Consolidated Financial Results
for the Fiscal Year Ended March 31, 2024
[Japanese GAAP]
April 25, 2024
Company name: Daihatsu Diesel Mfg. Co., Ltd.
Stock exchange listing: Tokyo Stock Exchange
Code number: 6023
URL: https://www.dhtd.co.jp
Representative: Yoshinobu Hotta, President
Contact: Takashi Mizushina, Managing Director
Phone: +81-6-6454-2331
Scheduled date of Annual General Meeting of Shareholders: June 27, 2024
Scheduled date of commencing dividend payments: June 28, 2024
Scheduled date of filing annual securities report: June 27, 2024
Availability of supplementary briefing material on annual financial results: Available
Schedule of annual financial results briefing session: Scheduled (for institutional investors and analysts)(Amounts of less than one million yen are rounded down.)
1. Consolidated Financial Results for the Fiscal Year Ended March 31, 2024 (April 1, 2023 to March 31, 2024)(1) Consolidated Operating Results(% indicates changes from the previous corresponding period.)
Profit attributable to
Net sales
Operating profit
Ordinary profit
owners of parent
Fiscal year ended
Million yen%
Million yen%
Million yen%
Million yen%
March 31, 2024
81,775
13.4
5,194
44.2
5,546
51.5
5,149
74.7
March 31, 2023
72,113
25.2
3,601
72.1
3,660
46.0
2,948
49.8
(Note) Comprehensive income: Fiscal year ended March 31, 2024: 5,941 million yen [84.7%]
Fiscal year ended March 31, 2023: 3,215 million yen [38.0%]
Basic earnings
per share

Diluted earnings
per share

Rate of return on
equityOrdinary profit
to total assets

Operating profit
to net sales

Fiscal year ended
Yen
Yen
%
%
%
March 31, 2024
162.87
10.7
5.6
6.4
March 31, 2023
93.37
6.6
4.0
5.0
(Reference) Equity in earnings (losses) of affiliated companies: Fiscal year ended March 31, 2024: 40 million yen
Fiscal year ended March 31, 2023: 45 million yen(2) Consolidated Financial Position
Total assets

Net assets

Million yen

Equity ratio

Net assets per share

Million yen%

Yen

50,84345,72450.1
47.9

1,604.88
1,446.90

As of March 31, 2024
101,428
As of March 31, 2023
95,377(Reference) Equity: As of March 31, 2024: 50,793 million yen
As of March 31, 2023: 45,678 million yen(3) Consolidated Cash Flows

Fiscal year ended
March 31, 2024
March 31, 2023

Net cash provided by(used in) operating
activities

Net cash provided by(used in) investing
activities

Net cash provided by(used in) financing
activities

Cash and cash
equivalents at end of
periodMillion yen

Million yen

Million yen

Million yen

4,666
4,488

450
(3,076)(2,101)(1,981)

29,11025,815

2. Dividends
Annual dividends
1st
2nd
3rd
Year-endquarter-end quarter-end quarter-end
Fiscal year ended
March 31, 2023
March 31, 2024
Fiscal year ending
March 31, 2025
(Forecast)

Total

Yen

Yen

Yen

Yen

-

0.00
0.00

-

28.00
49.00

28.00
49.00

-

0.00

-

39.00

39.00

Total
dividends

Payoutratio(consolidated)

Yen Million yen

883
1,550

Dividends
to netassets(consolidated)

%

%

30.0
30.1

2.0
3.2

40.1

3. Consolidated Financial Results Forecast for the Fiscal Year Ending March 31, 2025 (April 1, 2024 toMarch 31, 2025)(% indicates changes from the previous corresponding period.)
Profit attributable to Basic earnings
Operating profit
Ordinary profit
owners of parent
per share

Net salesFirst half
Full year

Million yen

38,00078,000% Million yen

2.1
(4.6)

1,400
4,500

% Million yen

49.2(13.4)

1,500
4,600

% Million yen

28.1(17.1)

1,100
3,100

%

(41.8)(39.8)

Yen

34.53
97.33

* Notes:(1) Changes in significant subsidiaries during the period under review (changes in specified subsidiaries resulting inchanges in scope of consolidation): No(2) Changes in accounting policies, changes in accounting estimates and retrospective restatement
1) Changes in accounting policies due to the revision of accounting standards: No
2) Changes in accounting policies other than 1) above: No
3) Changes in accounting estimates: No4) Retrospective restatement: No(3) Total number of issued shares (common shares)
1) Total number of issued shares at the end of the period (including treasury shares):
March 31, 2024: 31,850,000 shares
March 31, 2023: 31,850,000 shares2) Total number of treasury shares at the end of the period:
March 31, 2024: 200,830 shares
March 31, 2023: 280,235 shares
3) Average number of shares during the period:
Fiscal Year ended March 31, 2024: 31,619,295 sharesFiscal Year ended March 31, 2023: 31,573,069 shares

