Consolidated Financial Results for the First Half of FY2024 [J-GAAP]
November 7, 2023
Listed company name:
NIPPN CORPORATION
Listing:
The Prime Market of Tokyo Stock Exchange
Code number: 2001
URL:
https://www.nippn.co.jp/
TEL:03-3511-5307
Representative:
Toshiya Maezuru, President and Chief Operating Officer
Contact:
Koichiro Fukuyama, General Manager of Corporate Communications Group
Filing date of quarterly financial report:
November 8, 2023
Start of cash dividend payments:
December 4, 2023
Supplementary quarterly materials prepared:
Yes
Quarterly results information meeting held:
Yes (for institutional investors and analysts)*Amounts less than one million yen have been rounded down.

1. Consolidated financial results for the first half of FY2024 (From April 1, 2023 to September 30, 2023)(1) Consolidated operating results (cumulative)(Millions of yen, percentage figures show the rate of change from the same period of the previous year.)

Net Sales

Operating Income

Ordinary Income

First half of FY2024

198,973

12.7%

11,035

89.3%

12,54473.9%

First half of FY2023

176,488

12.0%

5,829

(0.7)%

7,211(2.0)%(Note) Comprehensive income:First half of FY2024:
First half of FY2023:

Profit per Share (Yen)Profit Attributable to
Owners of Parent
8,489
71.1%
4,963

(5.2)%¥17,513 million (126.7%)¥7,725 million (26.8%)

Fully Diluted Profit
per Share (Yen)First half of FY2024

108.9095.11

First half of FY2023

64.17

56.00

(2) Consolidated financial position
Total Assets

Net Assets

Equity Ratio

First half of FY2024

365,497

208,398

55.9%

FY2023

344,606

192,613

54.8%(Reference) Equity capital:

First half of FY2024:
FY2023:¥204,342 million¥188,687 million

2. Dividends
Dividends per Share (Yen)
1Q-end2Q-end3Q-endFY2023—19.00

FY2024—28.00

FY2024 (Forecast)Year-end

Full Year

—

21.00

40.00

—

28.00

56.00

(Note) Adjustment for the most recent forecast of the dividends in the current term: Yes

3. Forecast of the consolidated financial results for FY2024 (From April 1, 2023 to March 31, 2024)(Millions of yen, percentage figures show the rates of changes from the same period of the previous year.)

Net Sales
Full year

400,000

9.4%

Operating Income
17,50042.4%

Ordinary Income

Profit Attributableto Owners of
Parent20,00014,500

35.0%

41.3%

(Note) Adjustment for the most recent forecast of the consolidated financial results in the current term: Yes

Profit per Share(Yen)
186.00* Notes(1) Significant changes in subsidiaries during the current quarter (changes in specified subsidiaries in accordance withchanges in the scope of consolidation): None
(2) Adoption of special accounting methods for preparation of quarterly consolidated financial information: None
(3) Changes in accounting policies, accounting estimates and retrospective restatements
1) Changes in accounting policies due to revisions of accounting standards: None
2) Changes other than 1):
None3) Changes in accounting estimates:
None4) Retrospective restatements:
None(4) Number of shares issued and outstanding (common stock)1) Number of shares outstanding at
First half ofthe end of each period (including
78,824,009 shares FY2023
78,824,009 shares
FY2024treasury shares):
2) Number of treasury shares at theFirst half of847,801 shares FY2023
860,850 shares
end of each period:
FY2024
3) Average number of sharesFirst half ofFirst half of(quarterly consolidated
77,956,154 shares
77,343,245 shares
FY2024FY2023cumulative period):(Note) The number of shares at the end of the period includes the Company’s shares (240,000 shares at the end of the first half of
FY2024) held by Custody Bank of Japan, Ltd. (Trust E Account). The number of treasury shares deducted in calculating the
average number of shares during the period includes the Company’s shares (80,000 shares at the end of the first half of
FY2024) held by Custody Bank of Japan, Ltd. (Trust E Account).

