Note: This document is translation of a part of the original Japanese version and provided for reference purposes only. If there is any
discrepancy between the Japanese original and this English translation, the Japanese original will prevail.

Brief Report on the Third Quarter Financial Statements for the Period Ending March 2022
[Japanese Standard] (Consolidated)
February 9, 2022

Name of listed company: DAI-DAN Co., Ltd.

Stock Exchange Listing:Tokyo Stock Exchange 1st section

Code No.: 1980 URL: https://www.daidan.co.jp/
Representative of Company: Ichiro Fujisawa, Representative Director, PresidentInquiries to be addressed to: Yasuo Kamei, Director, Executive Corporate Officer,
Head of General Administration
Date scheduled to submit Quarterly report:
February 9, 2022
Creating supplements to the financial statement:
Yes
Holding a briefing session on the financial statement:
NoneTel. (06) 6447 - 8003

(Amounts are indicated with figures less than 1 million yen discarded)

1. Consolidated business results for the third quarter of the period ending March 2022 (From April 1, 2021 to December 31, 2021)(Percentage indications show increase or decrease from the previous period.)(1) Consolidated management performance (Cumulative total)
Profit attributable toNet sales
Operating profit
Ordinary profit
owners of parent
Million yen%
Million yen%
Million yen%
Third quarter of the108,257
(2.6)
4,060
(43.6)
4,399(42.1)
period ending March 2022
Third quarter of the111,099
(9.0)
7,205
2.0
7,593
3.6
period ending March 2021(Note)
Comprehensive income Third quarter of the period ending March 2022 2,229 Million yen (66.9%)
Third quarter of the period ending March 2021 6,745 Million yen 8.0%

Profit per share%

3,059(41.1)

5,190

4.5

Diluted Profit per share

Yen SenYen Sen

143.04―239.41―

Third quarter of theperiod ending March 2022
Third quarter of theperiod ending March 2021

Million yen(2) Consolidated financial position
Total assets

Net assets

Million yen

Equity capital ratio

Million yen%

Third quarter of the129,582
75,172
period ending March 2022
Period ending March 2021
132,21074,837(Reference) Equity capital Third quarter of the period ending March 2022 75,018 Million yen
Period ending March 2021 74,632 Million yen

57.9
56.4

2. DividendsEnd of first quarter

Annual dividends per share
End of second quarter End of third quarter

Yen Sen――Yen Sen
45.00
45.00

Period ending March 2021
Period ending March 2022
Period ending March 2022
(Forecast)(Note)
Presence of revision from dividend forecast published most recently: None

Period end

Yen Sen――Through year

Yen Sen45.00

Yen Sen
90.00

45.00

90.00

3. Estimate of consolidated performance for the period ending March 2022 (From April 1, 2021 to March 31, 2022)(Percentage indications show increase or decrease from the previous period.)Net sales
Mil. yen

Operating profit%

Mil. yen

Profit attributable toowners of parent

Ordinary profit%

Mil. yen%Mil. yen%

162,000
2.77,000(20.0)
7,200
Total period(Reference) Estimated net sales of construction contract orders 183,000 Million yen(Note)
Presence of revision from estimate of performance published most recently: Yes(22.3)

5,000(20.9)

Profit per share
YenSen233.80* Annotations(1) Changes in key subsidiaries in the current quarter consolidated cumulative period (changes in specific subsidiaries requiringchanges of consolidation scope): None
(2) Application of particular accounting to the preparation of quarter consolidated financial statements: None
(3) Changes in accounting policies, changes in accounting estimates, restatement
 Changes in accounting policies due to revision of accounting standards, etc.: Yes
 Changes in accounting policies other than : None
 Changes in accounting estimates: None Restatement: None
(Note)Please refer to Change in accounting policy on page 6.
(4) Number of issued shares (common stock) Number of issued shares at the end ofperiod (including treasury shares)
 Number of treasury shares at the end ofperiod
 Average number of shares in the period(quarter total)

Third quarter ofperiod ending
March 2022
Third quarter ofperiod ending
March 2022
Third quarter ofperiod ending
March 2022

22,981,901 shares

Period ending
March 2021

22,981,901 shares

1,588,736 shares

Period ending
March 2021

1,608,562 shares

Third quarter of
21,386,600 shares period ending
March 2021

21,680,333 shares(Note) The number of treasury shares at the end of the period includes the Company's shares held in the BIP Trust for Directors (127,543shares for the period ending March 2021, 107,302 shares for the third quarter of period ending March 2022). In addition, the Company'sshares held in the BIP Trust for Directors (135,163 shares for the third quarter of period ending March 2021, 114,080 shares for thethird quarter of period ending March 2022) are also included in treasury shares, which is deducted in the calculation of the average
number of shares outstanding during the period.