(Reference) Summary of Non-consolidated Financial Results
1. Non-consolidated Financial Results for the Fiscal Year Ended March 31, 2024 (April 1, 2023 toMarch 31, 2024)(1) Non-consolidated Operating Results(% indicates changes from the previous corresponding period.)
Net sales
Operating profit
Ordinary profit
ProfitFiscal year ended
Million yen%
Million yen%
Million yen%
Million yen%
72,221
2,457 113.2
March 31, 2024
12.7
4,561
71.3
4,275
54.6
March 31, 2023
64,063
27.4
1,152
2,662
37.5
2,766
26.4
Basic earnings per share
Fiscal year ended
March 31, 2024
March 31, 2023

Diluted earnings per share
Yen

Yen

135.21
87.61-(2) Non-consolidated Financial Position
Total assets

Net assets

Million yen

Equity ratio

Net assets per share

Million yen%

Yen

As of March 31, 2024
91,186
41,27485,74537,642As of March 31, 2023
(Reference) Equity: As of March 31, 2024: 41,274 million yen
As of March 31, 2023: 37,642 million yen

45.3
43.9

1,304.12
1,192.36

2. Non-consolidated Financial Results Forecast for the Fiscal Year Ending March 31, 2025 (April 1, 2024 toMarch 31, 2025)(% indicates changes from the previous corresponding period.)
Net salesFirst half
Full year

Million yen

34,00069,000

%

4.5
(4.5)

Million yen

2,400
4,300

Basic earnings
per share

ProfitOrdinary profit
%

18.3
(5.7)

Million yen

2,100
3,300

%

(6.5)
(22.8)

Yen

65.93
103.61* These consolidated financial results are outside the scope of audit conducted by a certified public accountant oraudit corporation.
* Explanation of the proper use of financial results forecast and other notes(Note on forward-looking statements)
The financial results forecasts and other forward-looking statements herein are based on information and certain
assumptions deemed reasonable as of the date of publication of this document. Actual results may differ
significantly from these forecasts due to a wide range of factors. Please refer to “1. Summary of Operating Resultsand Others (4) Future Prospects” on page 4 (Japanese original) of the attached material for the assumptions thefinancial results forecasts are based on, and notes on their use.
(How to obtain supplementary briefing material on annual financial results and information on the briefing
session)A briefing session for institutional investors and analysts is scheduled to be held on Tuesday, May 21, 2024. The
briefing materials will be posted on the Company’s website after the session.

Table of Contents
1. Summary of Operating Results, etc. ....................................................................................................................... 2(1) Summary of Operating Results for the Fiscal Year under Review .................................................................... 2(2) Summary of Financial Position for the Fiscal Year under Review.................................................................... 4(3) Summary of Cash Flows for the Fiscal Year under Review .............................................................................. 4(4) Outlook for the Future ....................................................................................................................................... 5
2. Basic Stance Concerning Choice of Accounting Standards .................................................................................... 5
3. Consolidated Financial Statements and Primary Notes .......................................................................................... 6(1) Consolidated Balance Sheets ............................................................................................................................ 6(2) Consolidated Statements of Income and Comprehensive Income .................................................................... 8(3) Consolidated Statements of Changes in Equity............................................................................................... 10(4) Consolidated Statements of Cash Flows ......................................................................................................... 12(5) Notes to the Consolidated Financial Statements ............................................................................................. 14(Notes on going concern assumption)............................................................................................................... 14(Segment information, etc.) .............................................................................................................................. 14(Per share information) ..................................................................................................................................... 17(Significant subsequent events) ........................................................................................................................ 17
4. Other ..................................................................................................................................................................... 18(1) Status of Production, Orders Received, and Sales .......................................................................................... 18(2) Changes in Directors and Corporate Auditors ................................................................................................. 19

