Note: This document has been translated from the Japanese original for reference purposes only. In the event of any
discrepancy between this translated document and the Japanese original, the original shall prevail.

July 31, 2020

Consolidated Financial Results
for the First Three Months of the Fiscal Year Ending March 31, 2021
(Under Japanese GAAP)
Company name:
Listing:
Securities code:
URL:
Representative:
Inquiries:

Konishi Co., Ltd.
Tokyo Stock Exchange4956
http://www.bond.co.jp/
Takashi Yokota, Representative Director and President
Shozo Arisawa, Director and Senior Managing Executive Officer, General Manager ofAdministration DivisionTEL:+81-6-6228-2877
Scheduled date to file quarterly securities report:
August 11, 2020
Scheduled date to commence dividend payments:–Preparation of supplementary material on quarterly financial results: None
Holding of quarterly financial results briefing:
None(Yen amounts are rounded down to millions, unless otherwise noted.)

1. Consolidated financial results for the first three months of the fiscal year ending March 31, 2021
(from April 1, 2020 to June 30, 2020)(1) Consolidated operating results (cumulative)
Net sales

Operating profitFirst three months ended Millions of yen
June 30, 2020
29,416
June 30, 2019
31,398
Note: Comprehensive income(Percentages indicate year-on-year changes.)% Millions of yen(6.3)
3.0

Profit attributable toowners of parent

Ordinary profit% Millions of yen

1,067
1,175(9.2)
4.4

1,112
1,228

% Millions of yen

(9.5)
1.0

For the first three months ended June 30, 2020: ¥1,005 million [68.7%]
For the first three months ended June 30, 2019: ¥595 million [(15.2)%]
Basic earnings
per shareFirst three months ended
June 30, 2020June 30, 2019

Diluted earnings pershareYen

Yen

18.26
21.42––(2) Consolidated financial position
Total assets
As ofJune 30, 2020
March 31, 2020
Reference:EquityNet assets

Millions of yen

Millions of yen

102,686
106,11363,46963,360

As of June 30, 2020:
As of March 31, 2020:

Equity-to-asset ratio
%

58.6
56.6
¥60,139 million¥60,070 million

661
776%

(14.8)
8.7

2. Cash dividends
Annual dividends
First quarter-end
Fiscal year ended
March 31, 2020
Fiscal year ending
March 31, 2021

Second quarter-end Third quarter-endFiscal year-end

Total

Yen

Yen

Yen

Yen

Yen–

13.00

–

23.00

36.00

18.00

–

18.00

36.00

–

Fiscal year ending
March 31, 2021(Forecast)

Note: Revisions to the forecasts of cash dividends most recently announced: None
Breakdown of fiscal year-end dividends for the fiscal year ended March 31, 2020:
Ordinary dividend ¥13.00, 150th anniversary commemorative dividend ¥10.00

3. Consolidated earnings forecasts for the fiscal year ending March 31, 2021 (from April 1, 2020 toMarch 31, 2021)
Net sales

Six months ending
September 30, 2020
Fiscal year ending
March 31, 2021

(Percentages indicate year-on-year changes.)
BasicProfit attributable toOrdinary profit
earnings perowners of parentshare

Operating profit

Millions ofyen%Millions ofyen%Millions ofyen%Millions ofyen%

Yen

66,200

1.5

3,070

0.3

3,130

0.2

1,980

0.6

54.61

139,000

2.8

7,180

0.9

7,260

0.2

4,620

0.7

127.42

Note: Revisions to the consolidated earnings forecasts most recently announced: None

* Notes(1) Changes in significant subsidiaries during the first three months ended June 30, 2020 (changes inspecified subsidiaries resulting in the change in scope of consolidation): None
(2) Application of special accounting for preparing quarterly consolidated financial statements: None
(3) Changes in accounting policies, changes in accounting estimates, and restatement(i) Changes in accounting policies due to revisions to accounting standards and other regulations:None(ii) Changes in accounting policies due to other reasons: None(iii) Changes in accounting estimates: None(iv) Restatement: None
(4) Number of issued shares (common shares)(i) Total number of issued shares at the end of the period (including treasury shares)
As of June 30, 2020

40,707,440 shares

As of March 31, 2020

40,707,440 shares(ii) Number of treasury shares at the end of the period
As of June 30, 2020

