Consolidated Financial Results
First Quarter of the Fiscal Year Ending March 2025
(April 1–June 30, 2024)
August 7, 2024

Listed Company Name: Rinnai Corporation

Listings: Prime Section of the Tokyo Stock Exchange, and Premiere Section of Nagoya Stock
Exchange (Securities Code: 5947)
Website: https://www.rinnai.co.jp
Representative: Hiroyasu Naito, President
Contact: Takuya Ogawa, Managing Executive Officer, Chief of Corporate Management Headquarters
TEL: +81 (52) 361-8211
Anticipated date to begin distributing dividends: ―Supplemental information sheets of quarterly results: Yes
Information meeting of quarterly results: Yes (for analysts and institutional investors)

I. Performance in the First Quarter of the Fiscal Year Ending March 31, 2025
(April 1– June 30, 2024; amounts less than one million yen are omitted)(1) Consolidated Operating Results
Percentage figures in parentheses indicate increase or decrease from the previous term.
(¥ millions; %)Net income
OperatingOrdinary
attributable toNet Sales
IncomeIncomeowners of theparent company
First Quarter to¥98,185 [+9.3%] ¥8,717 [+180.0%] ¥10,889 [+84.7%] ¥6,817 [+107.3%]
June 2024
First Quarter to89,853 [-5.4%] 3,113 [-69.1%]
5,895 [-48.4%] 3,288 [-53.1%]
June 2023
Notes: Comprehensive income: First quarter of the year ending March 31, 2025; ¥15,102 million [+91.8%]
First quarter of the year ended March 31, 2024; ¥7,873 million [-57.3%](¥)

First Quarter to June 2024
First Quarter to June 2023

Net Incomeper Share¥47.71
22.49

Fully Diluted Net
Income per Share——(2) Consolidated Financial Position(¥ millions; %)Total Assets
June 30, 2024
March 31, 2024

Net Assets¥570,186
577,088

Equity Ratio (%)¥438,656
437,438(Reference) Equity capital: First quarter of the year ending March 31, 2025: ¥390,676 million
Year ended March 31, 2024: ¥387,774 million

168.5%
67.2

II. Dividends
Dividend per Share
1st Quarter(¥)

Interim(¥)

3rd Quarter(¥)

Fiscal 2024—
¥30.00—Fiscal 2025—
Fiscal 2025
40.00—
(anticipated)
Notes: 1. Revision of dividend forecast in period under review: None

FiscalYear-End(¥)¥30.00

Full Year(¥)¥60.00

40.00

80.00

III. Forecast for the Fiscal Year Ending March 31, 2025 (Consolidated)(April 1, 2024, to March 31, 2025)
Net Sales(¥ millions/%)
Operating
IncomeOrdinary
IncomeNet income
attributable toowners of theparentcompany

Net Incomeper Share(¥)

First half
¥212,000 [+10.0%] ¥17,300 [+70.9%] ¥18,900 [+26.8%] ¥11,500 [+45.5%]¥ 80.55
Full year
450,000 [+4.6]
45,000 [+14.3]
48,000 [+4.2]
28,300 [+6.1]
199.88
Note: Percentage figures in parentheses indicate increase or decrease from the previous fiscal year.
Notes: 1. Revision of fiscal year forecast in period under review: None
2. As its meeting held on May 9, 2024, the Board of Directors resolved to undertake a share buyback.
The above forecasts for “Net income per share” take into account this buyback.