1

1. Summary of Operating Results, etc.
(1) Summary of Operating Results for the Fiscal Year under Review
During the consolidated fiscal year under review, the Japanese economy was on a recovery trend mainly on
account of an increase in demand from overseas visitors, as restrictions on activities caused by the COVID-19
pandemic eased. However, the pace of recovery slowed, due to weak personal consumption against a backdrop of
the depreciation of the yen, soaring commodity prices affected by energy price and resource price hikes, and otherfactors.
Looking at the world economy, solid growth continued due in part to rising wages against a backdrop of labor
shortages and easing of supply restrictions on semiconductors. On the other hand, the outlook remains uncertain due
to factors, such as a slowdown of China’s economy caused by a stagnant real estate market, the prolonged situationin Ukraine, the worsening situation in the Middle East, and the effects of monetary tightening in Europe and theUnited States.
In the shipbuilding and maritime industry, the primary industry in which the Company makes its sales, the numberof new vessels completed worldwide in 2023 showed signs of gradual recovery, although it did not reach the preCOVID-19 level. Furthermore, in terms of market share by country, China increased its share in all types of vessels,
accounting for approximately 50% of the global market, driven by the depreciation of the yuan, the decline in steel
prices, and other factors.
Under such a corporate environment, the Group has analyzed market trends and diversifying customer needs, andhas strengthened maintenance-related operating activities based on the results thereof. Furthermore, together with
two Chinese licensees, we have been aggressively expanding sales activities, aiming for increasing market share andenhancing brand value in the booming Chinese market.
In the consolidated fiscal year under review, the Group’s sales have remained strong for large-sized engines anddual fuel engines mainly for container ships as well as small- and medium-sized engines mainly for bulk carriers
and tankers, while there has been a continued solid demand for maintenance.
As a result, consolidated net sales for the fiscal year under review increased by 13.4% year-on-year to 81,775
million yen. In terms of profit, operating profit increased by 44.2% year-on-year to 5,194 million yen, ordinary profit
increased by 51.5% year-on-year to 5,546 million yen, and profit attributable to owners of parent increased by 74.7%
year-on-year to 5,149 million yen.
Performance by business segment of the Company and the consolidated Group for the fiscal year under review
are as follows.
<Internal combustion engines>
1. Marine-use
Net sales increased by 20.1% year-on-year to 68,269 million yen and segment income increased by 35.1% yearon-year to 6,218 million yen, due to an increase in maintenance-related sales, an effect of fluctuation of foreignexchange rates, and other factors, in addition to an increase in the sales composition ratios of large-sized engines anddual fuel engines mainly for container ships.
2. Land-use
Net sales decreased by 9.4% year-on-year to 9,959 million yen while segment income increased by 117.5% yearon-year to 1,777 million yen due to an increase in maintenance-related sales despite a decrease in sales of engines.
Consequently, net sales for the segment increased by 15.3% year-on-year to 78,229 million yen, and segment
income increased by 47.5% year-on-year to 7,996 million yen.
<Other>
1. Industrial machinery-related
In the aluminum wheel division, both net sales and segment income declined due to a decrease in sales
volume.
2. Real estate leasing-related
In real estate leasing-related, both net sales and segment income increased slightly.
3. Electricity sales-related
In electricity sales-related, net sales decreased while segment income increased.
4. Precision parts-related
In precision parts-related, net sales increased while segment income decreased.
2

Consequently, net sales for the segment decreased by 16.8% year-on-year to 3,546 million yen, and segment
income decreased by 34.8% year-on-year to 437 million yen.
For more than 100 years since its founding, the Group has consistently pursued our social mission “to be a partof the social infrastructure.” Based on the Corporate Philosophy “We shall strive unstintingly for the betterment ofsociety and symbiosis with our neighbours, drawing on the bold spirit of creativity and yearning for technologicalachievement we nurture within ourselves,” we have been supporting the safety and security of people’s lives fromboth sea and land with our efforts including securing marine logistics with our marine-use engines as well as electric
power for permanent and emergency use with our land-use engines.
Currently, the Group’s most important theme is to simultaneously pursue GHG (greenhouse gas) reduction andenhancement of profitability. To achieve this target, the Group plans to invest a total of 45 billion yen in growth by
the fiscal year ending March 31, 2028.
In terms of investment in tangible assets, we will strive to enhance production efficiency and secure productquality through the investment in commissioning facilities of engines that are compatible with next-generation fuels
at the Himeji Factory and upgrading of the existing facilities at the Moriyama Factory. We will also work to invest
in in-sourcing production to reduce costs.
In terms of intangible assets, we will promote R&D investment to achieve early development of engines that arecompatible with next-generation fuels. Through investment in information, we will work to improve productivity by
utilizing AI and IoT and to build a new revenue base. In addition, we actively invest in human capital, focusing on
improving skills and developing capabilities of our employees. Through these efforts, we will strengthen ourorganizational capacity to respond flexibly to changes in the market environment and build a solid managementfoundation to support sustainable growth.
The Group will continue to strengthen its global competitiveness, with an emphasis on environmental and social
considerations in all of its business activities, to fulfill its responsibilities as a sustainable company.

3(2) Summary of Financial Position for the Fiscal Year under Review
In assets as of the end of the fiscal year under review, cash and deposits increased by 2,989 million yen from theend of the previous fiscal year. Notes and accounts receivable - trade, and contract assets increased by 549 million
yen, while the turnover period of accounts receivable was 94.7 days (compared with 99.2 days at the end of theprevious fiscal year). In addition, inventories increased by 3,088 million yen while the turnover period was 72.0 days
(compared with 68.9 days at the end of the previous fiscal year). Meanwhile, investment securities decreased by
1,446 million yen compared with the end of the previous fiscal year. As a result, total assets as of March 31, 2024
amounted to 101,428 million yen, an increase of 6,050 million yen compared with the end of the previous fiscal year.
In liabilities, notes and accounts payable - trade and electronically recorded obligations - operating in total
increased by 1,077 million yen from the end of the previous fiscal year while their turnover period was 71.5 days
(compared with 70.2 days at the end of the previous fiscal year). Meanwhile, short-term borrowings and long-termborrowings in total decreased by 1,064 million yen due to scheduled payment. As a result, total liabilities increased
by 931 million yen from the end of the previous fiscal year to 50,584 million yen.
In net assets, retained earnings increased by 4,265 million yen compared to the end of the previous fiscal year to45,131 million yen. As a result, total net assets increased by 5,119 million yen compared to the end of the previous
fiscal year to 50,843 million yen. The equity ratio at the end of the fiscal year under review was 50.1% (comparedwith 47.9% at the end of the previous fiscal year).

