For the Fiscal Year Ended March 31, 2019

Annual Select® 2019

SUN-WA TECHNOSCORPORATIONTokyo Square Garden, 3-1-1, Kyobashi,
Chuo-ku, Tokyo 104-0031 JAPAN(Securities Code: 8137)+81-3-5202-4011

Corporate Profile
When it was founded in 1949, Sun-Wa Technos Corporation responded to the demands of that era, during
which Japan was rebuilding its industrial capacity following World War II. Ever since then, our main
business has been the sale of technology products—such as industrial systems and machinery, electricmotors, and control equipment—and associated contracting work. With the subsequent structural changes
in Japanese industry, however, we extended into new business fields, including electrical products,
electronic components, and computer systems related to factory automation (FA systems*1), and as society
has become more information-driven, our business activities have evolved to encompass the sale ofindustrial systems and devices, equipment, and electronic components. During that time, however, we haveconsistently dedicated ourselves to our customers’ development as a technology trading company that puts
customers first, delivers engineering services, and provides up-to-date technical information.
Since establishing an overseas base in Singapore in 1995, the Sun-Wa Group has now established a total of
25 bases in 11 countries. Aiming to expand and develop its non-Japan business, the Group makes a selling
point of providing the same level of service it provides in Japan when assisting Japanese customers moving
into overseas markets, while at the same time cultivating local companies overseas as new customers.
We are currently in the process of establishing the Sun-Wa global network, thereby helping to reduceoverall costs for customers by offering services including acting as a procurement agency (global SCM[supply chain management] solutions) to streamline the process from inventory procurement to distribution.
We also operate a business that develops outstanding products overseas and supplies them to customers
inside and outside Japan.
*1 Factory automation

I. Summary of Selected Financial Data (Consolidated)

Net sales

67th fiscal year

68th fiscal year

69th fiscal year

70th fiscal year

71st fiscal year

From April 1, 2014
to March 31, 2015

From April 1, 2015
to March 31, 2016

From April 1, 2016
to March 31, 2017

From April 1, 2017
to March 31, 2018

From April 1, 2018
to March 31, 2019

111,276

105,748

116,611

146,759

145,410

3,761

2,645

3,215

4,349

3,627

2,466

1,690

1,584

3,085

2,628

3,642

713

2,142

4,744

1,253

21,951

22,26323,63727,993

31,94458,74855,43964,816

77,254

74,114

1,529.00

1,550.73

1,705.66

2,020.05

1,991.19

171.83117.76113.64222.65164.08

–

–

–

–

–

37.4

40.2

36.5

36.2

43.1

12.2

7.6

6.9

12.0

8.8

6.8

6.0

9.9

8.5

5.3

1,353

(60)

1,679

(2,221)

1,636

(444)

(384)

(235)

29

(153)

(470)

(654)

(818)

3,962

28

7,100

5,875

6,275

8,112

9,521

841

857

888

957

994

(Millions of yen)

Ordinary profit(Millions of yen)

Profit attributable to ownersof parent(Millions of yen)Comprehensive income(Millions of yen)

Net assets(Millions of yen)

Total assets(Millions of yen)

Net assets per share(Yen)

Basic earnings per share(Yen)

Diluted earnings per share(Yen)

Equity ratio(%)

Return on equity (ROE)(%)

Price earnings ratio (PER)(Times)Net cash provided by (usedin) operating activities(Millions of yen)

Net cash provided by (usedin) investing activities(Millions of yen)

Net cash provided by (usedin) financing activities(Millions of yen)

Cash and cash equivalents at
end of period(Millions of yen)

Number of employees(Persons)

Notes: 1.
2.
3.

Net sales do not include consumption taxes.
Diluted earnings per share are not provided since there are no potential shares.
The Group has applied the “Partial Amendments to Accounting Standard for Tax Effect Accounting” (ASBJ Statement No. 28,
February 16, 2018) and relevant Guidances effective from the beginning of the 71st fiscal year. Related principal management
benchmarks for the 70th fiscal year have been adjusted to reflect the retrospective application of these accounting standards.

- 1 -II. Message from the President
Based on a strategy that anticipates technological innovation and changing times, welaunched our tenth medium-term management plan NEXT 1800
Our operating results for the year ended March 31, 2019
faced challenging business conditions. In the industrial
electronics and mechatronics industries, focus fields in the
Company’s business, smartphone-related demand ran its
course. Additionally, delays in capital investment related tofactory automation (FA), a mainstay of business especiallyin China, also began to materialize due to trade friction
between the US and China. Both consolidated net sales andordinary profit fell year-on-year. However, net sales in thefiscal year under review, the final fiscal year of the ninth
medium-term management plan Challenge 1500, only
experienced a minor decline. This was due to growth in thein-vehicle equipment market and the fact that Sun-Wa
Technos recorded the highest net sales ever in Japan.

