Summary of Consolidated Financial Results
for the Nine Months Ended December 31, 2022
(Based on Japanese GAAP)
Company name:
Arisawa Mfg. Co., Ltd.
Stock code:
5208
Representative:
Representative Director:
Inquiries:
Senior Operating Officer:
Scheduled date to file Quarterly Securities Report:
Scheduled date to commence dividend payments:
Preparation of supplementary material on quarterly financial results:
Holding of quarterly financial results meeting:February 9, 2023

Stock exchange listing: Tokyo(URL https://www.arisawa.co.jp/)
Yuta Arisawa
Takeshi Masuda
TEL: 025-524-7101
February 14, 2023
--Yes
No

(Amounts less than one million yen are rounded down)

1.

Consolidated financial results for the nine months ended December 31, 2022
(from April 1, 2022 to December 31, 2022)(1) Consolidated operating results (cumulative)(Percentages indicate year-on-year changes)
Profit attributable toowners of parent
Millions of yen%
Millions of yen%
Millions of yen%
2,137 △23.8
2,705 △14.3
2,661 △10.4
2,803 --3,155 --2,971---

Net sales%

Ordinary profit

33,543 2.7
32,663 --Comprehensive income: Nine months ended December 31, 2022: 3,152 million yen (33.6 %)Nine months ended December 31, 2021: 2,359 million yen (--- %)Nine months ended December 31, 2022
Nine months ended December 31, 2021

(Note)

Millions of yen

Operating profit

Earnings per share

Yen

Diluted earnings per share

Yen

Nine months ended December 31, 2022
80.52
80.33
Nine months ended December 31, 2021
89.18
89.13
(Note) “Accounting Standard for Revenue Recognition” (Accounting Standards Board of Japan Statement No.29, March 31, 2020), etc., have been
applied from the beginning of the previous consolidated fiscal year. The percentages of year-on-year changes are not stated above since each figure
for the third quarter of the year ended March 31, 2022 is based on the application of the relevant accounting standards, etc.

(2) Consolidated financial position

Total assets
Millions of yen
As of December 31, 2022
70,087
As of March 31, 2022
68,689(Reference) Total equity: As of December 31, 2022: 47,438 million yen

2.

Cash dividends
1st quarter-end
Yen
-----

Year ended March 31, 2022
Year ending March 31, 2023
Year ending March 31, 2023
(Forecast)(Note)

3.

Net assets
Equity ratio
Millions of yen%
47,514
67.7
47,965
69.6
As of March 31, 2022: 47,786 million yen

Yen

1,440.37
1,434.46

Annual dividends per share
2nd quarter-end
3rd quarter-end
Fiscal year-end
Yen
Yen
Yen
5.00
--90.00
0.00
---

Total

90.00

Yen
95.00
90.00

Revisions to dividend projections most recently announced: No

Forecast of consolidated financial results for the year ending March 31, 2023
(from April 1, 2022 to March 31, 2023)
Net sales
Full year(Note)Net asset per share

Millions of yen

45,000Operating profit%

4.4

Millions of yen

2,600(Percentages indicate year-on-year changes)

Ordinary profit
%

△21.7

Millions of yen

3,500

%

△16.8

Profit attributable toowners of the parent

Millions of yen

Revisions to projections of consolidated financial results most recently announced: No

3,200

%

△18.2

Earnings per
share

Yen

96.98

* Notes(1) Changes in significant subsidiaries during the nine months ended December 31, 2022
(changes in specified subsidiaries resulting in the changes in scope of consolidation): No
New: --- (Company Name:) Exclusion: --- (Company Name:)(2) Application of special accounting methods for preparing quarterly consolidated financial statements: Yes(3) Changes in accounting policies, changes in accounting estimates, and restatement of prior period financial
statements
1) Changes in accounting policies due to revisions to accounting standards and other regulations:Yes2) Changes in accounting policies due to other reasons:No3) Changes in accounting estimates:
No4) Restatement of prior period financial statements:
No(4) Number of issued shares (common shares)
1) Total number of issued shares at the
As of December
As of March 31,
33,818,924 shares
33,614,824 shares
end of the period (including
31, 2022:
2022:
treasury shares):
2) Number of treasury shares at the
As of December
As of March 31,
884,239 shares
301,575 shares
31, 2022:
2022:
end of the period:3) Average number of shares during
Nine months
Nine months
33,051,977 shares ended December
33,317,569 shares
ended December
the period (cumulative from the31, 2022:
31, 2021:
beginning of the fiscal year):(Note) The shares of the Company (87,700 shares in 3Q of the year ended March 31, 2023, and 88,600 sharein the year ended March 31, 2022, respectively) held by Custody Bank of Japan, Ltd. (Trust Account)as the trust assets of the “Employee Stock Ownership Plan” are included in the number of treasury
shares at the end of the period.
The shares of the Company held by Custody Bank of Japan, Ltd. (Trust Account) are included in thetreasury shares to be deducted in calculation of the average number of shares during the year (88,216
shares in 3Q of the year ended March 31, 2023, and 45,972 shares in 3Q of the year ended March
31, 2022, respectively).
* Quarterly financial results reports are exempt from quarterly review conducted by certified public accountants oran audit corporation.
* Notes regarding the proper use of projections of the results and other matters