2

* Notes(1) Changes in scope of consolidation of major subsidiaries during the period: None
Newly included — (Company name: —): Excluded — (Company name: —)(2) Application of special accounting method for quarterly consolidated financial reporting:None(3) Changes in accounting policies; changes in accounting estimates; retrospectiverestatement(a) Changes due to revision of accounting standard: Yes(b) Other changes than (a): None(c) Changes in the rules for the accounting estimates: None(d) Retrospective restatement: None
Note: For more information, please refer to “2. Consolidated Financial Statements and Main
Notes, (3) Notes to Quarterly Consolidated Financial Statements (Changes in accountingpolicies) on page 11 of this report.
(4) Number of Outstanding Shares (Common Stock)(a) Number of outstanding shares at term-end (including treasury stock)June 30, 2024: 146,677,171 shares
March 31, 2024: 146,677,171 shares(b) Number of treasury stock shares at term-end
June 30, 2024: 4,726,965 shares
March 31, 2024: 3,473,623 shares(c) Average number of shares during the termFirst quarter of the fiscal year ending March 2025: 142,892,467 sharesFirst quarter of the fiscal year ended March 2024: 146,234,057 shares* Quarterly review process by certified public accountants and accounting auditors: None
* Note on appropriate use of performance forecasts, and other specified notes
Performance forecasts contained in this document are based on information currently
available and certain judgments deemed by the Corporation to be reasonable. No intent is
implied of promise by the Corporation to achieve such forward-looking statements. Actualresults may differ significantly from such forecasts due to various factors. For more
information, please refer to “1. Consolidated Performance, (3) Consolidated Performance
Forecasts” on page 6 of this report.
Supplemental information sheets of quarterly results:
Please refer to Supplemental information sheets of quarterly results, which will be postedon the Corporation’s website on Wednesday, August 7, 2024.

3

1. Consolidated Performance(1) Operating Results
In the first quarter under review, the world economic outlook remained uncertain due toweakened business confidence caused by ongoing global price hikes and monetary
tightening, a sluggish Chinese economy affected by real estate issues, and a stagnating
housing market in the United States. In Japan as well, although economic and social activities
are gradually normalizing, the situation remained unpredictable due to soaring raw material
and energy costs, rising prices amid wage increases and other factors, and theunprecedented depreciation of the yen.
The domestic housing industry saw moderate declines in new housing starts, especiallyowner-occupied properties, while the housing appliance sector benefited from signs ofrecovery in home renovations.
Under these circumstances, the Rinnai Group pursued three key strategies under its
medium-term business plan, New ERA 2025: “Advancement in addressing social challenges,”“Expansion of business scale,” and “Revolution of corporate structure.”
Specifically, we are expanding sales of products that help improve quality of life and benefit
the global environment, which we have defined as key areas for resolving social issues.
(1) In Japan, we are expanding sales of our ECO ONE hybrid water heaters with heatingsystems, which combine high energy efficiency with resilience through its dual heatsources of gas and electricity. Overseas, we are promoting our tankless water heaters,
which boast superior energy efficiency and provide an uninterrupted supply of hot water.
(2) We are promoting gas clothes dryers, which use powerful warm air that only gas canprovide to dry clothes quickly, in 14 countries around the world.
(3) We are introducing our air bubble products in the Asian region. These products enhance
health by enabling bathing in hot water infused with microscopic bubbles, and they also
have a powerful cleansing property to simplify daily cleaning.
In these ways, we are broadening our lineup of priority products to support the Group’s
carbon neutrality commitment, RIM 2050. We are also making steady progress in fulfilling ourpromise to customers: “Creating a healthier way of living.”
In terms of revenue, the supply–demand imbalance caused by the global COVID-19
outbreak, which had persisted for several years, seemed to be ending. Combined with thebenefits of a weak yen, we achieved record-high net sales for the period. On the earnings
side, we maintained normal production activities in Japan from the beginning of the period.
Despite soaring raw material costs, we achieved a year-on-year increase in operating income
due to price revisions and cost reduction efforts.
As a result, consolidated net sales amounted to ¥98,185 million, up 9.3% year-on-year.
Operating income jumped 180.0%, to ¥8,717 million, and ordinary income rose 84.7% to¥10,889 million. Net income attributable to owners of the parent company surged 107.3%, to¥6,817 million.
Our results by geographical segment were as follows:
JapanIn Japan, our market inventories, which were elevated in the previous fiscal year, returned tonormal. In addition, sales of our priority products, including our ECO ONE hybrid water
heaters with heating systems, gas clothes dryers, and air bubble products, remained robust.
As a result, sales in Japan grew 4.8% year on year, to ¥44,162 million, and operating income
surged 171.2%, to ¥4,931 million.
United StatesDespite the sluggish U.S. housing market due to high interest rates, sales of tankless water
heaters rebounded with the introduction of new mainstay condensing units. Accordingly,sales in the United States increased 24.8%, to ¥15,674 million. On the earnings side, weengaged in aggressive sales promotion activities, including participation in exhibitions and4running sales campaigns aligned with new product launches. As a result, in addition to theprofit recovery due to the sales increase, we posted operating income of ¥45 million,compared with an operating loss of ¥1,748 million in the previous corresponding period.
Australia
Amid challenging market conditions characterized by continued weakness in the housing
market and a shift in demand toward electrification, sales in Australia declined slightly on a
local-currency basis. Thanks for foreign exchange factors, however, sales in yen terms rose
7.0%, to ¥7,247 million. On the earnings side, operating income fell 50.6%, to ¥106 million,
due to lower sales of mainstay tankless water heaters and ducted air-conditioning andheating systems.
China
In China, consumer sentiment remained weak due to the economic slowdown caused by areal estate market recession and other factors. Nevertheless, we posted growth in unit salesof mainstay water heaters as we increased the number of transactions with bricks-and-mortar
stores owned by e-commerce platforms and expanded our sales territory as a result.
Accordingly, sales in China grew 2.2%, to ¥10,215 million. Due partly to deterioration of ourproduct mix, however, operating income declined 16.3%, to ¥1,194 million.
South Korea
In South Korea, rising prices and interest rates caused ongoing deterioration in market
sentiment, while sales of mainstay boilers remained sluggish as price competition continued
to intensify. On the other hand, we posted increased sales of kitchen appliances thanks toexpansion of our sales territory as competitors withdrew from the market. As a result, sales
in South Korea rose 8.0%, ¥8,643 million, and operating income jumped 137.2%, to ¥317
million.
Indonesia
In Indonesia, sales of mainstay tabletop stoves recovered despite weak consumer sentiment
due to rising prices. We also made further price revisions. As a result, sales climbed 29.8%,
to ¥4,314 million, and operating income jumped 77.2%, to ¥937 million.
(For references 1)
Sales Composition by Business Segment(¥ millions; %)First Quarter toJune 30, 2023

