Changes in accounting policies other than 1) above: None
3) Changes in accounting estimates: None
4) Restatements: None

(3) Number of shares outstanding (common stock)1) Number of shares outstanding at the end of the period (including treasury shares)

As of Jun. 30, 2021:

23,124,000 shares

As of Dec. 31, 2020:23,109,600 shares

As of Dec. 31, 2020:

100,742 share2) Number of treasury shares at the end of the period

As of Jun. 30, 2021:

9,742 shares

3) Average number of shares outstanding during the period
Six months ended Jun. 30, 2021:

23,014,798 shares

Six months ended Jun. 30, 2020:

22,911,235 share

Notes: Nomura System conducted a 2-for-1 common stock split on July 1, 2020. Net income per share and diluted net income
per share have calculated as if these stock splits had taken place at the beginning of 2020.
* The current quarterly financial report is not subject to quarterly review procedures.
* Cautionary statement with respect to forward-looking statements, and other special items
Forecasts of future performance in this document are based on assumption judged to be valid and information currently
available to the management, but are not promises by Nomura System regarding future performance. Actual results may differ
materially from the forecasts for a number of reasons.
* Disclosure of the information meeting materials
Nomura System plans to hold a financial results meeting for institutional investors and analysts on Monday, August 23, 2021.
Materials to be distributed at this event will be available on the Company’s website immediately thereafter.

Nomura System Corporation Co., Ltd. (3940) Financial Results for the Second Quarter of 2021

Contents of Attachments
1. Quarterly Financial Statements and Notes

2(1) Quarterly Balance Sheet

2(2) Quarterly Statement of Income

3(3) Quarterly Statement of Cash Flows

4(4) Notes to Quarterly Financial Statements

5

Going Concern Assumption

5

Significant Changes in Shareholders’ Equity

51Nomura System Corporation Co., Ltd. (3940) Financial Results for the Second Quarter of 2021

1. Quarterly Financial Statements and Notes(1) Quarterly Balance Sheet2020(As of Dec. 31, 2020)(Thousands of yen)
Second Quarter of 2021
(As of Jun. 30, 2021)

AssetsCurrent assets
1,847,362

1,837,545

Accounts receivable-trade414,588368,096

Work in process

23,19859,786

Other

7,842

11,8252,292,990

2,277,2524,25211,914218

218

Investment Securities

298,654362,438

Other

86,97893,936

Total Investments and other assets

385,632

456,374

Cash and deposits

Total current assets
Non-current assets
Property, plant and equipmentIntangible assets
Investments and other assets

390,103

468,506

2,683,093

2,745,758

Accounts payable-trade135,760

138,474

Income taxes payable

69,68867,950Other

78,51652,978

Total current liabilities

283,964

259,402

3,581

3,585

Total non-current assets
Total assets
Liabilities
Current liabilities

Non-current liabilities
Asset retirement obligations
Total non-current liabilities
Total liabilities

3,581

3,585

287,545

262,987

319,988

320,636

Net assets
Shareholders’ equity
Capital stock
Capital surplus

276,488279,775Retained earnings

1,918,419

1,932,843

2,487,471△27,423

2,530,582△92,135△47,882

Treasury stock
Total shareholders’ equity
Valuation and translation adjustments
Valuation difference on available-for-sale securities
Total Valuation and translation adjustments△92,135212

Stock acquisition rights
Total net assets
Total liabilities and net assets

2△2,671△47,88271

2,395,548

2,482,771

2,683,093

2,745,758

Nomura System Corporation Co., Ltd. (3940) Financial Results for the Second Quarter of 2021

(2) Quarterly Statement of Income(For the Six-month Period)(Thousands of yen)First six months of 2021
(Jan. 1 – Jun. 30, 2021)

First six months of 2020
(Jan. 1 – Jun. 30, 2020)
1,319,295

1,300,713

Cost of sales

962,378

973,826

Net sales
Gross profit

356,917

326,887

Selling, general and administrative expenses

135,660

133,246

Operating income

221,257

193,640

99

8,543

8,543

99

187

8,650

8,739

229,906

202,379

Non-operating income
Interest income
Dividends received
Other
Total non-operating income
Ordinary income
Extraordinary income
Gain on sales of non-current assets‐1,196Total extraordinary income‐1,196

Profit before income taxes

229,906

203,575

Income taxes-current

66,173

61,942

Income taxes-deferred

5,043

660

Total income taxes

71,21662,602

Profit158,691

140,9733

Nomura System Corporation Co., Ltd. (3940) Financial Results for the Second Quarter of 2021

(3) Quarterly Statement of Cash Flows(For the Six-month Period)(Thousands of yen)First six months of 2021
(Jan. 1 – Jun. 30, 2021)

First six months of 2020
(Jan. 1 – Jun. 30, 2020)
Cash flows from operating activities
229,906

Net income before income taxesDepreciation and amortization
Loss (gain) on sales of property, plant and equipment
Dividends received

958

2,503

‐

△1,196△8,543

Decrease (increase) in accounts receivable-trade△13,319

11,947

Decrease (increase) in inventories
Increase (decrease) in accounts payable-trade△16,01222

Increase (decrease) in accrued consumption taxes
Other

Income taxes paid
Net cash provided by operating activities
Cash flows from investing activities
Purchase of property plant and equipment

Net cash provided by (used in) financing activities△549△11,670384

1,1544124,379

2,701△8,968‐1,759,895

1,847,362

1,783,254

Cash and cash equivalents at end of period

8,543△126,382

23,359Cash and cash equivalents at beginning of period

179,987△125,809△125,446

Increase (decrease) in cash and cash equivalents△18,413

149,354△21Dividend paid

2,714

△64,151△549

Cash flows from financing activities
Proceeds from issuance of stock resulting fromexercise of subscription rights to shares
Purchase of treasury stock△36,588△52,283‐

Proceeds from sales of property, plant and equipment
Net cash used in investing activities

46,492△10,556

8,543

Dividends received△8,543△11,864
193,094

Subtotal

203,575△125,227△9,817

1,837,545

Nomura System Corporation Co., Ltd. (3940) Financial Results for the Second Quarter of 2021

(4) Notes to Quarterly Financial Statements
Going Concern Assumption
Not applicable.
Significant Changes in Shareholders’ Equity
Not applicable.
This financial report is solely a translation of “Kessan Tanshin” (in Japanese, including attachments), which has been preparedin accordance with accounting principles and practices generally accepted in Japan, for the convenience of readers who prefer
an English translation.

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