* Brief report on quarterly financial statements is beyond the object of audit by CPA or an audit corporation.
* Explanation about adequate use of achievement forecasts and other noteworthy matters(Caution regarding forward-looking statements and others)
The forward-looking statements disclosed herein are based on the information available at the time of preparation of thisdocument and the assumption considered as reasonable.
Consequently, actual results differ materially from forecasts above due to changes in business results.
(How to obtain supplementary explanatory materials for quarterly financial results)
Supplementary explanatory materials for quarterly financial results will be available on the Company’s website.

(Reference) Estimate of individual performance
Estimate of individual performance for the period ending March 2022 (From April 1, 2021 to March 31, 2022)(Percentage indications show increase or decrease from the previous period.)

Net sales
Mil. yen

Operating profit%

Mil. yen

Ordinary profit%

Total period(Reference)(Note)

Mil. Yen

160,000
2.4
7,000(19.0)
7,200
Estimated net sales of construction contract orders 180,000 Million yen
Presence of revision from estimate of performance published most recently: YesProfit

Profit per share%

Mil. yen%

Yen Sen(21.3)

5,000(19.9)

233.80Explanation on Future Estimate Information such as Estimate of Consolidated Performance
There is change in the estimate of performance for a full accounting year published on May 12,2021.
Revision of Consolidated Earnings Forecast for the Fiscal Year Ending March 31, 2022(April 1,2021 through March 31,2022)

Net sales
Previous forecasts(A)
Actual results(B)Change in amount(B-A)
Percentage of change(%)(Reference)
Results for the same
period of last year

Operating profit

Ordinary profit

Profit attributableto owners ofparent

Profit per share

Mil. yenMil. yenMil. yenMil. yenYen Sen

168,000

7,500

7,700

5,200

243.29162,000

7,000

7,200

5,000

233.80(6,000)

(500)

(500)

(200)

―

(3.6)

(6.7)

(6.5)

(3.8)

―

157,712

8,754

9,262

6,318

291.96(Note)There is no change in net sales construction contract orders from initial forecast 183,000 Million yen.
(Reference)Revision of Non-Consolidated Earnings Forecast for the Fiscal Year Ending March 31, 2022(April 1,2021 through March 31,2022)

Net sales
Previous forecasts(A)
Actual results(B)Change in amount(B-A)
Percentage of change(%)(Reference)
Results for the sameperiod of last year

Operating profit

Ordinary profit

ProfitProfit per share

Mil. yenMil. yenMil. yenMil. yen

Yen Sen

165,000

7,500

7,700

5,200

243.29160,000

7,000

7,200

5,000

233.80(5,000)

(500)

(500)

(200)

―

(3.0)

(6.7)

(6.5)

(3.8)

―

156,194

8,644

9,146

6,242

288.44(Note) There is no change in net sales construction contract orders from initial forecast 180,000 Million yen.

DAI-DAN Co., Ltd. (1980), Brief Report on the Third Quarter Financial Statements for the Period Ending March 2022

 Contents of Information
1. Consolidated Financial Statements and Major Notes ..............................................................................................2(1) Consolidated Balance Sheets .............................................................................................................................2(2) Consolidated Statements of Income and Consolidated Statements of Comprehensive Income ........................4(Consolidated Statements of Income)(Third Quarter Consolidated Cumulative Period)............................................................................................4(Consolidated Statements of Comprehensive Income)(Third Quarter Consolidated Cumulative Period)............................................................................................5(3) Annotation Items Concerning Quarterly Consolidated Financial Statements ....................................................6(Notes to Going Concern Assumption) ............................................................................................................6(Notes in Case of Significant Changes in the Amount of Shareholders’ Equity) ............................................6(Change in Accounting Policy) ........................................................................................................................62. Supplementary Information .....................................................................................................................................7
Divisional net sales of construction contract orders received, completed construction contracts, anduncompleted construction contracts (consolidated) ................................................................................................71