Projections of results and future developments are based on information available to the Company at the current time, as well as
certain assumptions judged by the Company to be reasonable. Various factors could cause actual results to differ materially fromthese projections.

Arisawa Mfg. Co., Ltd. (5208) Summary of Consolidated Financial Results for the Nine Months Ended December 31, 2022

Contents of Attached Materials
1. Qualitative Information concerning Current Quarterly Closing Announcement(1) Explanation about Operating Results(2) Explanation about Financial Position(3) Explanation about Future Forecast Information,
including Forecast of Consolidated Business Results
2. Quarterly Consolidated Financial Statements and Major Notes(1) Quarterly Consolidated Balance Sheet(2) Quarterly Consolidated Statements of Income
and Quarterly Consolidated Statements of Comprehensive Income
Quarterly Consolidated Statements of Income
Consolidated Cumulative Third Quarter
Quarterly Consolidated Statement of Comprehensive Income
Consolidated Cumulative Third Quarter(3) Notes to Quarterly Consolidated Financial Statements(Notes on Going Concern Assumption)(Notes in the Case of Significant Changes in Shareholders’ Equity)(Application of Special Accounting Methods for Preparing Quarterly Consolidated
Financial Statements)(Changes in Accounting Policies)(Additional Information)(Segment Information, etc.)(Significant Subsequent Events)

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Arisawa Mfg. Co., Ltd. (5208) Summary of Consolidated Financial Results for the Nine Months Ended December 31, 2022

1. Qualitative Information concerning Current Quarterly Closing Announcement(1) Explanation about Operating Results

As for the Japanese economy in the current consolidated cumulative third quarter, the economic activity
is heading toward normal due to the relaxation of restrictions on activities from COVID-19 infections,etc. On the other hand, the future prospects still remain uncertain due to the persistent high energy andraw material prices caused by the prolonged situation in Ukraine, the rise in prices caused by global
inflation in addition to a decrease in demand in the Chinese market.
Under such circumstances, the results of operations of our group (the Company, its consolidated
subsidiaries and the companies accounted for under the equity method) for the current consolidated
cumulative third quarter showed net sales of 33,543 million yen (an increase of 2.7% year-on-year) due
to an increase in sales of industrial application structural materials and display materials despite a decreasein sales of electronic materials. On the other hand, an operating profit remained 2,137 million yen (adecrease of 23.8% year-on-year) due to soaring energy costs and raw material prices. Ordinary profit was
2,705 million yen (a decrease of 14.3% year-on-year) due to the recording of foreign exchange gains, etc.
Profit attributable to owners of parent was 2,661 million yen (a decrease of 10.4% year-on-year) due tothe recording of gain on sale of investment securities, etc.
Business results with respect to each segment are as follows.
(Electronic materials)

Net sales were 21,550 million yen (a decrease of 5.6% year-on-year) due to a decrease in sales offlexible printed circuit board materials and glass cloth for printed circuit board, while the segment profit
was 1,267 million yen (a decrease of 46.6% year-on-year) caused by the impact from soaring energy costs
and raw material prices in addition to decrease in sales.
(Industrial application structural materials)

Net sales were 6,607 million yen (an increase of 26.8% year-on-year) due to an increase in sales ofwater treatment FRP pressure vessels, while the segment profit was 1,031 million yen (an increase of
56.4% year-on-year).
(Electric insulation materials)

Net sales were 1,935 million yen (a decrease of 0.7% year-on-year) due to a decrease in infrastructurerelated sales, while the segment profit was 123 million yen (a decrease of 48.8% year-on-year).
(Display materials)

Net sales were 3,214 million yen (an increase of 36.3% year-on-year) due to an increase in sales of 3Drelated materials and ColorLink Japan, Ltd.’s polarization control optical components, while the segment
profit was 766 million yen (an increase of 21.7% year-on-year).
(Other)Net sales were 235 million yen (a decrease of 25.1% year-on-year).