(3) Summary of Cash Flows for the Fiscal Year under Review
Changes in cash and cash equivalents (hereinafter referred to as “capital”) at the end of the fiscal year underreview are as follows.
Cash flows from operating activities resulted in a cash inflow of 4,666 million yen, cash flows from investing
activities resulted in a cash inflow of 450 million yen, and cash flows from financing activities resulted in a cash
outflow of 2,101 million yen. As a result, capital increased by 3,295 million yen (a decrease of 539 million yen asof the end of the previous fiscal year).
- Cash flows from operating activities
Cash flows from operating activities resulted in a cash inflow of 4,666 million yen (a cash inflow of 4,488
million yen as of the end of the previous fiscal year) due in part to securing profit before income taxes of 6,564
million yen by recording sales primarily of marine-use internal combustion engines and extraordinary income due
to gain on sale of investment securities, recording of depreciation of 2,838 million yen, and an increase in trade
payables of 825 million yen while recording a decrease in inventories of 3,088 million yen, a decrease in tradereceivables of 405 million yen, and a decrease in income taxes paid of 1,182 million yen.
- Cash flows from investing activities
Cash flows from investing activities resulted in a cash inflow of 450 million yen (a cash outflow of 3,076
million yen as of the end of the previous fiscal year) due in part to proceeds from sale of investment securities of
2,715 million yen while due to purchase of property, plant and equipment of 2,425 million yen as a result of ongoing
capital investment carried out with the aim of developing engines compatible with next-generation fuels.
- Cash flows from financing activities
Cash flows from financing activities resulted in a cash outflow of 2,101 million yen (a cash outflow of 1,981
million yen as of the end of the previous fiscal year) due to repayments of long-term borrowings of 1,159 million
yen, repayments of finance lease liabilities of 158 million yen, and dividends paid of 883 million yen.

4(4) Outlook for the Future
Concerning the outlook of the Group for the next fiscal year, an overall year-on-year decrease is expected in net
sales.
Regarding sales of marine-use engines, although we expect a year-on-year increase in the number of units to be
shipped of commercial-use engines, the average sales price per engine is expected to decline due to a shift in themodels to be shipped to small- and medium-sized engines, resulting in a decrease in sales. By type of engines, we
expect a year-on-year decrease in the number of units to be shipped of large-sized engines and dual fuel engines. On
the other hand, the number of units to be shipped of small- and medium-sized engines for tankers are expected toincrease year on year due to an increase in demand against a backdrop of a rebound from the stagnant orders received
in the COVID-19 crisis and geopolitical circumstances such as sanctions against Russia.
Sales of engines to the Ministry of Defense are expected to increase year on year, because the number of units tobe shipped of engines according to the shipbuilding process of the Ministry increases.
We assume that maintenance-related sales remain robust but do not reach the level of the previous fiscal year,
which was a record high.
Regarding sales of land-use engines, we expect sales to be on the same level as the previous fiscal year, primarily
for pumping stations in urban areas (for disaster relief).
Regarding sales in the other segment, we expect a year-on-year increase, driven by continued increase in sales
for precision parts-related business.
We will strive to enhance profitability by improving performance and reducing cost of existing engines, as well
as execute growth investment under the mid- to long-term vision “POWER! FOR ALL beyond 2030” formulated in
November 2023.
For vessels, we anticipate that full-scale replacement to engines that are compatible with next-generation fuelstakes place in 2030 onwards. In light of such circumstances, in terms of R&D, we will significantly increase R&D
investment year on year in response to new fuels. In terms of production, we will invest in additional commissioning
facilities in response to next-generation fuel engines at the Himeji Factory, aiming to start operation in 2026. By
consolidating and analyzing various data related to engines to be delivered, we will also promote initiatives toimprove productivity in each process and reduce costs to build servitization business.
For the six months ending September 30, 2024, the Group forecasts net sales of 38,000 million yen, operating
profit of 1,400 million yen, ordinary profit of 1,500 million yen, and profit attributable to owners of parent of 1,100
million yen. For the fiscal year ending March 31, 2025, the Group forecasts net sales of 78,000 million yen, operating
profit of 4,500 million yen, ordinary profit of 4,600 million yen, and profit attributable to owners of parent of 3,100
million yen.