DAI-DAN Co., Ltd. (1980), Brief Report on the Third Quarter Financial Statements for the Period Ending March 2022

1. Consolidated Financial Statements and Major Notes(1) Consolidated Balance Sheets(Millions of yen)Previous Consolidated
Accounting Year(As of March 31, 2021)
AssetsCurrent assets
Cash and deposits
Notes receivable, accounts receivable fromcompleted construction contracts and other
Electronically recorded monetary claims - operating
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
Retirement benefit asset
Other
Allowance for doubtful accounts
Total investments and other assets
Total non-current assets
Total assets

2Current Third Quarter
Consolidated Accounting
Period(As of December 31, 2021)

31,775

17,16053,16360,854

10,050
374
1,560
(7)
96,916

8,625
1,925
5,603
(7)
94,161

5,190
342

5,941
271

17,998
10,385
1,522(145)
29,76235,294132,210

17,374
10,4281,543(139)
29,20735,421
129,582DAI-DAN Co., Ltd. (1980), Brief Report on the Third Quarter Financial Statements for the Period Ending March 2022

(Millions of yen)Previous Consolidated
Accounting Year(As of March 31, 2021)
Liabilities
Current liabilities
Notes payable, accounts payable for construction
contracts
Electronically recorded obligations - operating
Short-term borrowings
Income taxes payable
Advances received on construction contracts inprogress
Provision for bonuses
Provision for directors' bonuses
Provision for share awards
Provision for warranties for completed construction
Provision for loss on construction contracts
Other
Total current liabilities
Non-current liabilities
Long-term loans payable
Deferred tax liabilities
Retirement benefit liability
Long-term accounts payable - other
Other
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-sale securities
Foreign currency translation adjustment
Remeasurements of defined benefit plans
Total accumulated other comprehensive income
Non-controlling interests
Total net assets
Total liabilities and net assets

3

Current Third Quarter
Consolidated Accounting
Period(As of December 31, 2021)

19,77819,066

10,695
4,449
1,677

10,6503,327－

1,367

2,009－－
30
78
1,604
13,202
52,883

1,582
21
1765
641
11,76349,146

734
2,492
1,240
5
15
4,489
57,372

596
3,394
1,244
5
23
5,263
54,4104,479
4,837
60,103(3,206)
66,2144,479
4,837
61,227(3,166)
67,378

7,446
28
942
8,417
205
74,837132,210

6,831
16
793
7,640
153
75,172
129,582DAI-DAN Co., Ltd. (1980), Brief Report on the Third Quarter Financial Statements for the Period Ending March 2022

(2) Consolidated Statements of Income and Consolidated Statements of Comprehensive Income(Consolidated Statements of Income)(Third Quarter Consolidated Cumulative Period)(Millions of yen)

Net sales of completed construction contracts
Cost of sales of completed construction contracts
Gross profit on completed construction contracts
Selling, general and administrative expenses
Operating profit
Non-operating income
Interest income
Dividend income
Insurance fee income
Foreign exchange gains
Other
Total non-operating income
Non-operating expenses
Interest expenses
Guarantee commission
Other
Total non-operating expenses
Ordinary profit
Extraordinary income
Gain on sale of investment securities
Total extraordinary incomeExtraordinary losses
Loss on retirement of non-current assets
Loss on sale of investment securities
Loss on valuation of investment securities
Total extraordinary losses
Profit before income taxes
Income taxes - current
Income taxes - deferred
Total income taxes
ProfitProfit (loss) attributable to non-controlling interests
Profit attributable to owners of parent

4

Previous Third Quarter
Consolidated Cumulative
Period(From April 1, 2020
to December 31, 2020)
111,099
94,697
16,401
9,195
7,205

Current Third Quarter
Consolidated Cumulative
Period(From April 1, 2021to December 31, 2021)
108,257
94,694
13,562
9,502
4,060