* These consolidated financial results are outside the scope of quarterly review procedures by certified public accountants
or an audit corporation.
* Explanation regarding the appropriate use of projected financial results and other special instructions
Descriptions regarding the future, including the financial outlook contained in this material, are based on certain
information currently available to the Company and particular assumptions, which are, at the discretion of the Company,
deemed reasonable, and actual financial results may significantly vary due to various factors. Please refer to “1.
Qualitative Information on Quarterly Consolidated Financial Results, (3) Information on forecast of the consolidated
financial results” on page 6 for information on preconditions underlying the above outlook and other related
information.

NIPPN CORPORATION (2001) Consolidated Financial Results for the First Half of FY2024

Contents
1.

Qualitative Information on Quarterly Consolidated Financial Results ..................................................... 2(1) Overview of business results ................................................................................................................. 2(2) Overview of financial position .............................................................................................................. 4(3) Information on forecast of the consolidated financial results ................................................................ 6
2. Quarterly Consolidated Financial Statements ........................................................................................... 7(1) Quarterly consolidated balance sheets ................................................................................................... 7(2) Quarterly consolidated statements of income and comprehensive income ........................................... 9(Quarterly consolidated statements of income) ..................................................................................... 9(Quarterly consolidated statements of comprehensive income) .......................................................... 10(3) Quarterly consolidated statements of cash flows................................................................................. 11(4) Notes on quarterly consolidated financial information ....................................................................... 13(Notes on going concern assumption) ................................................................................................. 13(Notes to significant changes in the amount of shareholders’ equity) ................................................. 13(Segment information, etc.) ................................................................................................................. 141

NIPPN CORPORATION (2001) Consolidated Financial Results for the First Half of FY2024

1. Qualitative Information on Quarterly Consolidated Financial Results(1) Overview of business results(Millions of yen)First six months of
Fiscal 2023

First six months of
Fiscal 2024

Difference

ChangeNet sales

176,488

198,973

22,484112.7%

Operating income

5,829

11,035

5,205

189.3%

Ordinary income

7,211

12,544

5,332

173.9%

Profit attributableto owners of parent

4,963

8,489

3,526

171.1%

During the first half of the fiscal year ending March 31, 2024, the Japanese economy benefited from a
recovery of both personal consumption and inbound consumption, reflecting the relaxation of restrictions
on activities. Although manufacturing and logistics costs remained high, against a backdrop of soaring
prices of raw materials and energy, grain prices, which had soared following Russia’s invasion of Ukraine,
began to subside. However, reflecting international instability, ongoing depreciation of the yen in foreignexchange markets, and other factors, the outlook remained uncertain. Nevertheless, indications of
economic expansion have gradually begun to appear in line with the normalization of economic activities.
In these circumstances, in accordance with our management philosophy of “contributing to therealization of a sustainable society by pursuing the well-being (happiness, health, and smiles) of people,”we worked to strengthen our business foundation while expanding the scope of business through vigorous
investment in Japan and overseas, including M&A and business alliances. At the same time, in order tofulfill our corporate social responsibility, we stepped up our initiatives to address sustainability issues, suchas by reducing environmental impacts and investing in human capital. Through these initiatives we strove
to achieve sustainable enhancement of corporate value.
In May 2023, we invested in Utah Flour Milling, LLC, a flour milling company in the U.S., with a view
to business expansion in North America. In Japan, we made steady progress with capital investment,
including construction of a new flour mill in Chita City, Aichi Prefecture, and expansion of Kobe-Konan
Mill, which we have been focusing on for some time, in order to enhance cost competitiveness and reinforce
the revenue base.
In September 2023, NIPPN (Thailand) Co., Ltd. introduced photovoltaic power generation facilities at
its premix and frozen dough plants to promote the use of renewable energy.
Consolidated net sales for the first half of fiscal 2024 increased by 12.7% year on year to ¥198,973
million, reflecting an increase in demand due to recovery of personal consumption and inboundconsumption and the implementation of sales price revisions in response to rising raw material costs andvarious other costs. In terms of profit, despite these higher costs and an increase in strategic costs for sales
expansion, operating income increased by 89.3% to ¥11,035 million, ordinary income increased by 73.9%
to ¥12,544 million, and profit attributable to owners of parent increased by 71.1% to ¥8,489 million owing
to growth in the sales volume of frozen foods and robust performance of the ready-made meal business.
The Company will pay an interim dividend of ¥28 per share, an increase of ¥8 compared to the previous
forecast, in view of recent favorable financial results.
The performance of individual business segments was as follows.