Hiroyuki Tanaka
President and Representative Director

Moreover, overall Challenge 1500 missed its targets. While
increased demand in industrial fields starting withsemiconductor manufacturing devices and automobiles led
us to largely exceed net sales targets in the second and final
years of the plan, ordinary profit slowed in the second halfof the plan due to up-front investment and unexpectedchanges in global economic conditions. We will continue towork to enhance profitability.

Challenge 1500: building a next-generation growth platform
In Challenge 1500, our ninth medium-term management plan that concluded this March, centered onenhancing our core electrical machinery, electronics, and general machinery businesses, we have built andpolished a platform made up of our engineering business, which supports enhanced innovation in
manufacturing, as well as our global SCM solutions business. In the engineering business, we are confident
that those efforts will begin to be reflected in our numbers and to produce results from this fiscal year.
Furthermore, in the global SCM solutions business, we provided customer-focused services including
purchasing, operations, distribution, and warehousing agency using the Company’s management
infrastructure mainly in China. Additionally, our local procurement agency business, offered whencustomers migrate manufacturing locations, was well received. With trade friction materializing between
the US and China, we accumulated the experience and knowhow to support future migrations to new
manufacturing locations outside of China, such as in Vietnam, Thailand, and Mexico.
In the current fiscal year, we will work to further enhance corporate value by making full use of thebusiness base built in Challenge 1500. This includes our in-house IT infrastructure SIS2018, which began
full operations this year, the migration of the Nagoya Service Center this January, and our “NewDistribution System,” which began full operations in April.

Envisioning the future of industry and society, we will follow four policies in implementing
NEXT 1800
Centered on project teams comprised of the mid-level employees responsible for the next generation, while
sharing an awareness of the business conditions and the vision of SUN-WA VISION 2025, in the current
fiscal year we launched the tenth medium-term management plan NEXT 1800, formulated after careful
evaluation (see page four for details).
The strategy outlined in NEXT 1800 aims to connect to the next stage of growth. The plan anticipates
automation and the transition to AI in manufacturing, which will further progress going forward, newinvestment in the world of industry with the introduction of 5G (fifth-generation mobile communications- 2 -system), for which METI expects an economic effect of close to ¥50 trillion, and changes in the automobile
industry such as CASE*2.
The first policy in NEXT 1800 is “contributing to customers’ manufacturing by enhancing corebusinesses.” We are positioning three businesses as core businesses, and by further evolving thosebusinesses, we will contribute to our customers’ manufacturing. Those three businesses are the agency
business as well as the engineering business and the global SCM solutions business, for which we built abusiness base in Challenge 1500. In the global SCM solutions business, this April we launched a
specialized division to integrate operations, as we work to strengthen the system for our migration businessfor manufacturing locations, which will experience further growth going forward. In the engineeringbusiness, we will utilize the personnel and systems we have built and improved upon, leading theenhancement of the Group’s profitability through the creation of added value that combines diverse producttechnologies.
The second policy is “expanding global business and supporting market demand.” Here, we will work to
supplement demand through business localization by developing local managers at overseas businesslocations while working to build the foundation of a truly global company. One of our policy measures here
is a plan to launch a training system in Japan to educate local employees from our global locations. We will
also consider opening new locations.
In NEXT 1800, we will implement policy measures to create the future of society and manufacturing froma long-term perspective. To these ends, the third policy is “rising to the challenge of new business fields
and accelerating sustainable growth.” In this policy, we aim to create new businesses in an age of both new
future technologies that will change society and a manufacturing revolution. Through the introduction of
our intrapreneur (internal entrepreneur) policy measure, we will rise to the challenge of new businesses anddevelop management personnel. Furthermore, we are also developing policy measures that consider the
possibility of investment in new businesses with an eye toward the future.
The fourth policy is “initiatives to realize a sustainable society.” This policy encompasses under theconcept of “SDGs*3” the environmental and energy-saving activities that had been pursued previously by
individual organizations. Those activities include acquiring certifications including international standards
related to environmental management (ISO14001), promoting health and productivity management, andenvironmental businesses starting with solar power generating equipment. We aim to boost awarenessamong our employees of the social contributions made through our business and align the company-wide
vector as we move forward. As the same time, premised on compliance, we will work to increase
productivity through the promotion of work-style reforms and the use of ICT and to further enhance
corporate value.
*2 Connected, Autonomous, Shared and Electric*3 “Sustainable Development Goals.” International goals for 2030 established in the “2030 Agenda for
Sustainable Development” adopted at the United Nations summit held in September 2015.