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Arisawa Mfg. Co., Ltd. (5208) Summary of Consolidated Financial Results for the Nine Months Ended December 31, 2022

(2) Explanation about Financial Position

Total assets as of the end of the current consolidated cumulative third quarter were 70,087 million yen,
an increase of 1,398 million yen compared with the end of the previous year. This was largely due to anincrease of 1,856 million yen in cash and deposits, an increase of 1,093 million yen in merchandise andfinished goods and an increase of 2,594 million yen in property, plant and equipment, a decrease of 940
million yen in securities and a decrease of 5,401 million yen in investment securities respectively.
Total liabilities as of the end of the current consolidated cumulative third quarter were 22,573 million
yen, an increase of 1,850 million yen compared with the end of the previous year. This was largely due toan increase of 942 million yen in notes and accounts payable-trade and an increase of 468 million yen in
long-term borrowings respectively.
Total net assets as of the end of the current consolidated cumulative third quarter were 47,514 million
yen, a decrease of 451 million yen compared with the end of the previous year. This was largely due to anincrease of 1,266 million yen in foreign currency translation adjustment, a decrease of 345 million yen inretained earnings, a decrease of 823 million yen in valuation difference on available-for-sale securities
respectively, and furthermore, the acquisition of treasury shares of 706 million yen, and more.
(3) Explanation about Future Forecast Information, including Forecast of Consolidated Business Results

As for the business results for the full-year of the fiscal year ending March 31, 2023, there is no change
in the forecast of consolidated business results which was announced on November 4, 2022.

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Arisawa Mfg. Co., Ltd. (5208) Summary of Consolidated Financial Results for the Nine Months Ended December 31, 2022

2. Quarterly Consolidated Financial Statements and Major Notes(1) Quarterly Consolidated Balance Sheet(Thousands of yen)Previous Consolidated
Fiscal Year(As of March 31, 2022)

AssetsCurrent assets
Cash and deposits
Notes and accounts receivable-trade, andcontract assets
Securities
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
Intangible assets
Investments and other assets
Investment securities
Other
Allowance for doubtful accounts
Total investments and other assets
Total non-current assets
Total assets-4-

Current Consolidated
Third Quarter(As of December 31, 2022)

17,341,765

19,198,120

16,073,835

17,066,436

1,040,342
4,401,727
2,112,503
4,123,818
797,960△15,947
45,876,007

100,330
5,495,111
2,335,731
4,736,358
1,107,480△34,242
50,005,326

13,775,074
279,191

16,369,428
255,874

7,875,645
933,709△50,428
8,758,926
22,813,192
68,689,199

2,474,350
1,028,903△46,034
3,457,219
20,082,522
70,087,849

Arisawa Mfg. Co., Ltd. (5208) Summary of Consolidated Financial Results for the Nine Months Ended December 31, 2022

(Thousands of yen)Previous Consolidated
Fiscal Year(As of March 31, 2022)
Liabilities
Current liabilities
Notes and accounts payable-trade
Current portion of bonds payable
Short-term borrowings
Current portion of long-term borrowings
Income taxes payable
Provision for product warranties
Provision for bonuses
Provision for bonuses for directors (andother officers)
Other
Total current liabilities
Non-current liabilities
Bonds payable
Long-term borrowings
Provision for share awards
Retirement benefit liability
Asset retirement obligations
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
Deferred gains or losses on hedges
Foreign currency translation adjustment
Remeasurements of defined benefit plans
Total accumulated other comprehensive
incomeShare acquisition rights
Non-controlling interests
Total net assets
Total liabilities and net assets-5-

Current Consolidated
Third Quarter(As of December 31, 2022)

5,637,609
26,8003,562,272
957,962
1,087,828
73,525507,532

6,580,596
16,8003,280,169
1,284,006
835,853
43,045273,913

4,503

1,811

3,332,705
15,190,739

4,498,573
16,814,770

27,6003,845,199
29,802
583,365
92,521
954,267
5,532,757
20,723,496

10,8004,314,021
45,432537,096
100,102751,5445,758,997
22,573,768

7,643,777
3,017,461
34,936,822△299,704
45,298,357

7,761,676
3,112,421
34,590,856△1,006,038
44,458,915

1,229,118

405,183△50,146
1,317,978△8,7342,488,215△5,7132,584,049△4,407

149,131
29,99847,965,702
68,689,199

76,053－47,514,081
70,087,849

2,979,112

Arisawa Mfg. Co., Ltd. (5208) Summary of Consolidated Financial Results for the Nine Months Ended December 31, 2022