2

NIPPN CORPORATION (2001) Consolidated Financial Results for the First Half of FY2024

1) Flour Milling(Millions of yen)First six months of
Fiscal 2023

First six months of
Fiscal 2024

Difference

ChangeNet sales

56,14962,711

6,562

111.7%

Operating income

3,425

4,563

1,138

133.2%In the Flour Milling business, sales were higher than the level for the same period of the previous
year, mainly because of the wheat flour price revision and a robust trend in sales prices of wheat bran,
a by-product.
In line with the increase of government sales prices (tax inclusive) of imported wheat by 5.8% on
average for the five key products in April 2023, we revised the prices of wheat flour products for
professional use from June 2023.
As a result, net sales of the Flour Milling segment increased by 11.7% year on year to ¥62,711 million,
and operating income increased by 33.2% to ¥4,563 million.
2) Food(Millions of yen)First six months of
Fiscal 2023

First six months of
Fiscal 2024

Difference

ChangeNet sales

100,364

113,107

12,743112.7%

Operating income

2,041

5,488

3,446

268.9%In the professional-use category, demand increased mainly from restaurants owing to recovery of
personal consumption and inbound consumption, and as a result, sales of products in this category werehigher than the level for the same period of the previous year.
In the home-use product category, we continued price revisions from the previous year in line withcost increases, such as for raw materials, logistics, and energy, and as a result, sales of products in thiscategory were higher than the level for the same period of the previous year.
In the frozen foods category, sales of home-use frozen foods, such as the One Plate Meal series ofcomplete meals consisting of a main dish and staples and the Big series of large-portion dishes, were
buoyant in response to increasing needs for “quick and easy” meals and the trend toward frugality,
respectively. Sales of products in this category were higher than the level for the same period of theprevious year, also reflecting price revisions.
In the ready-made meals business, sales were higher than the level for the same period of the previous
year because demand increased as more people were out and about, resuming their normal lifestyles,
and also owing to price revisions.
As a result, net sales of the Food segment increased by 12.7% year on year to ¥113,107 million, andoperating income increased by 168.9% to ¥5,488 million.

3

NIPPN CORPORATION (2001) Consolidated Financial Results for the First Half of FY2024

3) Other(Millions of yen)First six months of
Fiscal 2023

First six months of
Fiscal 2024

Difference

ChangeNet sales

19,975

23,1543,178

115.9%

Operating income

333

990

656

297.0%

Sales of the pet food business were higher than the level for the same period of the previous year
because of price revisions in line with cost increases, such as for raw materials, in addition to an increasein the volume of products shipped.
Sales of the restaurant business were higher than the level for the same period of the previous year,
reflecting buoyant sales of products in addition to an increase in demand as more people were out andabout, resuming their normal lifestyles.
As a result, net sales for the Other segment increased by 15.9% year on year to ¥23,154 million, andoperating income increased by 197.0% to ¥990 million.
(2) Overview of financial position
1) Assets, liabilities and net assets(Millions of yen)

As of March 31, 2023

As of September 30, 2023

Difference

Current assets

143,021

148,328

5,306

Non-current assets

201,557

217,149

15,591

26

19

(6)

344,606

365,497

20,890Current liabilities

78,61382,905

4,292

Non-current liabilities

73,37874,192813

Total liabilities

151,992

157,098

5,105

Total net assets

192,613208,398

15,785

Total liabilities and net assets

344,606

365,497

20,890

Deferred assets
Total assets

Total assets at the end of the first half of fiscal 2024 increased by ¥20,890 million from the previous
fiscal year end (March 31, 2023) to ¥365,497 million. This was mainly because investment securities;
notes and accounts receivable - trade and contract assets; property, plant and equipment; and raw
materials and supplies increased by ¥13,653 million, ¥6,240 million, ¥2,177 million, and ¥1,775 million,
respectively, and cash and deposits decreased by ¥3,534 million.
Total liabilities increased by ¥5,105 million from the previous fiscal year end to ¥157,098 million.
This was mainly because other non-current liabilities and notes and accounts payable - trade increasedby ¥2,728 million and ¥2,112 million, respectively.
Net assets increased by ¥15,785 million from the previous fiscal year end to ¥208,398 million. Thiswas mainly because unrealized holding gain (loss) on securities, retained earnings, and foreign currencytranslation adjustment increased by ¥7,719 million, ¥6,849 million, and ¥1,006 million, respectively.