Making full use of our organizational strength, in the first year of the plan we will steadily
implement policy measures
In the first fiscal year of NEXT 1800, we will work to produce results from the launch of the Global SCM
Solutions Division mentioned above. Additionally, by visualizing delivery data in our new distribution
system, we will promote thorough cost reductions and work to optimize our supply chain together with ourcustomers and suppliers.
In recent years, the Company has been implementing organizational reforms aimed at optimizing
businesses by industry, customer, and region as we aim to further enhance our service. This April, we
launched the “Tokyo Sales Division,” integrating the electrical machinery, electronics, and generalmachinery fields similarly to our branches in the large-scale business region of Tokyo. Based on a regionspecific sales system rather than the previous product-specific system, we will exercise our expertise invarious product technology fields based on a close connection to the community. We wish to produce
prompt results from the strong sales system we have created that covers the Kanto region through the KitaKanto Branch, which also launched in April, and the Tokyo-Nishi Branch and Yokohama Branch.
Going forward as well, we aim to be a company that is attractive both to our customers and the employeesthat work there, and one that constantly stays one step ahead of the changing times to continuously enjoy
stable growth.

- 3 -Tenth Medium-Term Management Plan (FY2019-FY2021)

SUN-WA VISION 2025
Sun-Wa Group: Creating a Bright Future♦ Numerical Management Targets
Electrical
Machinery

Agency Business(Millions of yen)

FY2025
FY2021¥180 billion ¥250 billion

FY2019FY2020

FY2021Engineering BusinessElectronics

Net sales

Global SCM
Solutions Business
GeneralMachinery

FY2019 - Our 70th Anniversary and Beyond
We continue to evolve and accelerate growth as anindependent technology trading company.

150,000

165,000

180,000

Operating profit

3,100

3,800

4,800

Ratio of operating
profit to net sales

2.1%

2.3%

2.7%

Ordinary profit

3,300

4,000

5,000

Ratio of ordinary
profit to net sales

2.2%

2.4%

2.8%

♦ Policy
 Contributing to customers’ manufacturing byenhancing core businesses Expanding global business and supporting market
demand Rising to the challenge of new business fields andaccelerating sustainable growth Initiatives to realize a sustainable society- 4 -III. Financial Highlights
Net Sales

Operating Profit¥145,410 million¥3,410 million

down ¥1,348 million YoY

down 0.9% YoY
146,759

down ¥721 million YoY(Millions of yen)

Ye ar end

4,349

3,085

3,410

116,611(Millions of yen)

Ye a r end

down 14.8% YoY

down 16.6% YoY

4,135

down ¥457 million YoY(Millions of yen)

Yea r end

down 17.5% YoY

145,410¥2,628 million¥3,627 million

down ¥725 million YoY(Millions of yen)

Yea r end

Profit Attributable to Ownersof Parent

Ordinary Profit

2,628

3,627

3,014

3,215
1,584

69th
70th
71st
(FY2016) (FY2017) (FY2018)

69th
70th
71st
(FY2016) (FY2017) (FY2018)

69th
70th
71st
(FY2016) (FY2017) (FY2018)

69th
70th
71st
(FY2016) (FY2017) (FY2018)

Net Assets per Share /Equity Ratio

Orders Received / Order Backlog

Ratio of Ordinary Profit
to Net Sales

Net assets per share ¥1,991.19
Equity ratio
43.1%
Net assets per share
Equi ty ratio

down 1.4%
up

(Yen)
(%)

Orders received ¥143,848 million
Order backlog¥26,046 million
YoY cha nge orders received
YoY cha nge orders backlog(Millions of yen)

YoY

Orders received

Ra ti o of ordinary profit to net sales (%)

down 0.5 points YoY

down 6.3% YoY

1,991.19
153,527

1,705.66
43.1
36.5

Orders backlog

down 5.7% YoY

6.9 points YoY
2,020.05

2.5 %Down ¥9,679 million
Down ¥1,561 million

143,848

120,863

2.8

36.2

3.0
2.5

20,839

69th
70th
71st
(FY2016) (FY2017) (FY2018)

27,60826,046

69th
70th
71st
(FY2016) (FY2017) (FY2018)