2. Basic Stance Concerning Choice of Accounting Standards
Taking into consideration the comparability of consolidated financial statements among companies, the Groupprepares its consolidated financial statements using Japanese GAAP.
With regard to International Financial Reporting Standards, the Group’s policy is to respond appropriately basedon consideration of the situation in Japan and overseas.

5

3. Consolidated Financial Statements and Primary Notes(1) Consolidated Balance Sheets(Million yen)
As of March 31, 2023
AssetsCurrent assets
Cash and deposits
Notes and accounts receivable - trade, and contract
assetsInventories
Other
Allowance for doubtful accounts
Total current assets
Non-current assets
Property, plant and equipment
Buildings and structures, net
Machinery, equipment and vehicles, net
LandConstruction in progress
Other, net
Total property, plant and equipment
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

6

As of March 31, 2024

26,627

29,616

20,883

21,432

14,5483,339(8)65,38917,6364,137(8)72,814

8,935
6,843
5,084
188
944
21,996
541

8,866
6,222
5,084
768
1,171
22,113
521

2,798
4,223
432
(4)
7,449
29,987
95,377

1,351
4,116
512
(3)
5,977
28,613
101,428

(Million yen)
As of March 31, 2023
Liabilities
Current liabilities
Notes and accounts payable - trade
Electronically recorded obligations - operating
Short-term borrowings
Lease liabilities
Income taxes payable
Provision for bonuses
Provision for bonuses for directors (and other officers)
Accrued expenses
Other
Total current liabilities
Non-current liabilities
Long-term borrowings
Lease liabilities
Provision for retirement benefits for directors (and otherofficers)
Retirement benefit liability
Asset retirement obligations
Other
Total non-current liabilities
Total liabilities
Net assets
Shareholders’ equity
Share capital
Capital surplus
Retained earnings
Treasury shares
Total shareholders' equity
Accumulated other comprehensive income
Valuation difference on available-for-sale securities
Deferred gains or losses on hedges
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

7

As of March 31, 2024

8,179
7,259
4,461
157
526
790
56
5,490
3,665
30,586

8,145
8,371
6,234
89
1,069
956
138
5,479
4,543
35,028

8,800
183

5,961
107

46

46

7,394
195
2,446
19,06649,652

6,784
202
2,453
15,55650,5842,434
2,175
40,865(130)
45,3442,434
2,199
45,131(93)
49,672

344
(27)
284
(267)
333
45
45,724
95,377

588
(88)
220
401
1,121
49
50,843
101,428

(2) Consolidated Statements of Income and Comprehensive Income
Consolidated Statements of Income(Million yen)
For the fiscal year
ended March 31, 2023
Net sales
Cost of sales
Gross profit
Selling, general and administrative expenses
Selling expenses
General and administrative expenses
Total selling, general and administrative expenses
Operating profit
Non-operating income
Interest income
Dividend income
Share of profit of entities accounted for using equity
methodForeign exchange gains
Outsourcing service income
Reversal of allowance for doubtful accounts
Miscellaneous income
Total non-operating income
Non-operating expenses
Interest expenses
Miscellaneous losses
Total non-operating expenses
Ordinary profit
Extraordinary income
Gain on sale of non-current assets
Gain on sale of investment securities
National subsidies
Subsidy income
Total extraordinary income
Extraordinary losses
Loss on abandonment of non-current assets
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

8

For the fiscal year
ended March 31, 2024

72,11357,50014,613

81,77564,76617,0098,522
2,489
11,012
3,601

8,575
3,238
11,814
5,194

10
28

28
37

45

40

18
42
0
70
217

90
53
0
211
463

86
71
158
3,660

78
32
111
5,546

3
61
71
264
400

3
1,012
65
1,081

53
53
4,007
1,208
(154)
1,053
2,954
6
2,948

63
63
6,564
1,689
(279)
1,410
5,154
4
5,149

Consolidated Statements of Comprehensive Income(Million yen)
For the fiscal year
ended March 31, 2023
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 of parent
Comprehensive income attributable to non-controllinginterests

9

For the fiscal year
ended March 31, 2024

2,954

5,154

49
(25)
40
45

243
(54)
72
669

151

(143)

261
3,215

787
5,941

3,209

5,937

6

4

(3) Consolidated Statements of Changes in Equity
For the fiscal year ended March 31, 2023
(Million yen)
Shareholders’ equity
Share capital
Balance at beginning of period

Capital surplus

Retained earnings

2,173

38,393

2,434

Total shareholders’equityTreasury shares(43)

42,957

Changes during period
Dividends of surplus

(476)

(476)

Profit attributable to ownersof parent

2,948

2,948

Purchase of treasury shares
Disposal of treasury shares

1

(135)

(135)

48

50

Net changes in items otherthan shareholders' equity

-

1

2,471

(86)

2,387

2,434

2,175

40,865(130)

45,344

Total changes during period
Balance at end of period

Accumulated other comprehensive income
Valuationdifference on
available-forsale securities
Balance at beginning of period

295

Deferred
gains orlosses onhedges(7)