4

NIPPN CORPORATION (2001) Consolidated Financial Results for the First Half of FY2024

2) Cash flows(Millions of yen)First six months of
Fiscal 2023

First six months of
Fiscal 2024

Difference

Net cash provided by (used in) operating
activities

3,620

7,293

3,673

Net cash provided by (used in) investing
activities(2,730)(9,077)(6,346)

Net cash provided by (used in) financing
activities(4,869)(3,330)1,539

Effect of exchange rate changes on cash
and cash equivalents

520

305

(215)

Net increase (decrease) in cash and cash
equivalents(3,459)(4,809)(1,350)Cash and cash equivalents at end of period

27,75628,348592

The balance of cash and cash equivalents at the end of the first half of fiscal 2024 stood at ¥28,348
million, a decrease of ¥4,809 million compared with the end of the previous fiscal year. The conditionsof cash flows were as follows:(Operating activities)
Net cash provided by operating activities amounted to ¥7,293 million compared with ¥3,620 million
for the same period of the previous year. This mainly reflected ¥12,193 million for profit before income
taxes, ¥4,896 million for depreciation, ¥1,906 million for increase in notes and accounts payable - trade,¥6,075 million for increase in notes and accounts receivable - trade, ¥2,692 million for increase ininventories, and ¥2,606 million for income taxes paid.
(Investing activities)
Net cash used in investing activities amounted to ¥9,077 million compared with ¥2,730 million forthe same period of the previous year. The main factors were purchase of fixed assets amounting to¥6,282 million and purchase of shares of subsidiaries and associates amounting to ¥3,402 million.
(Financing activities)
Net cash used in financing activities amounted to ¥3,330 million compared with ¥4,869 million forthe same period of the previous year. The main factors were repayments of long-term loans payableamounting to ¥2,127 million and cash dividends paid amounting to ¥1,640 million.

5

NIPPN CORPORATION (2001) Consolidated Financial Results for the First Half of FY2024(3) Information on forecast of the consolidated financial results
In its long-term vision, the Group aims to grow to a scale of ¥500 billion in net sales and ¥25 billion in
operating income on a consolidated basis. In order to achieve this goal, we will endeavor to grow our corebusinesses of flour milling, food ingredients, and processed foods by strengthening our brand power,
developing differentiated products, and increasing production capacity. We position frozen foods, readymade meals, healthcare, and overseas business, which are growth businesses, as priority fields and arepromoting improvement and expansion of supply bases as well as acquisitions and alliances to enhancesales and profit.
In accordance with the management philosophy, the Group will strive to further enhance its corporate
value by sincerely addressing the issues confronting society such as climate change and otherenvironmental issues, the need for effective use of food resources, population issues, and the extension ofhealthy life expectancy.

The Company made upward revisions to the forecast of consolidated financial results for the fiscal year
ending March 31, 2024, in view of the financial results for the first half of fiscal 2024 and the outlook forthe third quarter onward. The year-end dividend will be ¥28 per share, an increase of ¥8 compared to theprevious forecast. As a result, the annual dividend will be ¥56 per share, including the interim dividend, anincrease of ¥16 compared to the result for the previous fiscal year.
For details, please refer to “Notice Regarding Differences Between Consolidated Financial Results
Forecasts and Actual Results for First Six Months of Fiscal Year Ending March 2024, Dividends of Surplus(interim dividends) and Revision of Year-end Dividend Forecast” announced today (November 7, 2023).
Revision of forecast of the consolidated financial results for FY2024 (From April 1, 2023 to March 31, 2024)
Profitattributable toowners ofparentProfit per share