4,482,626 shares

As of March 31, 2020

4,482,594 shares(iii) Average number of shares outstanding during the period
For the first three months ended June 30, 2020

36,224,830 shares

For the first three months ended June 30, 201936,249,546 shares* Quarterly financial results reports are exempt from quarterly review conducted by certified publicaccountants or an audit corporation.
* Proper use of earnings forecasts, and other special matters
Forward-looking statements, including the earnings forecasts stated in these materials, are based on
information currently available to Konishi Co., Ltd. (hereinafter the “Company”) and certain
assumptions deemed reasonable. Results may differ materially from the earnings forecasts due to variousfactors. For the assumptions used as the basis for the earnings forecasts and special remarks regarding
the use of the earnings forecasts, please refer to “1. Qualitative information regarding financial resultsfor the first three months (3) Explanation of consolidated earnings forecasts and other forward-lookingstatements” on page 3 of the financial results report (Attached Material).

Konishi Co., Ltd. (4956)

Attached MaterialIndex
1. Qualitative information regarding financial results for the first three months .......................................... 2(1) Explanation of operating results ......................................................................................................... 2(2) Explanation of financial position........................................................................................................ 3(3) Explanation of consolidated earnings forecasts and other forward-looking statements ..................... 3
2. Quarterly consolidated financial statements and significant notes thereto ............................................... 4(1) Consolidated balance sheet ................................................................................................................ 4(2) Consolidated statement of income (cumulative) and consolidated statement of comprehensive
income (cumulative) ........................................................................................................................... 6(3) Notes to quarterly consolidated financial statements ......................................................................... 8Notes on premise of going concern .................................................................................................... 8Notes on significant changes in the amount of shareholders’ equity .................................................. 8Segment information .......................................................................................................................... 8-1-Konishi Co., Ltd. (4956)1. Qualitative information regarding financial results for the first three months(1) Explanation of operating results
During the three months ended June 30, 2020 (the first three months under review), the Japanese
economy saw very harsh conditions due to the stagnation of economic activities in Japan and overseas
affected by the global spread of the novel coronavirus (COVID-19). As for individual consumption,
there have been signs of movement toward recovery following the lifting of the state of emergency.
Regarding industries in which the Company and its subsidiaries (the “Group”) are engaged, the housing
industry continued to see weakening in the number of new housing starts. The civil engineering andconstruction industry saw firm demand for redevelopment in urban areas, for building repair andimprovement work, and for the maintenance and repair of infrastructure such as roads and rail. The
automotive industry saw considerably decreased demand for products such as electrical components
due to production adjustments reflecting the global decline in demand.
As a result, the Group’s business performance for the first three months under review is as follows. Net
sales decreased 6.3% year on year to 29,416 million yen, operating profit decreased 9.2% year on year
to 1,067 million yen, ordinary profit decreased 9.5% year on year to 1,112 million yen, and profit
attributable to owners of parent decreased 14.8% year on year to 661 million yen.
Results by segment are as follows.
(i) Bond (synthetic adhesive)
In the general household field, sales through convenience stores decreased, but sales through home
improvement stores increased.
In the housing-related field, sales of adhesives for interior work decreased due to the decrease of
the number of new housing starts caused by the impact of COVID-19, despite sales of sealingmaterials for repair increased.
In the industrial material field, sales decreased due to the entire sluggish performance of adhesives
such as water-based adhesives for use in paper-related application, and elastic adhesives for use insuch applications as automotive and electrical components.
As a result of the above, net sales decreased 9.7% year on year to 10,802 million yen and operating
profit decreased 20.8% year on year to 685 million yen.
(ii) Civil Engineering and Construction
In the construction field, sales of materials used in building repair and in methods to prevent
detachment from exterior walls, and sales of sealing materials for construction decreased as eachwork project has been suspended due to the impact of COVID-19.
In the civil engineering field, sales increased due to the strong performance of methods for surface
protection and for preventing detachment, and continuous fiber sheet reinforcement methods.
In the Civil Engineering and Construction Business, sales increased due to the steady performanceof repair, improvement, and reinforcement works in the infrastructure, particularly for public
works, and used building markets.
As a result of the above, net sales increased 11.0% year on year to 6,592 million yen and operating
profit increased 104.0% year on year to 252 million yen.
(iii) Chemicals
In the chemical engineering field, sales of ethanol-related products significantly increased, despitesluggish sales of resin materials.
The automotive field saw sluggish performance of products used in automotive electricalcomponents due to global decline in demand for automobiles caused by the impact of COVID-19,-2-Konishi Co., Ltd. (4956)