Foreigncurrencytranslation
adjustment

Remeasurements ofdefinedbenefit plans

Total
accumulated
othercomprehensive
incomeNoncontrollinginterests

97

(313)

72

39

Total net
assets

43,069Changes during period
Dividends of surplus(476)

Profit attributable to ownersof parent

2,948

Purchase of treasury shares(135)

Disposal of treasury shares

50

Net changes in items otherthan shareholders' equity

49

(20)

186

45

261

6

267

Total changes during period

49

(20)

186

45

261

6

2,654

Balance at end of period

344

(27)

284

(267)

333

45

45,72410

For the fiscal year ended March 31, 2024
(Million yen)
Shareholders’ equity
Share capital
Balance at beginning of period

Capital surplus

Retained earnings

2,175

40,865

2,434

Treasury shares(130)

Total shareholders’equity45,344

Changes during period
Dividends of surplus

(883)

(883)

Profit attributable to ownersof parent

5,149

5,149

Purchase of treasury shares
Disposal of treasury shares

24

(0)

(0)

37

61

Net changes in items otherthan shareholders' equity

-

24

4,265

37

4,327

2,434

2,199

45,131(93)

49,672

Total changes during period
Balance at end of period

Accumulated other comprehensive income

Balance at beginning of period

Valuationdifference on
available-forsale securities

Deferred
gains orlosses onhedgesForeigncurrencytranslation
adjustment

Remeasurements ofdefinedbenefit plans

Total
accumulated
othercomprehensive
incomeNoncontrollinginterests

344

(27)

284

(267)

333

45

Total net
assets45,724

Changes during period
Dividends of surplus(883)

Profit attributable to ownersof parent

5,149

Purchase of treasury shares(0)

Disposal of treasury shares

61

Net changes in items otherthan shareholders' equity

243

(61)

(63)

669

787

4

791

Total changes during period

243

(61)

(63)

669

787

4

5,119

Balance at end of period

588

(88)

220

401

1,121

49

50,84311

(4) Consolidated Statements of Cash Flows(Million yen)
For the fiscal year
ended March 31, 2023
Cash flows from operating activities
Profit before income taxes
Depreciation
Increase (decrease) in allowance for doubtful accounts
Increase (decrease) in provision for bonuses
Increase (decrease) in provision for bonuses for directors(and other officers)
Increase (decrease) in retirement benefit liability
Increase (decrease) in provision for retirement benefits
for directors (and other officers)
Interest and dividend income
Interest expenses
Loss (gain) on sale of property, plant and equipment
Loss on abandonment of non-current assets
Loss (gain) on sale of investment securities
Decrease (increase) in trade receivables
Decrease (increase) in inventories
Increase (decrease) in trade payables
Increase/decrease in consumption taxes
payable/consumption taxes refund receivable
Increase (decrease) in guarantee deposits received
Other, net
SubtotalInterest and dividends received
Interest 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 sale of property, plant and equipment
Purchase of intangible assets
Proceeds from sale of investment securities
Proceeds from withdrawal of time deposits
Payments into time deposits
Net cash provided by (used in) investing activities

12

For the fiscal year
ended March 31, 2024

4,007
2,753
(3)
118

6,564
2,838
(1)
165

21

82

119

243

11

0

(39)
86
(3)
53
(61)
(2,509)(1,862)
3,144

(65)
78
(3)
63
(1,012)(405)(3,088)
825

(946)

(425)

(34)
1,169
6,023
39
(86)
(1,488)
4,488

1
0
5,861
66
(78)
(1,182)
4,666(3,033)
18
(175)
128
933
(947)
(3,076)(2,425)
3
(194)
2,715
1,396
(1,044)450

(Million yen)
For the fiscal year
ended March 31, 2023
Cash flows from financing activities
Proceeds from long-term borrowings
Repayments of long-term borrowings
Purchase of treasury shares
Dividends paid
Repayments of finance lease liabilities
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

13

For the fiscal year
ended March 31, 2024100
(1,150)
(135)
(476)
(319)
(1,981)100(1,159)
(0)
(883)
(158)
(2,101)

30

280

(539)
26,35425,815

3,295
25,815
29,110(5) Notes to the Consolidated Financial Statements(Notes on going concern assumption)

There is no relevant information.
(Segment information, etc.)(Segment information)
1. Description of reportable segments
The reportable segments of the Company categorize the business composition of the Company with respect tofinancial information and are based on the financial reporting for performance evaluation with regard to annual
business plan for each business at periodical meetings of the Board of Directors.
The Company’s main business is the manufacture and sale of internal combustion engines; it also provides
products that are not related to internal combustion engines to certain affiliates, and conducts business to utilize thereal estate held by the Company.
The operative conditions of internal combustion engines, which comprise the majority of the Company’sbusiness, are significantly different between marine-use and land-use, and the Company conducts management andevaluation by categorizing production, sales, and after-sales service business activities for engines into marine-use
and land-use.
As a result, the Company’s reportable segments are Marine-use engines and Land-use engines.
2. Method for calculating net sales, profit (loss), assets, liabilities, and other by reportable segment
The accounting method used for reportable business segments is a method that is in compliance with theaccounting principles and procedures adopted for the preparation of consolidated financial statements.
Reportable segment income figures are based on operating profit.
Assets and liabilities are not stated because they are not subject to review by the Board of Directors to determine
the allocation of management resources and evaluate achievement.