- 5 -

69th
70th
71st
(FY2016) (FY2017) (FY2018)

Financial highlights
In the fiscal year under review, the Japanese economy, amid a trend of ongoing improvement in
employment and income conditions, was experiencing a moderately paced recovery underpinned bypositive effects emerging from various government policies. However, emerging weaknesses can beobserved in some sectors of exports and industrial production due to the impact of situations over tradeissues on the world economy, the prospect of the Chinese economy and the uncertainty of situations andpolicies in overseas economies.
In the industrial electronics and mechatronics industries serviced by the Sun-Wa Group, in addition tosmartphone-related demand running its course, factors such as US-China trade friction have created acautious stance toward capital investment among manufacturing companies.
In this environment, the Sun-Wa Group continued to push ahead with the key measures in the final year of
its ninth medium-term management plan (Challenge 1500). Despite our efforts to add engineering
capabilities and global SCM solutions, which support enhanced innovation in manufacturing, to our corebusinesses, which incorporate state-of-the-art technology and outstanding product information in theelectrical machinery, electronics, and general machinery fields, in order to generate new value as a globally
active, independent-technology trading company, our operating results for the fiscal year under review fell
short of the previous year’s result.

Outlook for the Fiscal Year ending March 31, 2020
As for our outlook for the next fiscal year, amid continued improvement in employment and income
conditions, while the economy is expected to gradually recover, there is concern over the effects of USChina trade friction and the issue of the UK’s departure from the EU, and we expect uncertain economic
conditions to continue.

Consolidated earnings forecasts for the year ending March 31, 2020
Net sales¥150,000 million(up 3.2% year-on-year)

Operating profit¥3,100 million(down 9.1% year-on-year)

Ordinary profit
Profit attributable to ownersof parent
Basic earnings per share¥3,300 million(down 9.0% year-on-year)¥2,400 million(down 8.7% year-on-year)¥149.60

Note: Earnings projections are based on information available to the Company as of May 10, 2019. Actual results may differ from the
projections presented here due to various factors.

- 6 -IV. Business Segment Information
Electrical Machinery

Net Sales¥24,569 million
down ¥2,597 million YoY(Millions of yen)down 9.6% YoY
20,736

Proportion
Proportion ofof total net sales

16.9%

69th
(FY2016)

27,166

24,56970th(FY2017)

71st(FY2018)

The Electrical Machinery Department saw an increase in salesof electrical products used in automobile-related industry.
However, sales of electrical products used in FPD (Flat Panel
Display)-related industry and the industrial machinery industry
decreased.

Main Products
AC servo motors, linear motors and various other motors, inverters, machine controllers,machine vision systems, clean room robots and vacuum chamber robots for semiconductor
manufacturing devices, power conditioners, power substations and other facility works, etc.

Electronics

Net Sales¥109,370 million
down ¥1,065 million YoY(Millions of yen)down 1.0% YoY
85,819Proportion
Proportion ofof total
total net sales
sales

75.2%

69th
(FY2016)

110,436

109,370

70th(FY2017)

71st(FY2018)

AC servo motors

The Electronics Department saw increases in sales ofelectronic components for the automobile-related industry andthe amusement field. However, sales of electronic components
and electronic equipment used in the industrial machineryindustry decreased.

Main Products
Various electronic components and equipment including power supplies, connectors,
semiconductors, sensors, miniature fans, LEDs (Light Emitting Diodes), LCDs (Liquid
Crystal Displays), touch panels, industrial PCs, CPU boards, memory modules, etc.

General Machinery

Net Sales¥11,470 million
up ¥2,314 million YoY

DiodeThe General Machinery Department saw increases in sales ofequipment for the industrial machinery industry and metal
products industry, but a decrease in sales of equipment for
FPD-related industry.

(Mil lions of yen)

up 25.3% YoY

Proportion ofof total net sales

7.9%

10,0559,156

69th(FY2016)

70th(FY2017)

11,47071st(FY2018)

Main Products
Semiconductor-related manufacturing equipment, industrial robots, clean room robots forconveying liquid crystal panels, substrate-related devices, conveying devices for logistics,
wind- and hydro-power equipment, air conditioners and kitchen facilities, environmental
protection equipment and devices, various inspection devices, medical equipment, etc.