and sales significantly decreased. In addition, sales decreased in the electronic and electrical field,and coating materials field.
MARUYASU & CO., LTD. saw an increase in sales due to the recovery of products for use incapacitors which had been sluggish until the previous fiscal year, and the strong performance ofraw ingredients for health foods.
As a result of the above, net sales decreased 10.9% year on year to 11,958 million yen andoperating profit decreased 39.5% year on year to 80 million yen.
(iv) OtherThe Other segment represents the Real Estate Rental Business. Net sales decreased 5.6% year onyear to 62 million yen and operating profit decreased 24.0% year on year to 47 million yen.
(2) Explanation of financial position
Assets, liabilities and net assets
Total assets as of June 30, 2020 decreased by 3,427 million yen from the previous fiscal year-end to102,686 million yen.
(i) Assets
Current assets decreased by 4,077 million yen from the previous fiscal year-end to 69,427 million
yen mainly due to a decrease of 5,065 million yen in notes and accounts receivable - trade, despite
an increase of 510 million yen in merchandise and finished goods. Non-current assets increased by
649 million yen from the previous fiscal year-end to 33,259 million yen mainly due to an increaseof 457 million yen in investment securities and an increase of 415 million yen in property, plantand equipment.
(ii) Liabilities
Current liabilities decreased by 3,734 million yen from the previous fiscal year-end to 34,111
million yen mainly due to a decrease of 1,933 million yen in notes and accounts payable - trade, adecrease of 1,047 million yen in income taxes payable, and a decrease of 491 million yen inprovision for bonuses. Non-current liabilities increased by 197 million yen from the previous fiscal
year-end to 5,105 million yen mainly due to an increase of 220 million yen in other.
(iii) Net assets
Net assets increased by 109 million yen from the previous fiscal year-end to 63,469 million yen
mainly due to an increase of 275 million yen in valuation difference on available-for-sale securities,
despite a decrease of 171 million yen in retained earnings.
(3) Explanation of consolidated earnings forecasts and other forward-looking statements
At this time, the earnings forecasts are unchanged from the forecasts announced in April 30, 2020. If arevision to the earnings forecasts becomes necessary in the future due to the spread of the impact ofCOVID-19, we will promptly disclose it.

-3-Konishi Co., Ltd. (4956)

2. Quarterly consolidated financial statements and significant notes thereto(1) Consolidated balance sheet(Millions of yen)
As of March 31, 2020
AssetsCurrent assets
Cash and deposits
Notes and accounts receivable - trade
Electronically recorded monetary claims operating
Securities
Merchandise and finished goods
Work in process
Raw materials and supplies
Costs on construction contracts in progress
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-

As of June 30, 2020

23,027
37,14023,32932,075

3,862

3,777

295
6,502
205
1,054
343
1,114(43)73,504

–
7,012
269
1,167
654
1,182(42)69,42723,365
1,050

23,781
968

5,929
2,281
(18)
8,193
32,609106,1136,387
2,140(18)8,509
33,259102,686

Konishi Co., Ltd. (4956)(Millions of yen)
As of March 31, 2020
Liabilities
Current liabilities
Notes and accounts payable - trade
Electronically recorded obligations - operating
Short-term borrowings
Current portion of long-term borrowings
Income taxes payable
Provision for bonuses
Provision for bonuses for directors (and otherofficers)
Other
Total current liabilities
Non-current liabilities
Long-term borrowings
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 income
Valuation difference on available-for-salesecurities
Deferred gains or losses on hedges
Foreign currency translation adjustmentRemeasurements of defined benefit plans
Total accumulated other comprehensive income
Non-controlling interests
Total net assets
Total liabilities and net assets-5-