(2) Quarterly Consolidated Statements of Income and Quarterly Consolidated Statements of Comprehensive Income(Quarterly Consolidated Statements of Income)(Consolidated Cumulative Third Quarter)(Thousands of yen)

Net sales
Cost of sales
Gross profit
Selling, general and administrative expenses
Operating profit
Non-operating income
Interest income
Dividends income
Foreign exchange gains
Other
Total non-operating income
Non-operating expenses
Interest expenses
Rent expenses
Other
Total non-operating expenses
Ordinary profit
Extraordinary income
Gain on sale of non-current assets
Gain on sale of securities
Other
Total extraordinary income
Extraordinary losses
Loss on retirement of non-current assets
Loss on sale of investment securities
Impairment losses
Other
Total extraordinary losses
Profit before income taxes
Income taxes
ProfitProfit attributable to non-controlling interests
Profit attributable to owners of parent

Previous Consolidated
Cumulative Third Quarter(From April 1, 2021
to December 31, 2021)
32,663,855
25,842,854
6,821,001
4,017,995
2,803,005

Current Consolidated
Cumulative Third Quarter(From April 1, 2022
to December 31, 2022)
33,543,349
27,086,418
6,456,931
4,319,837
2,137,093

142,089
73,901
91,549285,207592,748

102,948
58,555347,203
227,710
736,41788,50962,424
89,161240,094
3,155,659

106,692
39,11622,246
168,055
2,705,456

7,471
737,947
45,919791,3373,9781,305,241
40,8701,350,090

28,500
4,053－
14,09846,6533,900,344
839,254
3,061,089
89,9202,971,168

79,20655,86812,938－148,013
3,907,533
1,243,760
2,663,772
2,465
2,661,307-6-

Arisawa Mfg. Co., Ltd. (5208) Summary of Consolidated Financial Results for the Nine Months Ended December 31, 2022

(Quarterly Consolidated Statement of Comprehensive Income)(Consolidated Cumulative Third Quarter)

ProfitOther comprehensive income
Valuation difference on available-for-salesecurities
Deferred gains or losses on hedges
Foreign currency translation adjustment
Remeasurements of defined benefit plans
Share of other comprehensive income of entities
accounted for using equity method
Total other comprehensive income
Comprehensive income(Breakdown)Comprehensive income attributable to ownersof the parent
Comprehensive income attributable to noncontrolling interests(Thousands of yen)Previous Consolidated
Cumulative Third Quarter(From April 1, 2021
to December 31, 2021)
3,061,089

Current Consolidated
Cumulative Third Quarter(From April 1, 2022
to December 31, 2022)
2,663,772△302,971△823,934△701,600
2,359,489

469,288
3,133,061

3,221,518

3,152,203△862,029△19,1424,334△430,880
11,273
16,643-7-

44,432
1,223,241
4,327
21,221

Arisawa Mfg. Co., Ltd. (5208) Summary of Consolidated Financial Results for the Nine Months Ended December 31, 2022

(3) Notes to Quarterly Consolidated Financial Statements(Notes on Going Concern Assumption)
No applicable matter.
(Notes in the Case of Significant Changes in Shareholders’ Equity)
The Company bought back 624,400 shares upon a resolution by the Board of Directors held on May 12,2022. As a result, the treasury shares increased 749,999 thousand yen in the current consolidated cumulative third
quarter and amounted to 1,006,038 thousand yen as of the end of the current consolidated third quarter.
(Application of Special Accounting Methods for Preparing Quarterly Consolidated Financial Statements)(Calculation of tax expenses)
Tax expenses are calculated by multiplying the quarterly profit before income taxes by an estimatedeffective tax rate. Such effective tax rate is reasonably estimated after applying tax effect accounting to the profit
before income taxes for the consolidated fiscal year including the current consolidated third quarter.
(Changes in Accounting Policies)(Application of Implementation Guidance on Accounting Standard for Fair Value Measurement)“Implementation Guidance on Accounting Standard for Fair Value Measurement” (Accounting Standards
Board of Japan Guidance No. 31, June 17, 2021; hereinafter referred to as “Implementation Guidance”), etc. havebeen applied from the beginning of the current consolidated fiscal first quarter. In accordance with the transitional
treatment set forth in paragraph 27-2 of Implementation Guidance, the new accounting policy set forth in
Implementation Guidance was applied prospectively. There is no impact due to this application.
(Additional Information)(Accounting Estimate)
There was no material change in assumptions and accounting estimates including the timing of thecontainment of the new corona virus infection, etc. stated in the Financial Report for the previous business year.

