Consolidated Financial Results
for the Nine Months Ended December 31, 2021
[Japanese GAAP]
January 31, 2022
Company name: Daihatsu Diesel Mfg. Co., Ltd.
Stock exchange listing: Tokyo Stock Exchange
Code number: 6023
URL: http://www.dhtd.co.jp
Representative: Yoshinobu Hotta, President
Contact: Takashi Mizushina, Director and Managing Executive Officer
Phone: +81-6-6454-2331
Scheduled date of filing quarterly securities report: February 10, 2022
Scheduled date of commencing dividend payments: Availability of supplementary briefing material on quarterly financial results: Not available
Schedule of quarterly financial results briefing session: Not scheduled(Amounts of less than one million yen are rounded down.)
1. Consolidated Financial Results for the Nine Months Ended December 31, 2021 (April 1, 2021 to December
31, 2021)(1) Consolidated Operating Results(% indicates changes from the previous corresponding period.)
Profit attributable to
Net sales
Operating profit
Ordinary profit
owners of parent
Nine months ended
Million yen%
Million yen%
Million yen%
Million yen%
December 31, 2021
37,357(2.9)
1,389 971.0
1,707 883.7
1,344
December 31, 2020
38,470(6.8)
129 (77.1)
173 (78.3)(157)(Note) Comprehensive income: Nine months ended December 31, 2021: 1,446 million yen [-%]
Nine months ended December 31, 2020: (24) million yen [-%]
Basic earnings per share
Diluted earnings per share
Yen
Yen
Nine months ended
42.35
December 31, 2021
(4.96)
December 31, 2020
(2) Consolidated Financial Position
Total assets

Net assets

Million yen

Equity ratio

Million yen%

84,86042,184As of December 31, 2021
80,381
41,214As of March 31, 2021
(Reference) Equity: As of December 31, 2021: 42,137 million yen
As of March 31, 2021: 41,166 million yen

49.7
51.2

2. Dividends
Annual dividends
1st quarter-end

2nd quarter-end

3rd quarter-end

Yen
Yen
Yen
Fiscal year ended
March 31, 2021
0.00
Fiscal year ending
0.00
March 31, 2022
Fiscal year ending
March 31, 2022
(Forecast)(Note) Revision to the forecast for dividends announced most recently: None

Year-end

Total
Yen

Yen

15.00

15.00

15.00

15.00

3. Consolidated Financial Results Forecast for the Fiscal Year Ending March 31, 2022 (April 1, 2021 toMarch 31, 2022)(% indicates changes from the previous corresponding period.)
Net sales
Million yen

Operating profit%

Million yen

Ordinary profit% Million yen%

Profit attributableto owners of parent
Million yen

Full year
56,000 (1.3)
1,500
50.9
1,800
56.6
(Note) Revision to the financial results forecast announced most recently: None

1,500

Basic earnings
per share

%

Yen

110.7

47.09

* Notes:(1) Changes in significant subsidiaries during the period under review (changes in specified subsidiaries resulting
in changes in scope of consolidation): No(2) Accounting policies adopted specially for the preparation of quarterly consolidated financial statements: No(3) Changes in accounting policies, changes in accounting estimates and retrospective restatement
1) Changes in accounting policies due to the revision of accounting standards: Yes
2) Changes in accounting policies other than 1) above: No
3) Changes in accounting estimates: No4) Retrospective restatement: No(4) Total number of issued shares (common shares)
1) Total number of issued shares at the end of the period (including treasury shares):December 31, 2021: 31,850,000 shares
March 31, 2021: 31,850,000 shares2) Total number of treasury shares at the end of the period:
December 31, 2021: 93,335 shares
March 31, 2021: 90,935 shares
3) Average number of shares during the period:
Nine months ended December 31, 2021: 31,732,860 shares
Nine months ended December 31, 2020: 31,734,651 shares* These quarterly financial results are outside the scope of quarterly review procedures conducted by a certified
public accountant or audit corporation.
* Explanation of the proper use of financial results forecast and other notes
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 “Explanation of Consolidated
Financial Results Forecast and Other Forward-looking Information” on page 3 of the attached material for theassumptions the financial results forecasts are based on, and notes on their use.