- 7 -Double arm robot

V. Reportable Segment Information(Millions of yen)
Net sales
Operating profit

Japan

Net sales ¥115,993 million (up ¥990 million YoY)

up 0.9% YoY

Operating profit ¥1,939 million (down ¥394 million YoY)

115,002

115,993

2,165

2,333

1,939

69th

70th
(FY2017)

71st(FY2018)

92,213

Proportion
Proportion ofof total
total net
net sales

71.8% (FY2016)

There were increases in sales of electrical products andelectronic components for the automobile-related industry,and sales of equipment for the industrial machinery industry
and metal products industry. However, sales decreased forelectrical products and equipment for FPD-related industry,and electrical products, electronic components andelectronic equipment for the industrial machinery industry.

Net sales ¥37,188 million (down ¥2,302 million YoY)
Operating profit ¥1,208 million (down ¥280 million YoY)
In the Asia region, sales of production equipment for theindustrial machinery industry increased, but sales ofelectrical products and electronic components decreased.

(Millions of yen)
Net sales
Operating profit

Europe andthe United States

down 8.8% YoY
8,865
6,323

In Europe and the United States, there were increases insales of electronic components for the industrial machineryindustry, and those used in the amusement field. However,sales of electrical products used in FPD-related industry
decreased.

8,084

310

254

14

69th

Proportion ofof total net
net sales
sales

4.2% (FY2016)

70th(FY2017)

71st(FY2018)(Millions of yen)
Net sales
Operating profit

Other*

up 15.1% YoY
1,689

1,506

25
(20)

Proportion
Proportion ofof total net sales
sales

0.6%

69th
(FY2016)

70th(FY2017)

Net sales ¥8,084 million (down ¥780 million YoY)
Operating profit ¥254 million (down ¥56 million YoY)

1,733

Net sales ¥1,733 million (up ¥226 million YoY)
Operating profit ¥3 million (up ¥23 million YoY)
* The “Other” segment includes businesses not included inreportable segments, including the operations of somedomestic subsidiaries.

3

71st(FY2018)

Notes: 1. Each proportion of total net sales is based on sales to external customers.
2. Regional segment sales shown above include internal sales among segments as well as amounts transferred toother segments.

- 8 -VI. Sun-Wa Global Network
Japan
SUN-WA TECHNOS CORPORATION
Nagano Sales Office
Hokuriku Sales Office (Toyama-shi)
Kyoto BranchTokyo-Nishi Branch (Hachioji-shi)

Kansai OfficeKita-Kanto Branch (Saitama-shi)

Osaka Branch
Himeji Sales Office

Tohoku Sales Office (Sendai-shi)

Hiroshima Sales Office

Fukuoka Branch

Head Office
Kanto Office

Kumamoto Sales Office
Nagasaki Sales Office

Tokyo Service Center
Yokohama Branch
Numazu Sales Office

Nagoya Service Center
Mie Sales Office
Oita Sales Office
Kyushu Service Center

Hamamatsu Sales Office

Mikawa Branch(Kariya-shi)

Nagoya Office

SUN-WA TRINITY CORPORATION
SUN-WA LOGISTICS CO., LTD.

Europe
SUN-WA TECHNOS (EUROPE) GmbH
Frankfurt

United States / Mexico

Ljubljana

Greenville(South Carolina)

ChicagoQueretaro

Los Angeles

SUN-WA TECHNOS AMERICA, INC.
SUN-WA TECHNOS MEXICO S.A. DE C.V.

China / Hong Kong / Taiwan
Tianjin

ASEAN

DalianShenyangHanoi

SuzhouShenzhen
Guangzhou

Shanghai
Shanghai Mechatronics
CentreHangzhouTaipeiTaichung
TainanHong Kong
Hong Kong Logistics Center

ManilaBangkok
Kuala Lumpur
Singapore
Jakarta
SUN-WA TECHNOS (SINGAPORE) PTE LTD.
SUN-WA TECHNOS (MALAYSIA) SDN. BHD.
SUN-WA TECHNOS ASIA (THAILAND) CO., LTD.
PT. SUNWA TECHNOS INDONESIA
SUN-WA TECHNOS (PHILIPPINES), INC.
SUN-WA TECHNOS (VIETNAM) CO., LTD.