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(Segment Information, etc.)[Segment Information]
I Previous consolidated cumulative third quarter (From April 1, 2021 to December 31, 2021)
1. Information on the amount of net sales and profit or loss with respect to each reportable segment(Thousands of yen)

Reportable segment
Industrial
Electric
Electronic application
Display
insulationmaterials structural
materials
materials
materials

Sales
Sales to externalcustomers
Inter-segment sales ortransfers
Net sales
Segment profit

Other(See Note)

Subtotal

22,831,479 5,210,840 1,949,002 2,358,326 32,349,648

Total

314,207

32,663,855---

628,951

628,951

22,831,479 5,210,840 1,949,002 2,358,326 32,349,648

943,158

33,292,807

2,373,950

132,062

4,036,988-----659,374--242,033--629,568

3,904,926

Note: The column “Other” represents business operations that do not fall under any of the reportable segments
and includes the related goods sales, the logistics-related operations and other businesses, etc.
2. Difference between the aggregate amount of profit or loss of reportable segments and the pertinent
amount shown on the quarterly consolidated statements of income as well as the key components ofsuch difference (Matters concerning difference adjustment)(Thousands of yen)

ProfitAmountTotal of reportable segments

3,904,926

Profit in the category “Other”

132,062

Elimination of inter-segment transactions

11,305

Unallocated corporate expenses (See Note)
Adjustment of inventories
Operating profit shown on the quarterly consolidated statements ofincomeNote:△1,214,126△31,1622,803,005

Unallocated corporate expenses are mostly general and administrative expenses that are not
attributable to any of the reportable segments.

3. Information on impairment loss on non-current assets or goodwill, etc. with respect to each reportablesegment
No applicable matter.

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Arisawa Mfg. Co., Ltd. (5208) Summary of Consolidated Financial Results for the Nine Months Ended December 31, 2022

II Current consolidated cumulative third quarter (From April 1, 2022 to December 31, 2022)
1. Information on the amount of net sales and profit or loss with respect to each reportable segment

Sales
Sales to externalcustomers
Inter-segment sales ortransfers
Net sales
Segment profit

Note:

Reportable segment
Industrial
Electric
Electronic application
Display
insulationmaterials structural
materials
materials
materials(Thousands of yen)
Other
(See Note)

Subtotal

21,550,698 6,607,601 1,935,647 3,214,040 33,307,988

Total

235,361

33,543,349---

642,875

642,875

21,550,698 6,607,601 1,935,647 3,214,040 33,307,988

878,236

34,186,224

1,267,728 1,031,163

119,6963,308,671

---

---

--123,946---

766,136 3,188,975

The column “Other” represents business operations that do not fall under any of the reportablesegments and includes the related goods sales, the logistics-related operations and other businesses,
etc.

2. Difference between the aggregate amount of profit or loss of reportable segments and the pertinent
amount shown on the quarterly consolidated statements of income as well as the key components ofsuch difference (Matters concerning difference adjustment)(Thousands of yen)profitAmountTotal of reportable segments

3,188,975

profit in the category “Other”

119,696

Elimination of inter-segment transactions

1,055

Unallocated corporate expenses (See Note)△1,124,615

Adjustment of inventories
Operating profit shown on the quarterly consolidated statements ofincomeNote:△48,017

2,137,093

Unallocated corporate expenses are mostly general and administrative expenses that are not
attributable to any of the reportable segments.

3. Information on impairment loss on non-current assets or goodwill, etc. with respect to each reportablesegment(Significant impairment losses on non-current assets)
In the industrial application structural materials segment, with respect to the assets in whichinvestments could not be expected to recover due to a downturn in profitability, the Company devalued
their carrying amount to memorandum value and showed the relevant amount of loss to extraordinary
losses as impairment losses.
In this regard, the amount of the relevant impairment losses shown in the current consolidated
cumulative third quarter is 12,938 thousand yen.
(Significant Subsequent Events)(Retirement of treasury shares)
The Company resolved to retire treasury shares at the Board of Directors’ Meeting of May 12, 2022 under theprovisions of Article 178 of the Companies Act., and carried out the retirement on January 31, 2023.
1. Class of shares retired: the Company’s common stock
2. Number of shares retired: 424,400 shares (1.25% out of the total number of shares issued and outstanding before
the retirement)
3. Date of the retirement: January 31, 2023
(Note)The total number of shares issued and outstanding after the retirement is 33,398,024 shares (including treasury
shares).

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