Table of Contents
1. Qualitative Information on Quarterly Financial Results for the Period under Review........................................... 2(1) Explanation of Operating Results ..................................................................................................................... 2(2) Explanation of Financial Position ..................................................................................................................... 3(3) Explanation of Consolidated Financial Results Forecast and Other Forward-looking Information ................. 3
2. Quarterly Consolidated Financial Statements and Primary Notes .......................................................................... 4(1) Quarterly Consolidated Balance Sheets ............................................................................................................ 4(2) Quarterly Consolidated Statements of Income and Comprehensive Income .................................................... 6(3) Notes to the Quarterly Consolidated Financial Statements ............................................................................... 8(Notes on going concern assumption) ................................................................................................................. 8(Notes in the case of significant changes in shareholders’ equity) ...................................................................... 8(Changes in accounting policy) ........................................................................................................................... 8(Segment information, etc.)................................................................................................................................. 9
3. Supplementary Information .................................................................................................................................. 10(1) Status of Production, Orders Received, and Sales .......................................................................................... 10

1

1. Qualitative Information on Quarterly Financial Results for the Period under Review(1) Explanation of Operating Results
During the nine months under review (from April 1, 2021 to December 31, 2021), the number of persons
infected with the novel coronavirus (COVID-19) continued to decrease from around September 2021 owing to
the spreading of vaccination, etc. Although there were signs of recovery due to the gradual resumption of
economic activities, the Japanese economy remained slightly stagnant due to the effects of soaring crude oil
prices and a shortage of semiconductors supply. The global economy was also on a track for recovery,
particularly in developed countries, due to both measures against infectious diseases and relaxation of
restrictions on economic activities. However, the situation remains uncertain with no foreseeable future, as
price increases are becoming apparent, the Chinese economy is expected to slow down, and it is reported that a
COVID variant with high infectivity is spreading.
In the shipbuilding and maritime industry, the primary industry in which the Company makes its sales,
market conditions continued to improve against the backdrop of strong transportation demand mainly forcontainer ships and bulk carriers, and orders for new shipbuilding remained strong.
Under such a corporate environment, the Group has promoted activities to improve productivities, reduce
costs, and enhance qualities, and has made efforts to strengthen its competitiveness by such initiatives asdeveloping new technologies that take market trends and customer needs in advance. As a result, consolidated
net sales decreased by 2.9% year-on-year to 37,357 million yen. In terms of profit, operating profit increased by
971.0% year-on-year to 1,389 million yen, ordinary profit increased by 883.7% year-on-year to 1,707 million
yen, and profit attributable to owners of parent was 1,344 million yen (loss attributable to owners of parent of
157 million yen in the previous corresponding period).
Performance by business segment of the Company and the consolidated Group are as follows.
<Internal combustion engines>
1. Marine-use
Although maintenance-related sales increased, net sales decreased by 4.9% year-on-year to 30,565 million
yen and segment income increased by 15.5% year-on-year to 2,640 million yen, due to factors such as a
reduction in sales of engines, primarily to the Ministry of Defense.
2. Land-use
Net sales increased by 5.7% year-on-year to 4,019 million yen while a segment income of 32 million yen
was recorded (a segment loss of 804 million yen in the previous corresponding period) due to factors such as
an increase in maintenance-related sales, in addition to an increase in sales of engines.
Consequently, net sales for the segment decreased by 3.8% year-on-year to 34,585 million yen, but segment
income increased by 80.4% year-on-year to 2,672 million yen.
<Other>
1. Industrial machinery-related
In the aluminum wheel division, both net sales and segment income increased due to the change of sales
mix.
2. Real estate leasing-related
In real estate leasing-related, net sales decreased slightly while segment income decreased.
3. Electricity sales-related
In electricity sales-related, net sales decreased slightly while segment income decreased.
4. Precision parts-related
In precision parts-related, both net sales and segment income increased.
2

Consequently, net sales for the segment increased by 9.4% year-on-year to 2,772 million yen, and segment
income increased by 26.1% year-on-year to 369 million yen.