14

3. Information on net sales, profit (loss), assets, liabilities, and other by reportable segment
For the fiscal year ended March 31, 2023
(Million yen)Amountrecorded in
Adjustment Consolidated(Notes)*2
Financial
Statements(Notes)*3

Reportable segment
Other(Notes)*1

Total

Marine-use
engines

Land-useengines

56,854

10,99767,852

4,261

72,113-

72,113

-

-

-

-

-

-

-

56,854

10,99767,852

4,261

72,113-

72,113

Segment income

4,603

817

5,420

670

6,090

(2,489)

3,601

Other
Depreciation

1,998

346

2,344

339

2,683

69

2,753

Total

Net sales(1) Net sales to outside
customers(2) Inter-segment net
sales or transfers
Total(Notes)*1 The “Other” category is a business segment that is not included in reportable segments, and includes the industrial
machinery-related business, the real estate leasing-related business, the electricity sales-related business and theprecision parts-related business.
*2 The adjustment for segment income represents corporate expenses, largely consisting of selling, general andadministrative expenses not attributable to the reportable segments.
*3 Segment income is adjusted with operating profit on the Consolidated Statements of Income.
*4 Assets are not allocated to the business segments.

For the fiscal year ended March 31, 2024
(Million yen)Amountrecorded in
Adjustment Consolidated(Notes) *2
Financial
Statements(Notes)*3

Reportable segment
Other(Notes)*1

Total

Marine-use
engines

Land-useengines

68,2699,959

78,2293,546

81,775-

81,775

-

-

-

-

-

-

-

68,2699,959

78,2293,546

81,775-

81,775

Segment income

6,218

1,777

7,996

437

8,433

(3,238)

5,194

Other
Depreciation

2,105

296

2,402

344

2,746

91

2,838

Total

Net sales(1) Net sales to outside
customers(2) Inter-segment net
sales or transfers
Total(Notes)*1 The “Other” category is a business segment that is not included in reportable segments, and includes the industrial
machinery-related business, the real estate leasing-related business, the electricity sales-related business and theprecision parts-related business.
*2 The adjustment for segment income represents corporate expenses, largely consisting of selling, general andadministrative expenses not attributable to the reportable segments.
*3 Segment income is adjusted with operating profit on the Consolidated Statements of Income.
*4 Assets are not allocated to the business segments.

15

(Related information)
For the fiscal year ended March 31, 2023
1. Information by product and service
This is omitted as similar information is disclosed in Segment information.
2. Information by geographical area
1) Net sales(Million yen)

Japan

Asia
35,102Latin America
27,464

Other

1,742

Total
7,804

72,113(Note) Country and region categories are based on geographic proximity.
2) Property, plant and equipment

This is omitted as the amount of property, plant and equipment located in Japan exceeds 90% of that stated in the
consolidated balance sheet.
3. Information by major customer
This is omitted as there were no external customers whose net sales account for more than 10% of net sales in the
consolidated statements of income.
For the fiscal year ended March 31, 2024
1. Information by product and service
This is omitted, as similar information is disclosed in Segment information.
2. Information by geographical area
1) Net sales(Million yen)

Japan

Asia
38,169Latin America
32,910

1,941

Other

Total
8,755

81,775(Note) Country and region categories are based on geographic proximity.
2) Property, plant and equipment

This is omitted as the amount of property, plant and equipment located in Japan exceeds 90% of that stated in the
consolidated balance sheet.
3. Information by major customer
This is omitted as there were no external customers whose net sales account for more than 10% of net sales in the
consolidated statements of income.

16(Per share information)

Category

For the fiscal year
ended March 31, 2023

Net assets per share
Basic earnings per share

For the fiscal year
ended March 31, 2024

1,446.90 yen

1,604.88 yen

93.37 yen

162.87 yen(Note) The basis for the calculation of basic earnings per share is as follows.

Category

For the fiscal year
ended March 31, 2023

For the fiscal year
ended March 31, 2024

Basic earnings per share
Profit attributable to owners of parent (Million yen)

2,948

Amount not attributable to shareholders of common shares(Million yen)
Profit attributable to owners of parent relating to common
2,948
shares (Million yen)
Average number of shares of common shares outstanding
31,573,069 shares
during each fiscal year
(Note) Diluted earnings per share are not presented as there is no share outstanding with dilutive effect.

(Significant subsequent events)

Not applicable.