Water heaters
Kitchen appliances
Air conditioning
appliances
Commercial-use
equipment
Others
Total

First Quarter toJune 30, 2024

ChangeYear toMarch 31, 2024

Amount% oftotal

Amount% oftotal

Amount%¥53,722
20,33659.8%
22.6¥57,735
22,38758.8%
22.8¥4,0132,050

7.5% ¥263,839
90,495
10.1

61.3%
21.0

3,587

4.0

3,818

3.9

231

6.5

21,746

5.1

2,506

2.8

2,725

2.8

218

8.7

11,2122.6

9,701¥89,85310.8
100.0%

11,517¥98,18511.7
100.0%

1,816¥8,332

5

Amount42,891
18.7
9.3% ¥430,186

% of
total

10.0
100.0%

(For references 2)
Overseas Sales(¥ millions; %)First Quarter toJune 30, 2023

First Quarter toJune 30, 2024

Asia
Others
Total
Asia
OthersTotal¥26,516¥23,004
I. Overseas sales¥49,520¥29,219¥27,158¥56,378
89,853
II. Consolidated net sales————
98,185
III. Composition ratio ofoverseas sales to29.5%
25.6%
55.1%
29.8%
27.7%
57.4%
consolidated net sales
Note: Above indicates sales of the Corporation and consolidated subsidiaries in overseas countries or regions.

(2) Financial Position
As of June 30, 2024, Rinnai had total assets of ¥570,186 million, down ¥6,902 million fromMarch 31, 2024. Total liabilities decreased ¥8,120 million, to ¥131,530 million. Net assets
were up ¥1,218 million, to ¥438,656 million. The equity ratio at the end of the period was68.5%.
(3) Consolidated Performance Forecasts
Rinnai has not changed its forecasts for the first two-quarter period ending September 30,2024 or the full-year period ending March 31, 2025. (Those forecasts were released on May
9, 2024.)