SUN-WA TECHNOS (H.K.) CO., LTD.
SUN-WA TECHNOS (TAIWAN) CO., LTD.
SHANGHAI SUN-WA TECHNOS CO., LTD.
SUN-WA TECHNOS (SHENZHEN) CO., LTD.

https://www.sunwa.co.jp/- 9 -VII. Consolidated Financial Statements(1) Consolidated Balance Sheets(Millions of yen)

AssetsCurrent assets
Cash and deposits
Notes and accounts receivable - trade
Electronically recorded monetary claims operating
Merchandise and finished goods
Work in process
Other
Allowance for doubtful accounts
Total current assets
Non-current assets
Property, plant and equipment
Buildings and structures
Accumulated depreciation
Buildings and structures, net
Land
Leased assets
Accumulated depreciation
Leased assets, net
Other
Accumulated depreciation
Other, net
Total property, plant and equipment
Intangible assets
Other
Total intangible assets
Investments and other assets
Investment securities
Deferred tax assets
Other
Allowance for doubtful accounts
Total investments and other assets
Total non-current assets
Total assets- 10 -

As of March 31, 2018

As of March 31, 2019

8,596
39,756

10,00537,050

6,321

5,206

10,148
4
1,152
(128)
65,852

11,07215989(131)64,2092,348(1,616)
731
1,920
841
(595)
246
492
(386)
106
3,005

1,770
(1,132)
637
1,807
480
(201)
278
496
(359)
137
2,861

168
168

143
143

7,078
27
1,174
(52)
8,227
11,401
77,254

5,679
28
1,283
(90)
6,900
9,905
74,114

(Millions of yen)

Liabilities
Current liabilities
Notes and accounts payable - trade
Electronically recorded obligations - operating
Short-term loans payable
Current portion of long-term loans payable
Lease obligations
Income taxes payable
Accrued expenses
Other
Total current liabilities
Non-current liabilities
Long-term loans payable
Lease obligations
Deferred tax liabilities
Long-term accounts payable - other
Provision for retirement benefits for directors(and other officers)
Retirement benefit liability
Total non-current liabilities
Total liabilities
Net assets
Shareholders’ equity
Capital stock
Capital surplus
Retained earnings
Treasury shares
Total shareholders’ equity
Accumulated other comprehensive income
Valuation difference on available-for-salesecurities
Foreign currency translation adjustment
Total accumulated other comprehensive income
Total net assets
Total liabilities and net assets- 11 -

As of March 31, 2018

As of March 31, 201918,49215,806
4,522
1,200
82
583
1,596
793
43,077

17,227
14,200
3,205
600
102
175
1,144
544
37,199

3,500
186
932
613

2,900
202
667
226

76

85

872
6,182
49,260887
4,970
42,1692,553
1,958
19,647(428)
23,731

3,727
3,548
21,781(0)
29,056

3,665

2,675

596
4,262
27,993
77,254212
2,888
31,944
74,114

(2) Consolidated Statements of Income andConsolidated Statements of Comprehensive Income(Consolidated Statements of Income)(Millions of yen)
Fiscal year ended
March 31, 2018
Net sales
Cost of sales
Gross profit
Selling, general and administrative expenses
Operating profit
Non-operating income
Interest income
Dividend income
Purchase discounts
House rent income
Subsidy income
Other
Total non-operating income
Non-operating expenses
Interest expenses
Loss on sales of notes receivable - trade
Share issuance cost
Loss on sales of accounts receivable
Foreign exchange losses
Other
Total non-operating expenses
Ordinary profit
Extraordinary income
Gain on sales of non-current assets
Gain on sales of investment securities
Total extraordinary income
Extraordinary losses
Loss on sales of non-current assets
Impairment loss
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 owners of parent- 12 -

Fiscal year ended
March 31, 2019

146,759
129,875
16,883
12,7474,135

145,410129,092
16,31812,908
3,410

13
85
62
112
1
79
355

19
104
64
131
70
81
471

56
0
–
26
37
21
142
4,349

97
–
19
41
55
39
253
3,627

–
91
91

4
–
4

–
51
–
51
4,389
1,308
(4)
1,304
3,085
3,085

35
–
10
46
3,585
789
167
957
2,628
2,628

(Consolidated Statements of Comprehensive Income)(Millions of yen)
Fiscal year ended
March 31, 2018
ProfitOther comprehensive income
Valuation difference on available-for-sale securities
Foreign currency translation adjustment
Total other comprehensive income
Comprehensive income
Comprehensive income attributable toComprehensive income attributable to owners ofparentComprehensive income attributable to noncontrolling interests- 13 -

Fiscal year ended
March 31, 2019

3,085

2,628

1,530
128
1,659
4,744

(990)
(383)
(1,374)
1,253

4,744

1,253

–

–

(3) Consolidated Statements of Changes in Equity
Fiscal year ended March 31, 2018
(Millions of yen)
Shareholders’ equity
Capital stock
Balance at beginning of current
period2,553