(2) Explanation of Financial Position
In assets as of the end of the third quarter under review, cash and deposits increased by 5,950 million yen
from the end of the previous fiscal year to 26,278 million yen. Further, inventories rose by 5,027 million yen
from the end of the previous fiscal year. Meanwhile, due to progress made in collection of trade receivables atthe end of the previous fiscal year, notes and accounts receivable - trade, and contract assets decreased by 5,893
million yen from the end of the previous fiscal year. As a result, total assets as of December 31, 2021 increased
by 4,478 million yen to 84,860 million yen.
In liabilities, notes and accounts payable - trade and electronically recorded obligations - operating in total
increased by 2,077 million yen from the end of the previous fiscal year. In addition, despite scheduled paymentof 2,751 million yen, short-term borrowings and long-term borrowings in total increased by 828 million yen due
to the additional borrowing of 3,580 million yen for the purpose of raising working capital. As a result, total
liabilities increased by 3,508 million yen to 42,675 million yen.
In net assets, retained earnings increased by 867 million yen compared to the end of the previous fiscal year
due to the recording of 1,344 million yen in profit attributable to owners of parent, despite the payment of cash
dividends of 476 million yen. As a result, total net assets increased by 970 million yen to 42,184 million yen.
(3) Explanation of Consolidated Financial Results Forecast and Other Forward-looking Information
As to the consolidated financial results forecast for the fiscal year ending March 31, 2022, no revisions havebeen made to the forecast announced on October 22, 2021.
The forecasts stated herein are based on information available to the Company as of the date of publicationof this document. Actual results may differ from these forecasts due to a wide range of factors that may arise in
the future.

3

2. Quarterly Consolidated Financial Statements and Primary Notes(1) Quarterly Consolidated Balance Sheets(Million yen)
As of March 31, 2021
AssetsCurrent assets
Cash and deposits
Notes and accounts receivable - trade
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
Long-term loans receivable
Deferred tax assets
Other
Allowance for doubtful accounts
Total investments and other assets
Total non-current assets
Total assets

4

As of December 31, 2021

20,327
17,97026,278－－12,076

10,7251,639(11)50,651

15,752
1,988(8)
56,087

9,646
5,914
5,084
387
891
21,925
942

9,207
5,878
5,084
343
793
21,308
696

2,669
0
3,677
570
(55)
6,862
29,73080,381

2,656
0
3,648
517
(55)
6,767
28,772
84,860(Million yen)
As of March 31, 2021
Liabilities
Current liabilities
Notes and accounts payable - trade
Electronically recorded obligations - operating
Short-term borrowings
Lease obligations
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 obligations
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
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

5

As of December 31, 2021

5,373
4,172
6,545
441
473
625
6
3,271
1,193
22,103

6,551
5,072
4,687
358
194
212
38
3,266
2,401
22,781

6,711
482

9,398
332

66

31

7,225
193
2,384
17,06339,167

7,503
194
2,433
19,89342,6752,434
2,171
36,901(42)
41,4652,434
2,173
37,769(43)
42,333

247
(36)
(509)
(298)
47
41,21480,381

261
39
(497)
(196)
47
42,18484,860(2) Quarterly Consolidated Statements of Income and Comprehensive Income
Quarterly Consolidated Statements of Income
For the nine months ended December 31(Million yen)
For the nine months
ended December 31, 2020
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
Foreign exchange losses
Miscellaneous losses
Total non-operating expenses
Ordinary profit
Extraordinary income
Gain on sale of non-current assets
Subsidy income
Total extraordinary income
Extraordinary losses
Loss on sale of non-current assets
Loss on abandonment of non-current assets
Loss on valuation of investment securities
Total extraordinary losses
Profit before income taxes
Income taxes - current
Income taxes - deferred
Total income taxes
Profit (loss)
Profit (loss) attributable to non-controlling interests
Profit (loss) attributable to owners of parent