6

2. Consolidated Financial Statements and Main Notes(1) Consolidated Balance Sheets
At March 31, 2024
(Fiscal 2024)
ASSETS:
Current assets
Cash and deposits
Notes and accounts receivable,and contract assets
Electronically recorded monetary claimsMarketable securities
Products
Raw materials and stores
Other
Less allowance for doubtful accounts
Total current assets
Fixed assets
Tangible fixed assets
Intangible fixed assets
Investments and advances
Investments in securities
Other
Less allowance for doubtful accounts
Total investments and advances
Total fixed assets
Total assets

7(¥ millions)
At June 30, 2024
(First Quarter ofFiscal 2025)¥147,600
91,694¥139,592
88,32812,8798,068
41,69939,953
5,717(6,175)
341,437

12,117
8,961
42,90438,885
6,150(6,262)
330,677

147,425
3,642

150,501
4,310

40,834
43,796(48)40,566
44,179(48)

84,582

84,697

235,650¥577,088

239,509¥570,186(¥ millions)
At March 31, 2024
(Fiscal 2024)
LIABILITIES:Current liabilities
Notes and accounts payable
Electronically recorded obligations
Accrued income taxes
Accrued employee’s bonuses
Allowance for product guarantee
Other allowances
Other
Total current liabilities
Long-term liabilities
Allowance environmental measures
Other allowances
Net defined benefit liabilities
Other
Total long-term liabilities
Total liabilities
NET ASSETS:
Shareholders’ equity:
Common stock
Capital surplus
Earned surplus
Treasury stock
Total shareholders’ equity
Other comprehensive income:Unrealized gain on marketablesecurities
Foreign exchange translation
adjustment
Remeasurements of defined benefit
plans
Total of other comprehensive income
Non-controlling interests
Total net assets
Total liabilities and net assets

8At June 30, 2024
(First Quarter ofFiscal 2025)¥ 24,427
28,937
5,244
6,159
4,806
1,379
35,936
106,890¥ 21,569
22,187
4,001
3,183
4,920
1,252
42,080

2,255
77
8,809
21,61732,759139,650

2,255
90
8,723
21,26432,333
131,530

6,484
8,428
342,493(10,936)
346,470

6,484
8,428
345,015(15,629)344,298

8,690

9,193

22,671

27,590

9,941

9,593

41,304
49,663
437,438¥577,088

46,37747,979438,656¥570,186

99,196

(2) Consolidated Statements of Income, and Statements of Comprehensive
IncomeConsolidated Statements of Income(¥ millions)

Net sales
Cost of sales

First Quarter ofFiscal 2024
(From April 1 toJune 30, 2023)¥89,853
63,848First Quarter of
Fiscal 2025
(From April 1 toJune 30, 2024)¥98,185
65,491Gross profit26,004

32,694

Selling, general and administrative expenses

22,891

23,976

Operating income
Other income:Interest income
Dividends received
Foreign exchange income
Other
Total other income
Other expenses:
Interest expenses
Loss on retirement of fixed assets
Depreciation
Other
Total other expenses

3,113

8,717

524
310
1,709
395
2,940

666
381
939
392
2,379

14
23
83
35
157

1077
83
36207

Ordinary income

5,895

10,889

Income before income taxes
Income taxes (current)
Income taxes (deferred)
Total income taxes
Net income

5,895
2,108(584)
1,523
4,371

10,8893,621(787)
2,833
8,055

1,083

1,237

¥ 3,288¥ 6,817

Net income attributable to non-controllinginterests
Net income attributable to owners of theparent company

9Consolidated Statements of Comprehensive Income(¥ millions)

Net income
Other comprehensive income
Unrealized gain on marketable securities
Foreign exchange translation adjustment
Remeasurements of defined benefit plans
Total of other comprehensive income
Comprehensive income
Total comprehensive income attributable to:
Owners of Rinnai Corporation
Non-controlling interest

10First Quarter ofFiscal 2024
(From April 1 toJune 30, 2023)¥4,371First Quarter ofFiscal 2025
(From April 1 toJune 30, 2024)¥8,0551,603
2,204(306)
3,501