Capital surplus

Retained earnings

1,958

16,950Treasury shares(427)

Total shareholders’equity21,034

Changes of items during period
Dividends of surplus

(388)

(388)

Profit attributable to ownersof parent

3,085

3,085

Purchase of treasury shares

(0)

(0)

Net changes of items otherthan shareholders’ equity
Total changes of items during
periodBalance at end of current period

–

–

2,697

(0)

2,696

2,553

1,958

19,647(428)

23,731

Accumulated other comprehensive income
Valuationdifference on
available-for-salesecurities
Balance at beginning of current
period2,134Foreign currencytranslation
adjustment
468

Total accumulated
othercomprehensive
income2,603

Total net assets

23,637

Changes of items during period
Dividends of surplus(388)

Profit attributable to ownersof parent

3,085

Purchase of treasury shares(0)

Net changes of items otherthan shareholders’ equity

1,530

128

1,659

1,659

Total changes of items during
period

1,530

128

1,659

4,356

Balance at end of current period

3,665

596

4,262

27,993- 14 -

Fiscal year ended March 31, 2019
(Millions of yen)
Shareholders’ equity
Capital stock
Balance at beginning of current
periodCapital surplus

2,553

1,958

1,174

1,171

Retained earnings
19,647

Treasury shares(428)

Total shareholders’equity23,731

Changes of items during period
Issuance of new shares

2,345

Dividends of surplus

(494)

(494)

Profit attributable to ownersof parent

2,628

2,628

Purchase of treasury shares
Disposal of treasury shares

418

(0)

(0)

427

845

Net changes of items otherthan shareholders’ equity
Total changes of items during
period

1,174

1,590

2,134

427

5,325

Balance at end of current period

3,727

3,548

21,781(0)

29,056

Accumulated other comprehensive income
Valuationdifference on
available-for-salesecurities
Balance at beginning of current
period3,665

Foreign currencytranslation
adjustment
596

Total accumulated
othercomprehensive
income4,262

Total net assets

27,993

Changes of items during period
Issuance of new shares

2,345

Dividends of surplus(494)

Profit attributable to ownersof parent

2,628

Purchase of treasury shares(0)

Disposal of treasury shares

845

Net changes of items otherthan shareholders’ equity

(990)

(383)

(1,374)(1,374)

Total changes of items during
period

(990)

(383)

(1,374)

3,950

Balance at end of current period

2,675

212

2,888

31,944- 15 -

(4) Consolidated Statements of Cash Flows(Millions of yen)
Fiscal year ended
March 31, 2018
Cash flows from operating activities
Profit before income taxes
Depreciation
Impairment loss
Increase (decrease) in retirement benefit liability
Increase (decrease) in allowance for doubtful
accounts
Interest and dividend income
Interest expenses
Foreign exchange losses (gains)
Loss (gain) on sales of investment securities
Loss (gain) on valuation of investment securities
Loss (gain) on sales of property, plant and equipment
Decrease (increase) in notes and accounts receivable- tradeDecrease (increase) in inventories
Decrease (increase) in other assets
Increase (decrease) in notes and accounts payable trade
Increase (decrease) in accrued consumption taxes
Increase (decrease) in other liabilities
Other, net
SubtotalInterest and dividend income received
Interest expenses paid
Income taxes paid
Net cash provided by (used in) operating activities
Cash flows from investing activities
Purchase of property, plant and equipment
Proceeds from sales of property, plant and equipment
Purchase of investment securities
Proceeds from sales of investment securities
Other, net
Net cash provided by (used in) investing activities
Cash flows from financing activities
Net increase (decrease) in short-term loans payable
Proceeds from long-term loans payable
Repayments of long-term loans payable
Repayments of lease obligations
Proceeds from issuance of common shares
Purchase of treasury shares
Proceeds from disposal of treasury shares
Redemption of bonds
Cash dividends paid
Net cash provided by (used in) financing activities
Effect of exchange rate change 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- 16 -

Fiscal year ended
March 31, 2019

4,389
303
51
4

3,585
303
–
14

(16)

42

(99)
56
(48)
(91)
–
–

(123)
97
13
–
10
31

(4,786)3,331(3,997)112(1,111)58

3,011(2,479)

9
234
(21)
(888)
99
(55)
(1,376)(2,221)

1
(581)
(386)
2,807
123
(100)
(1,194)
1,636

(55)
–
(35)
155
(35)
29

(87)
141
(39)
–
(168)
(153)