17

5,149
5,149
31,619,295 shares4. Other(1) Status of Production, Orders Received, and Sales
For the fiscal year under review (from April 1, 2023 to March 31, 2024)
1) Production
Production by segment for the current fiscal year is as follows:
Segment

Volume(Million yen)AmountYear-on-year change

Horsepower%

Internal combustion engines
Marine-use engines

1,377,089

68,26920.1

Land-use engines

65,609

9,959

(9.4)

-

2,909

(19.9)

81,138

13.5

Other
Total
(Notes)*1 Amounts are based on sales prices.
*2 The figures above do not include consumption taxes.

2) Orders received
Orders by segment for the current fiscal year are as follows:(Million yen)Orders received
Segment

VolumeAmountHorsepower

Order backlogs
Year-on-yearchange%Horsepower(8.2)

1,611,934

9.5

101,695(20.7)-

VolumeAmountYear-on-yearchange%Internal combustion engine
Marine-use engines

1,051,499

Land-use engines

80,273

Other

Total

66,241[39,974]
11,753
[160]
3,087
[-]
81,081[40,135]

56,230[28,028]
7,088
[363]
1,040
[-]
64,359[28,392]

(6.5)

(3.5)
33.9
20.6
(0.1)

(Notes)*1 Amounts are based on sales prices.
*2 Figures in brackets [ ] indicate export orders received and the balance of export orders outstanding, and are included in totals.
*3 The figures above do not include consumption taxes.

3) Sales results
Sales by segment for the current fiscal year are as follows:
Segment

VolumeHorsepower

Amount%(Million yen)
Year-on-year change
%

63.0

20.1

5.8

(9.4)

-

(16.8)

53.3

13.4

Export ratio

Internal combustion engine
Marine-use engines

1,377,089

Land-use engines

65,609Other

68,269[43,026]
9,959
[580]
3,546
[-]
81,775[43,606]

Total(Notes)*1 Figures in brackets [ ] indicate export volume, and are included in totals.
*2 Major export destinations and compositions are as follows:
Asia (75.4%), Europe (16.8%), Latin America (4.5%), North America (2.3%), Others (1.0%)*3 The “Other” segment includes precision parts-related (1,898 million yen), industrial machinery-related (1,011 million yen) and realestate leasing-related (636 million yen).
*4 The figures above do not include consumption taxes.

18

(2) Changes in Directors and Corporate Auditors (Scheduled on June 27, 2024)
1. Change in Representative:
Vice President and Representative Kunihiro Morimoto (currently Director and Executive Vice President)
Director
2. Newly promoted Director:
Director and Senior Managing

Toshiki Sanaga (currently Director and Managing Executive Officer)

Executive Officer
3. Candidate for new Director:
Hiroyuki Sakaida (currently Advisor, Eku Energy Japan K.K.)
4. Candidates for new Statutory Auditors:
Yoshihiro Matsubara (currently Adviser, Niterra Co., Ltd.;
currently Director, Audit Committee Member (outside), KeePer TechnicalLaboratory Co., Ltd.)
Nobuki Nakatani (currently General Manager, Accounting Division,
Daihatsu Motor Co., Ltd.)
5. Retiring Director:
Shigeki Kinoshita (currently Chairman)
6. Retiring Statutory Auditors:
Norihide Bessyo (currently Statutory Auditor)
Hitoshi Nakagawa (currently Statutory Auditor)

19

(Reference)
New Management Team (Scheduled on June 27, 2024)(Directors)
President and Representative
Director
Vice President and Representative
Director

Yoshinobu Hotta
Kunihiro Morimoto

Director and Senior Managing Executive Officer

Toshiki Sanaga

Director and Managing Executive Officer
Director and Managing Executive Officer
Director and Managing Executive Officer
Outside Director
Outside Director
Outside Director
Outside Director

Takashi Mizushina
Yoichi Hayata
Hideki Asada
Tamon Tsuda (currently Representative, Tsuda CPA Office)Chiho Takeda (currently Attorney-at-law, Miyake & Partners)
Hiroaki Sato
Hiroyuki Sakaida (currently Advisor, Eku Energy Japan K.K.)(Statutory Auditors)
Standing Statutory Auditor
Outside Statutory Auditor

Outside Statutory Auditor(Executive Officers)
Managing Executive Officer
Executive Officer
Executive Officer
Executive Officer
Executive Officer
Executive Officer
Executive Officer
Executive Officer
Executive Officer

Atsumi Masada
Yoshihiro Matsubara (currently Adviser, Niterra Co., Ltd.;
currently Director, Audit Committee Member (outside), KeePer TechnicalLaboratory Co., Ltd.)
Nobuki Nakatani (currently General Manager, Accounting Division,
Daihatsu Motor Co., Ltd.)

Masaki Hama
Tomohiro Miyoshi
Tetsuya Bando
Shuji Kawano
Shunji Minami
Norihiko Kashimura
Hideharu Nagasawa
Takashi Hanamure
Shuichi Shimomura

20