3289
131
35
31
492

7299
122
16
34
481

90
1
12
104
7,593

117
420
142
4,399

4242248
248

18
11
21
7,614
1,500
921
2,421
5,193
3
5,190

82
－
487
4,560
301
1,239
1,541
3,019
(39)
3,059

DAI-DAN Co., Ltd. (1980), Brief Report on the Third Quarter Financial Statements for the Period Ending March 2022

(Consolidated Statements of Comprehensive Income)(Third Quarter Consolidated Cumulative Period)(Millions of yen)

ProfitOther comprehensive income
Valuation difference on available-for-sale securities
Foreign currency translation adjustment
Remeasurements of defined benefit plans
Total other comprehensive income
Comprehensive income
Comprehensive income attributable toComprehensive income attributable to owners of parent
Comprehensive income attributable to non-controllinginterests

5

Previous Third Quarter
Consolidated Cumulative
Period(From April 1, 2020
to December 31, 2020)
5,193

Current Third Quarter
Consolidated Cumulative
Period(From April 1, 2021
to December 31, 2021)
3,019

1,553
(33)
31
1,551
6,745(615)(24)(149)(789)
2,229

6,759

2,281

(13)

(52)

DAI-DAN Co., Ltd. (1980), Brief Report on the Third Quarter Financial Statements for the Period Ending March 2022

(3) Annotation Items Concerning Quarterly Consolidated Financial Statements(Notes to Going Concern Assumption)
None(Notes in Case of Significant Changes in the Amount of Shareholders’ Equity)
None(Change in Accounting Policy)(Application of accounting standards related to revenue recognition)
The Accounting Standard for Revenue Recognition (ASBJ Statement No.29, March 31,2020) has been
applied from the beginning of the first quarter for the current fiscal year.

6DAI-DAN Co., Ltd. (1980), Brief Report on the Third Quarter Financial Statements for the Period Ending March 2022

2. Supplementary Information
Divisional net sales of construction contract orders received, completed construction contracts, and uncompleted
construction contracts (consolidated)(Millions of yen)

Net sales of uncompleted
construction contracts

Net sales of completed
construction contracts

Net sales of construction
contract orders received

Previous Third Quarter
Consolidated Cumulative
Period(From April 1, 2020
to December 31, 2020)
Component
Amountratio %

Current Third Quarter
Consolidated CumulativePeriod(From April 1, 2021
to December 31, 2021)
Component
Amountratio %

Increase(decrease)

AmountRatio %

Electrical installations

20,165

16.4

18,34712.2(1,817)(9.0)

Air conditioning
installations

71,661

58.5

98,24765.5

26,58637.1

Plumbing installations

30,73525.1

33,523

22.3

2,787

9.1

Total

122,561

100.0

150,118

100.0

27,556

22.5(Industrial facilities)

40,26932.958,56739.0

18,297

45.4(Renovations)

58,17947.5

72,06048.0

13,88023.9(Overseas operations)

6,743

5.510,241

6.8

3,497

51.9

Electrical installations

16,64615.0

16,621

15.4

(25)

(0.2)

Air conditioning
installations

67,78261.0

64,96760.0(2,814)(4.2)

Plumbing installations

26,67024.0

26,668

24.6

(1)

(0.0)

Total

111,099100.0

108,257

100.0(2,841)(2.6)(Industrial facilities)

46,62342.0

46,869

43.3

246

0.5

(Renovations)

52,98947.7

56,129

51.8

3,139

5.9

(Overseas operations)

4,100

3.7

6,674

6.2

2,573

62.8

Electrical installations

23,03217.0

23,611

12.8

579

2.5

Air conditioninginstallations

81,46460.0

119,21764.5

37,753

46.3

Plumbing installations

31,19423.0

42,07422.7

10,880

34.9

Total

135,691

100.0

184,904

100.0

49,212

36.3(Industrial facilities)

34,58025.5

51,95328.1

17,373

50.2(Renovations)

38,15628.1

48,785

26.4

10,62927.9(Overseas operations)

11,195

8.3

15,434

8.3

4,238

37.9

(Note)1. As a result of reviewing the construction classification from the current first quarter consolidated cumulative period, a part of small-scaleconstruction is included in "Industrial facilities". The previous third quarter consolidated cumulative period also indicates the value after
applying the revision of the construction classification.
2. Industrial facilities and Renovations, Overseas operations are aggregated for each type of construction. These includes duplicated construction.

7