500
6,894(348)
7,046

7,873

15,102

5,756
2,116

11,891
3,210

(3) Notes to Quarterly Consolidated Financial Statements
Changes in Accounting Policies(Application of the Accounting Standard for Current Income Taxes)
Effective the beginning of period under review, the Corporation has applied the AccountingStandard for Current Income Taxes (ASBJ Statement No. 27, October 28, 2022; hereinafter,
the “Revised Accounting Standard 2022”).
Amendments to categories in which current income taxes apply (taxes on othercomprehensive income) follows the transitional treatment prescribed in the proviso ofParagraph 20–3 of the Revised Accounting Standard 2022 and the transitional treatmentprescribed in the proviso (2) of Paragraph 65–2 of the Implementation Guidance on Tax EffectAccounting (ASBJ Guidance No. 28, October 28, 2022; hereinafter, the “RevisedImplementation Guidance 2022”). This change in accounting policies had no impact on theCorporation’s consolidated financial statements for the period under review.
For the amendment related to the revised accounting treatment for consolidated financialstatements (when gains or losses on sale of shares in subsidiaries resulting from transactions
between consolidated companies have been deferred for tax purposes), the Revised
Implementation Guidance 2022 has been adopted from the beginning of period under review.
This change in accounting policies has been applied retrospectively. Hence, theconsolidated financial statements for both the previous corresponding period and theprevious fiscal year have been modified retrospectively. This change had no impact on boththe consolidated financial statements for the previous corresponding period and the previous
fiscal year.

Segment Information
1. First Quarter of the Fiscal Year Ended March 31, 2024 (From April 1 to June 30, 2023)
Sales and Income (Loss) by Reportable Segment(¥ millions)
Reportable Segments
Australia(Note 2)ChinaSouth
Korea

Indonesia

Total¥42,146 ¥12,555¥6,770¥9,994¥8,004¥3,322¥82,793¥7,059

－

14451

185

135

7,541

48,90012,555

6,784

10,446

8,190

3,457

1,818(1,748)

214

1,427

133

529

JapanNet sales
Sales to outside
customers
Intersegmentsales
TotalSegment Income(loss)

Amounts inConsolidated
Others Adjustments
Statements of(Note 3)(Note 4)
Income(Note 5)

UnitedStates(Note 1)

6,754

¥

－

¥89,853749(8,291)－

90,335

7,809(8,291)89,853

2,374

997

(258)

3,113

Notes:1. “United states” include sales from subsidiaries in Canada and Mexico, which conduct integrate businessactivities based on comprehensive sales strategies.
2. “Australia” include sales from a subsidiary in Malaysia, which complements the production system, andconducts integrate business activities.
3. “Others” include sales from subsidiaries in Taiwan, Thailand, Vietnam, New Zealand, Brazil and otherregions.
4. “Adjustments” of segment income refers to intersegment transactions to eliminate.
5. “Segment income (loss)” is adjusted from operating income in Consolidated Statements of Income.

11

2. First Quarter of the Fiscal Year Ending March 31, 2025 (From April 1 to June 30, 2024)
Sales and Income (Loss) by Reportable Segment(¥ millions)
Reportable Segments
JapanNet sales
Sales to outsidecustomers
Intersegment
sales
TotalSegment Income(loss)

UnitedStates(Note 1)¥44,162 ¥15,674

Australia(Note 2)ChinaSouth
Korea¥7,247 ¥10,215¥8,643

Indonesia

Total

Amounts inConsolidated
Others Adjustments
Statements of(Note 3)(Note 4)
Income(Note 5)¥4,314 ¥ 90,258 ¥7,927¥－¥98,185

10,644

－

37

633

146

235

11,698887(12,585)－

54,807

15,674

7,284

10,849

8,790

4,549

101,956

8,814(12,585)

98,185

4,931

45

106

1,194

317

937

7,533

1,199

(14)

8,717

Notes:1. “United states” include sales from subsidiaries in Canada, Mexico, and Costa Rica, which conduct
integrate business activities based on comprehensive sales strategies.
2. “Australia” include sales from a subsidiary in Malaysia, which complements the production system, andconducts integrate business activities.
3. “Others” include sales from subsidiaries in Taiwan, Thailand, Vietnam, New Zealand, Brazil and otherregions.
4. “Adjustments” of segment income refers to intersegment transactions to eliminate.
5. “Segment income (loss)” is adjusted from operating income in Consolidated Statements of Income.

Assumptions for Going Concern
Not applicable.
Major Changes in Shareholders’ Equity
Not applicable.
Note on Quarterly Consolidated Statements of Cash Flows
The Corporation has not prepared quarterly consolidated statements of cash flows for theperiod under review. Depreciation (including of intangible assets) for the period under review
is as follows:First Quarter of
Fiscal 2024
(From April 1 toJune 30, 2023)

Depreciation¥3,257 million

12First Quarter of
Fiscal 2025
(From April 1 toJune 30, 2024)¥3,444 million