Millions of yen

Millions of yen

Yen

12,50014,60010,800138.60400,000

17,50020,00014,500186.0013,000

5,000

5,400

3,700

3.4

40.0

37.0

34.3

365,525

12,28814,816

10,260Net sales

OperatingincomeOrdinary
incomeMillions of yen

Millions of yen

Previous forecast (A)387,000

Revised forecast (B)Change (B-A)
Rate of change (%)(Ref.) Results for
FY2023 (fiscal year
ended March 31, 2023)

6132.16NIPPN CORPORATION (2001) Consolidated Financial Results for the First Half of FY2024

2. Quarterly Consolidated Financial Statements(1) Quarterly consolidated balance sheets(Millions of yen)

FY2023(As of March 31, 2023)

First half of FY2024(As of September 30,
2023)

AssetsCurrent assets
Cash and deposits
Notes and accounts receivable - trade andcontract assets

36,81533,28054,11960,360

Merchandise and finished goods

20,91822,047222

172

Raw materials and supplies

26,40028,176

Other current assets

4,607

4,344

(61)

(52)

143,021

148,328

Buildings and structures, net

46,74547,550Machinery, equipment and vehicles, net

21,17021,501Land
Construction in progress

41,027
1,741

41,2382,140

Other, net

2,782

3,213

113,467

115,645

Goodwill
Other

1,179
996

1,085
1,483

Total intangible assets

2,175

2,568

Investment securities

77,25490,907

Other assets
Allowance for doubtful accounts

8,979
(320)

8,338
(311)

Total investments and other assets

85,914

98,935201,557

217,14926

19344,606

365,497

Work in process

Allowance for doubtful accounts
Total current assets
Non-current assets
Property, plant and equipment

Total property, plant and equipment
Intangible assets

Investments and other assets

Total non-current assets
Deferred assets
Total assets

7

NIPPN CORPORATION (2001) Consolidated Financial Results for the First Half of FY2024(Millions of yen)

FY2023(As of March 31, 2023)

First half of FY2024(As of September 30,
2023)

Liabilities
Current liabilities
Notes and accounts payable - trade

36,66938,782

Short-term loans payable

17,572

17,799Current portion of bonds
Income taxes payable

221
2,645

306
3,271

Provision for bonuses

764

780

Other current liabilities

20,74021,965

Total current liabilities

78,61382,905

128–

25,03825,029Long-term loans payable

21,175

19,480Retirement benefit liability

3,881

3,841

406

343

–

20

Other non-current liabilities

22,74825,477

Total non-current liabilities

73,37874,192

151,992

157,098

Capital stock

12,24012,240Capital surplus

9,693

9,761

Retained earnings

128,965

135,815

Treasury shares(1,287)(1,317)

Total shareholders’ equity

149,612

156,500

36,462

44,182(23)

26

Foreign currency translation adjustments

2,161

3,168

Retirement benefits liability adjustments

473

464

39,07447,842

Subscription rights to shares

226

221

Non-controlling interests

3,699

3,834

192,613208,398

344,606

365,497

Non-current liabilities
Bonds payable
Convertible bond-type bonds with subscription
rights to shares

Accrued retirement benefits for directors
Provision for share awards for directors (andother officers)

Total liabilities
Net assets
Shareholders’ equity

Accumulated other comprehensive income
Unrealized holding gain (loss) on securities
Deferred gain (loss) on hedges

Total accumulated other comprehensive income

Total net assets
Total liabilities and net assets

8

NIPPN CORPORATION (2001) Consolidated Financial Results for the First Half of FY2024(2) Quarterly consolidated statements of income and comprehensive income(Quarterly consolidated statements of income)(Millions of yen)First half of FY2023(From April 1, 2022
to September 30, 2022)

First half of FY2024(From April 1, 2023
to September 30, 2023)

Net sales

176,488

198,973

Cost of sales

137,551

152,588

Gross profit

38,936

46,384

Selling, general and administrative expenses

33,10735,348Operating income

5,829

11,035Interest income

33

34

Dividend income

1,033

1,028

869

627

1,936

1,691

Interest expenses
Share exchange related expenses

103
222

94
–

Other

228

88

Total non-operating expenses

554

182

7,211

12,544942

Gain on sale of investment securities

118

13

Total extraordinary income

127

55

Loss on sale and disposal of fixed assets
Loss on sale of shares of subsidiaries andassociates