As of June 30, 2020

28,195
3,733
95
216
1,251
1,079

26,262
3,527
110
38
204
587

106

28

3,165
37,845

3,352
34,111

244
1,225
3,438
4,907
42,753

220
1,226
3,658
5,105
39,216

4,603
4,513
54,184(4,599)58,701

4,603
4,513
54,012(4,599)58,529

1,392

1,668

(0)
16(38)
1,369
3,289
63,360106,113

(0)
(42)
(15)
1,610
3,330
63,469102,686

Konishi Co., Ltd. (4956)(2) Consolidated statement of income (cumulative) and consolidated statement of comprehensive
income (cumulative)
Consolidated statement of income (cumulative)(Millions of yen)Three months ended
June 30, 2019
Net sales
Cost of sales
Gross profit
Selling, general and administrative expenses
Operating profit
Non-operating income
Interest income
Dividend income
Share of profit of entities accounted for using equity
methodOther
Total non-operating income
Non-operating expenses
Interest expenses
Sales discounts
Foreign exchange losses
Share of loss of entities accounted for using equity
methodOther
Total non-operating expenses
Ordinary profit
Extraordinary income
Gain on sales of non-current assets
Total extraordinary income
Extraordinary losses
Loss on disposal of non-current assets
Loss on valuation of investment securities
Total extraordinary losses
Profit before income taxes
Income taxes - current
Income taxes - deferred
Total income taxes
ProfitProfit attributable to non-controlling interests
Profit attributable to owners of parent-6-

Three months ended
June 30, 2020

31,39826,184
5,213
4,038
1,175

29,41624,497
4,918
3,851
1,067

290

290

1–

46141

42
136

349
18

3
50
5–

15

16
88
1,228

1791
1,112––

3
30
0
1
1,227
198
212
411
816
40
776

12
11
23
1,091
167
216
383
708
46
661

Konishi Co., Ltd. (4956)

Consolidated statement of comprehensive income (cumulative)(Millions of yen)Three months ended
June 30, 2019
ProfitOther comprehensive income
Valuation difference on available-for-sale securities
Deferred gains or losses on hedges
Foreign currency translation adjustment
Remeasurements of defined benefit plans, net of tax
Share of other comprehensive income of entities
accounted for using equity method
Total other comprehensive income
Comprehensive income
Comprehensive income attributable toComprehensive income attributable to owners ofparent
Comprehensive income attributable to noncontrolling interests-7-

Three months ended
June 30, 2020

816

708

(260)
048(2)

334
0(57)
23(6)

(3)

(220)
595

297
1,005

593

901

2103

Konishi Co., Ltd. (4956)(3) Notes to quarterly consolidated financial statements
Notes on premise of going concern
Not applicable.
Notes on significant changes in the amount of shareholders’ equity
Not applicable.
Segment information
1. Disclosure of net sales and profit or loss by reportable segment
Three months ended June 30, 2019
(Millions of yen)
Reportable segments

Amount inconsolidated
statement ofincome(Note) 3

Total

Adjustments

Total

Other(Note) 1

13,426

31,331

66

31,398–31,398

67

22

279

21300

(300)

–

12,154

6,008

13,44831,61187

31,698(300)

31,398

865

123

133

1,122

62

1,185

(10)

1,175

Bond

Civil
EngineeringandConstruction

Chemicals(1) Revenues fromexternal customers

11,9645,940(2) Intersegment salesand transfers

189

Total
Segment profit(Note) 2

Net sales

Notes: 1. The “Other” category is a business segment not included in reportable segments, and includes the real estate
rental business.
2. Adjustments of segment profit represent eliminations for intersegment transactions.
3. Segment profit is adjusted with operating profit in the consolidated statement of income.

Three months ended June 30, 2020
(Millions of yen)
Reportable segments
Bond

CivilEngineeringandConstruction

Chemicals

TotalOther(Note) 1

Total

Adjustments(Note) 2

Amount inconsolidated
statement ofincome(Note) 3

Net sales(1) Revenues fromexternal customers

10,802

6,592

11,95829,35362

29,416–

29,416(2) Intersegment sales
and transfers

158

2230

211

21232

(232)

–

Total

10,961

6,614

11,98929,56484

29,648(232)

29,416

Segment profit

685

252

80

1,018

47

1,066

1

1,067

Notes: 1. The “Other” category is a business segment not included in reportable segments, and includes the real estate
rental business.
2. Adjustments of segment profit represent eliminations for intersegment transactions.
3. Segment profit is adjusted with operating profit in the consolidated statement of income.

2. Disclosure of impairment loss on non-current assets or goodwill, etc. by reportable segment
Not applicable.

-8-