3,271
2,400
–
(120)
–
(0)
–
(1,200)
(388)
3,962

(1,337)–(1,200)
(110)
2,325
(0)
845
–
(494)
28

66

(103)

1,837
6,275
8,112

1,408
8,112
9,521

VIII. Corporate Data
Company Information (as of March 31, 2019)
Trade name:
Established:
Business year:
Paid-in capital:
Number of employees:
Head office:Telephone:
Consolidated subsidiaries:

URL:

SUN-WA TECHNOS CORPORATION
November 4, 1949
From April 1 to March 31 of the following year
3,727 million yen
994 (consolidated)Tokyo Square Garden, 3-1-1, Kyobashi, Chuo-ku, Tokyo 1040031 JAPAN+81-3-5202-4011
SUN-WA TRINITY CORPORATION
SUN-WA LOGISTICS CO., LTD.
SUN-WA TECHNOS (SINGAPORE) PTE LTD.
SUN-WA TECHNOS (H.K.) CO., LTD.
SUN-WA TECHNOS (EUROPE) GmbH
SUN-WA TECHNOS AMERICA, INC.
SUN-WA TECHNOS (TAIWAN) CO., LTD.
SUN-WA TECHNOS (MALAYSIA) SDN. BHD.
SHANGHAI SUN-WA TECHNOS CO., LTD.
SUN-WA TECHNOS ASIA (THAILAND) CO., LTD.
SUN-WA TECHNOS (SHENZHEN) CO., LTD.
PT. SUNWA TECHNOS INDONESIA
SUN-WA TECHNOS (PHILIPPINES), INC.
SUN-WA TECHNOS MEXICO S.A. DE C.V.
SUN-WA TECHNOS (VIETNAM) CO., LTD.
https://www.sunwa.co.jp/

Officers (as of June 25, 2019)
Chairman and Representative Director
President and Representative Director
Director and Managing Executive Officer
Director and Managing Executive Officer
Director and Managing Executive Officer
Director and Managing Executive Officer(Outside) Director(Outside) Director
Standing Audit & Supervisory Board Member
Standing Audit & Supervisory Board Member(Outside) Audit & Supervisory Board Member(Outside) Audit & Supervisory Board Member
Managing Executive Officer
Managing Executive Officer
Executive Officer
Executive Officer
Executive Officer

Sei Yamamoto
Hiroyuki Tanaka
Shoichiro Mine
Kazuya Hanayama
Shinya Murakami
Yaeko Tanaka
Masanori Aoki
Toshiro Koizumi
Kazuto Takeuchi
Kiyoshi Goto
Yasuo Nakamura
Satoru Ueno
Masanori Igarashi
Toshihiko Makino
Kenji Takamatsu
Akihiro Matsuo
Hideaki Uesaka- 17 -

Stock Information (as of March 31, 2019)
Stock exchange listing:
Listing date:
Total number of shares authorized:
Total number of shares issued:
Number of shareholders:Major (top 10) shareholders:Tokyo Stock Exchange, 1st Section (Code: 8137)
May 19, 1982
33,380,000 shares
16,044,000 shares
5,501

797
778
729

Share-holding ratio(excluding treasury
shares)
(%)
4.96
4.85
4.55

698

4.35

516
498
435
397
395
395

3.22
3.10
2.71
2.47
2.46
2.46

Number of shares held(Thousands)

Shareholder name
YASKAWA Electric Corporation
Japan Trustee Services Bank, Ltd. (Trust Account)
The Dai-ichi Life Insurance Company, Limited
The Nomura Trust and Banking Co., Ltd. (Trust
Account)
The Master Trust Bank of Japan, Ltd. (Trust Account)
Origin Electric Co., Ltd.
Okuma Corporation
Masujiro Yamada
Resona Bank, Limited
MUFG Bank, Ltd.

Notes: 1. Numbers of shares held have been rounded down to the nearest 1,000 shares.
2. Origin Electric Co., Ltd. changed its trade name to Origin Co., Ltd. as of April 1, 2019.

*

Annual Select is an English-language disclosure format developed by ZAIHON, INC. to increase the level of convenience of investors outside Japan based on Japanese-language
statutory disclosure material, timely disclosure material prescribed by securities exchanges and voluntarily disclosed IR material. Annual Select is a registered trademark of
ZAIHON, INC. Reproduction or copying without prior permission is prohibited.
* While every best effort has been made to provide a translation meeting the quality standards required of professionals, the Company does not guarantee it is 100% accurate.
Therefore, please verify the original Japanese text for any final judgments made based on this information.

- 18 -