53

79

–

239

Impairment losses
Loss of valuation of investment securities

–
81

25
46

Other

3

15

138

405

Profit before income taxes

7,200

12,193

Income taxes - current

1,901

3,199

Income taxes - deferred

316

348

Total income taxes

2,218

3,547

Profit

4,982

8,646

19

156

4,963

8,489

Non-operating income

Other
Total non-operating income
Non-operating expenses

Ordinary income
Extraordinary income
Gain on sale of fixed assets

Extraordinary expenses

Total extraordinary expenses

Profit attributable to non-controlling interests
Profit attributable to owners of parent

9

NIPPN CORPORATION (2001) Consolidated Financial Results for the First Half of FY2024(Quarterly consolidated statements of comprehensive income)(Millions of yen)

ProfitFirst half of FY2023(From April 1, 2022
to September 30, 2022)

First half of FY2024(From April 1, 2023
to September 30, 2023)

4,982

8,646

1,293

7,802

(26)

50

1,508

947

(48)

(9)

16

76

2,743

8,867

7,725

17,513

7,698

17,33527

178

Other comprehensive income
Unrealized holding gain (loss) on securities
Deferred gain (loss) on hedges
Foreign currency translation adjustment
Retirement benefits liability adjustments
Share of other comprehensive income of entities
accounted for using equity method
Total other comprehensive income
Comprehensive income(Comprehensive income attributable to)Comprehensive income attributable toowners of parent
Comprehensive income (loss) attributable tonon-controlling interests

10

NIPPN CORPORATION (2001) Consolidated Financial Results for the First Half of FY2024(3) Quarterly consolidated statements of cash flows(Millions of yen)First half of FY2023(From April 1, 2022
to September 30, 2022)

First half of FY2024(From April 1, 2023
to September 30, 2023)

Profit before income taxes

7,200

12,193

Depreciation

4,876

4,896

–

239

(18)

(19)

–

25

(1,066)(1,063)Operating activities

Loss on sale of stocks of subsidiaries and affiliates
Increase (decrease) in allowance for doubtful accounts
Impairment losses
Interest and dividend income
Interest expenses

103

94

Loss (gain) on sale of investment securities

(127)

(36)

81

46

Equity in (earnings) losses of unconsolidated
subsidiaries and affiliates

(188)

(190)

Foreign exchange losses (gains)

(154)

(53)

Loss (gain) on sale of fixed assets

(0)

(15)

Loss on disposal of fixed assets

44

56

Decrease (increase) in notes and accounts receivable trade673(6,075)Decrease (increase) in inventories(9,458)(2,692)

Increase (decrease) in notes and accounts payable trade

1,319

1,906

Other, net

1,268

(431)

Subtotal

4,553

8,878

Interest and dividend income received

1,086

1,108

(95)

(86)

Income taxes paid

(1,922)(2,606)

Net cash provided by (used in) operating activities

3,620

7,293

Decrease (increase) in time deposits(1)(1,055)Purchase of securities–(1,000)

Proceeds from sale and redemption of securities

–

1,016

Purchase of investment securities(1,054)(132)

Proceeds from sale of investment securities

1,333

127

Purchase of shares of subsidiaries and associates–(3,402)

Proceeds from sale of shares of subsidiaries andassociates

–

907

(295)

–

(3,120)(6,282)405

384

Payments of loans receivable

–

(50)

Collection of loans receivable

56

Decrease (increase) in other investments

(2)

402

(2,730)(9,077)

Loss (gain) on valuation of investment securities

Interest expenses paid

Investing activities

Purchase of shares of subsidiaries resulting in change inscope of consolidation
Purchase of fixed assets
Proceeds from sale of fixed assets

Net cash provided by (used in) investing activities

11

NIPPN CORPORATION (2001) Consolidated Financial Results for the First Half of FY2024(Millions of yen)First half of FY2023(From April 1, 2022
to September 30, 2022)