6

For the nine months
ended December 31, 2021

38,47031,428
7,042

37,357
29,072
8,285

5,267
1,644
6,912
129

5,242
1,652
6,895
1,389

8
27

4
37

1

20

－
22
4
112
176

11
198
2
115
391

69
46
16
132
173

64
－
8
73
1,707

1
1

1
152
153

0
12
7
20
154
469
(154)
314
(160)
(3)
(157)

－
4
－
4
1,857
498
14
512
1,344
0
1,344

Quarterly Consolidated Statements of Comprehensive Income
For the nine months ended December 31(Million yen)
For the nine months
ended December 31, 2020
Profit (loss)
Other comprehensive income
Valuation difference on available-for-sale securities
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 ofparentComprehensive income attributable to non-controllinginterests

7

For the nine months
ended December 31, 2021

(160)

1,344

27
3
83

13
36
12

22

39

136
(24)

101
1,446

(20)

1,445

(3)

0

(3) Notes to the Quarterly Consolidated Financial Statements(Notes on going concern assumption)
There is no relevant information.
(Notes in the case of significant changes in shareholders’ equity)
For the nine months ended December 31, 2021 (from April 1, 2021 to December 31, 2021)
There is no relevant information.
(Changes in accounting policy)(Application of Accounting Standard for Revenue Recognition, etc.)“Accounting Standard for Revenue Recognition” (ASBJ Statement No. 29, March 31, 2020; hereinafter referred
to as the “Revenue Recognition Accounting Standard”) has been applied from the beginning of the first quarter ofthis fiscal year, whereby revenue shall be recognized by the amount of money expected to be received in exchange
for goods or services at the point where control of the agreed goods or services is transferred to the customer.
Further, alternative treatments as stipulated in Paragraph 98 of the “Implementation Guidance on AccountingStandard for Revenue Recognition” have been applied to domestic sales of merchandise or products, for whichrevenue will be recognized at the point of shipment if the period from shipping to the point where control of themerchandise or products is transferred to the customer is a standard period.
The application of the Revenue Recognition Accounting Standard, etc. has been in accordance with thetransitional treatment stipulated in the proviso of Paragraph 84 of the Revenue Recognition Accounting Standard,
whereby the cumulative effects of retroactively applying the new accounting policy prior to the beginning of the firstquarter of this fiscal year has been added to, or subtracted from, the retained earnings at the beginning of the firstquarter, with the new accounting policy being applied from the balance at the beginning of the first quarter. However,by applying the method stipulated in Paragraph 86 of the Revenue Recognition Accounting Standard, the new
accounting policy has not been retroactively applied to contracts for which almost all revenue amounts had beenrecognized in accordance with the previous treatment prior to the beginning of the first quarter of this fiscal year. In
addition, by applying the methods stipulated in additional item (1) under Paragraph 86 of the Revenue Recognition
Accounting Standard, accounting treatment has been applied to contract changes made prior to the beginning of thefirst quarter of this fiscal year in accordance with the contractual conditions after all the contract changes have beenreflected, and the cumulative effects of this has been added to, or subtracted from, the retained earnings at the
beginning of the first quarter of this fiscal year.
The impact to profit and loss for this third quarter under review and retained earnings at the beginning of thethird quarter from applying the Revenue Recognition Accounting Standard, etc. is minor.
Due to the application of the Revenue Recognition Accounting Standard, etc., “Notes and accounts receivable– trade” as presented under “Current assets” on the “Consolidated Balance Sheets” for the previous fiscal year has
been included in “Notes and accounts receivable - trade, and contract assets” from the first quarter of this fiscal year.
In accordance with the transitional treatment as stipulated in Paragraph 89-2 of the Revenue Recognition AccountingStandard, reclassification of accounts under the new display method has not been made for the previous fiscal year.
(Application of accounting standards for calculating fair market values)
From the beginning of the first quarter of this fiscal year, the Accounting Standard for Fair Value Measurement(ASBJ Statement No. 30, July 4, 2019; hereinafter referred to as the “Fair Value Measurement Accounting Standard”)
has been applied, and in accordance with the transitional treatments stipulated in Paragraph 19 of the Fair Value
Measurement Accounting Standard and Paragraph 44-2 of the “Accounting Standard for Financial Instruments”(ASBJ Statement No. 10, July 4, 2019), a new accounting policy as stipulated by the Fair Value Measurement
Accounting Standard shall be applied going forward. This shall have no impact on the quarterly consolidated
financial statements.
8

(Segment information, etc.)
1. Information on net sales and profit (loss) by reportable segment
For the nine months ended December 31, 2020 (from April 1, 2020 to December 31, 2020)
Reportable segment
Marine-use
engines

Land-useengines

Other(Notes)*1

Total

Adjustment(Notes) *2

Total(Million yen)Amountrecorded in
Quarterly
Consolidated
Statements ofIncome(Notes)*3

Net sales
Net sales to outside
customers

32,1333,802

35,9362,534

38,470-38,470Inter-segment net
sales or transfers

-

-

-

-

-

-

-

Total

32,1333,802

35,9362,534

38,470-38,470

Segment income (loss)

2,286

(804)

1,481

292

1,774

(1,644)

129(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 (loss) represents corporate expenses, largely consisting of selling, general andadministrative expenses not attributable to the reportable segments.
*3 Segment income (loss) is adjusted with operating profit on the Quarterly Consolidated Statements of Income.

For the nine months ended December 31, 2021 (from April 1, 2021 to December 31, 2021)
Reportable segment
Marine-use
engines

Land-useengines

Other(Notes)*1

Total

Adjustment(Notes) *2

Total(Million yen)Amountrecorded in
Quarterly
Consolidated
Statements ofIncome(Notes)*3

Net sales
Net sales to outside
customers

30,565

4,019

34,5852,772

37,357-37,357

Inter-segment net
sales or transfers

-

-

-

-

-

-

-

30,565

4,019

34,5852,772

37,357-37,357

2,640

32

2,672

369

3,042

(1,652)

1,389

Total
Segment income(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 Quarterly Consolidated Statements of Income.

93. Supplementary Information(1) Status of Production, Orders Received, and Sales
For the nine months ended December 31, 2021 (from April 1, 2021 to December 31, 2021)
1) Production
Production by segment for the nine months ended December 31, 2021 is as follows:(Million yen)Segment

VolumeAmountYear-on-year change

Horsepower%

Internal combustion engines
Marine-use engines

738,973

30,565(4.9)

Land-use engines

19,102

4,019

5.7

-

2,300

11.6

36,886

(2.9)

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 nine months ended December 31, 2021 are as follows:(Million yen)Orders received
Segment

VolumeAmountHorsepower

Order backlogs
Year-on-yearchange%Horsepower

47.6

1,751,005

31.3

115,036

5.3-

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

1,256,840

Land-use engines

53,989

Other

Total

(Notes)44,821[27,420]
8,093
[315]
2,174
[-]
55,088[27,735]

42.7

39,022[21,317]
8,809
[313]
551
[-]
48,384[21,630]

53.4
17.0(20.2)
43.8*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.

103) Sales results
Sales by segment for the nine months ended December 31, 2021 are as follows:
Segment

VolumeHorsepower

AmountExport ratio%(Million yen)
Year-on-year change%Internal combustion engine
Marine-use engines

738,973

30,56558.5(4.9)[17,878]
Land-use engines
19,102
4,019
7.8
5.7
[315]
Other
2,772
9.4
[-]
37,357
Total
48.7
(2.9)
[18,194](Notes) *1 Figures in brackets [ ] indicate export volume, and are included in totals.
*2 Major export destinations and compositions are as follows:
Asia (68.4%), Europe (19.7%), Latin America (7.0%), North America (2.9%), Others (2.0%)*3 The “Other” segment includes precision parts-related (1,075 million yen), industrial machinery-related (1,225 million
yen) and real estate leasing-related (471 million yen).
*4 The figures above do not include consumption taxes.

11