First half of FY2024(From April 1, 2023
to September 30, 2023)(1,761)

659

Proceeds from long-term loans payable

360–

Repayments of long-term loans payable

Financing activities
Net increase (decrease) in short-term loans payable(1,089)(2,127)

Redemption of bonds

(48)

(43)

Purchase of treasury shares

(1)

(447)

Proceeds from sale of treasury shares

0446

Repayments of finance lease obligations

(152)

(152)

(1,539)(1,640)

Dividends paid to non-controlling interests

(19)

(37)

Other, net

(619)

11

(4,869)(3,330)Effect of exchange rate changes on cash and cash
equivalents

520

305

Net increase (decrease) in cash and cash equivalents(3,459)(4,809)Cash and cash equivalents at beginning of period

31,21533,157

Cash and cash equivalents at end of period

27,75628,348Cash dividends paid

Net cash provided by (used in) financing activities

12

NIPPN CORPORATION (2001) Consolidated Financial Results for the First Half of FY2024(4) Notes on quarterly consolidated financial information(Notes on going concern assumption)
Not applicable.
(Notes to significant changes in the amount of shareholders’ equity)
Not applicable.

13

NIPPN CORPORATION (2001) Consolidated Financial Results for the First Half of FY2024(Segment information, etc.)[Segment information]
I. First Half of FY2023 (From April 1, 2022 to September 30, 2022)
1. Information on sales and income (loss) by reportable segment and composition of revenue(Millions of yen)
Reportable segments
Flour
Milling

Other
Food

Total

(Note 1)

Total

Amounts
recorded in
Adjustments
quarterly(Note 2)
consolidated
financialstatements(Note 3)

Net sales
Revenue from contracts with
56,149100,341
156,490
19,496
175,986—
175,986
customers
Other revenue
—
23
23
478
501
—
501
Net sales to external customers
56,149100,364
156,513
19,975
176,488—
176,488
Internal sales or transfers between
1,248
344
1,593
998
2,591
(2,591)—
segments
Total
57,398100,708
158,106
20,973179,080(2,591)
176,488
Segment income
3,425
2,041
5,466
333
5,800
29
5,829
Notes: 1. The “Other” column indicates businesses not included in the reportable segments, including pet food, health food, engineering,
restaurant and real estate leasing.
2. Segment income adjustment of ¥29 million includes elimination of inter-segment transactions and corporate expenses.
3. Segment income is adjusted to reconcile total segment income to operating income in the quarterly consolidated financial statements.

2. Information about impairment loss on fixed assets and about goodwill etc. by reportable segment
Not applicable.
II. First Half of FY2024 (From April 1, 2023 to September 30, 2023)
1. Information on sales and income (loss) by reportable segment and composition of revenue(Millions of yen)
Reportable segments
Flour
Milling

Other
Food

Total

(Note 1)

Total

Amounts
recorded in
Adjustments
quarterly(Note 2)
consolidated
financialstatements(Note 3)

Net sales
Revenue from contracts with
62,711
113,084
175,795
22,675
198,471—
198,471
customers
Other revenue
—
23
23
478
501
—
501
Net sales to external customers
62,711
113,107
175,818
23,154
198,973—
198,973
Internal sales or transfers between
1,411
597
2,008
3,097
5,106
(5,106)—segments
Total
64,122
113,704
177,827
26,251
204,079(5,106)
198,973
Segment income
4,563
5,488
10,052990
11,042(6)
11,035
Notes: 1. The “Other” column indicates businesses not included in the reportable segments, including pet food, health food, engineering,
restaurant and real estate leasing.
2. Segment income adjustment of ¥(6) million includes elimination of inter-segment transactions and corporate expenses.
3. Segment income is adjusted to reconcile total segment income to operating income in the quarterly consolidated financial statements.

2. Information about impairment loss on fixed assets and about goodwill etc. by reportable segment(Material impairment loss pertaining to fixed assets)
In the “Other” segment, impairment loss on fixed assets is recorded for which the investment is nolonger recoverable. The amount of impairment loss recorded amounted to ¥25 million for the first halfof fiscal 2024.

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