Consolidated Financial Results for the 2nd Quarter of Fiscal Year Ending March 31, 2022
(J-GAAP)
November 8, 2021
Company name: T.RAD Co., Ltd.
Listing: Tokyo Stock Exchange, First Section
Code No.:
7236
URL: http://www.trad.co.jp
Representative: Tomio Miyazaki, President & COO
Contact:
Norio Kanai, Managing Director & CFO
Tel:+81-3-3373-1101
Scheduled date of filing of 2nd quarter securities report:
November 9, 2021
Scheduled date of start of dividend payments:
November 30, 2021
Supplemental materials prepared for consolidated financial results: None
Briefing on consolidated financial results: Yes(Amounts less than one million yen have been truncated)

1. Consolidated Financial Performance for the 2nd Quarter of Fiscal Year Ending March 31, 2022
(April 1, 2021 to September 30, 2021)(1) Consolidated operating performance(Percentage figures indicate year-on-year change)
Net sales
Millions of yen

Operating income% Millions of yen

Ordinary income% Millions of yen

Six months ended
65,574
34.5
3,417
3,483
―
September30, 2021
Six months ended
48,768 -26.2(1,634)(1,647)―
September30, 2020
Note: Comprehensive income
Six months ended September 30, 2021: ¥ 3,414 million ―%Six months ended September 30, 2020: ¥ —3,207 million ―%Net income per share
Diluted net income per share
Six months ended
September30, 2021
Six months ended
September30, 2020

Yen

Yen

259.32―(342.39)―

Profit attributable toowners of parent% Millions of yen
%

―

1,864

―

―

(2,469)―(2) Consolidated financial position
Total assets

Net assets

Millions of yen

Equity ratio

Net assets per share

Millions of yen%

Yen

45,88647.7

6,177.87

43,21847.3

5,673.72

Six months ended
91,203September30, 2021
Fiscal year ended
86,800March 31, 2021
Reference: Shareholders’ equity
As of September 30, 2021: ¥43,480 million
As of March 31, 2021 : ¥41,048 million

2. Dividends
1Q

2Q
Yen

Dividends per Share
3Q
Yen
Yen

Fiscal year ended
0.00――
March 31, 2021
Fiscal year ending
40.00―
March 31, 2022
Fiscal year ending
March 31, 2022―
(Forecast)
Note: Revisions to the forecast of dividends since the latest official announcement: No

1

Year-end
Yen

Total
Yen

0.00

0.00

50.00

90.00

3. Forecast of Consolidated Financial Performance for the Fiscal Year Ending March 31, 2022
(April 1, 2021 to March 31, 2022)(Percentage figures indicate changes from the same period of the previous year)

Net sales
Millions ofyen%Operating income

Ordinary income

Millions ofyenMillions of
yen

%

%

Profit attributable toowners of parent
Millions of
yen

%

Net
incomeper share
Yen

Fiscal year ending
134,900
19.3
5,200 311.5
5,000
224.5
2,700
317.8
373.19March 31, 2022
Note: Revisions to the forecast of consolidated financial performance since the latest official announcement: No

4. Other(1) Changes in significant subsidiaries during the current quarter(changes in specific subsidiaries resulting in changes in the scope of consolidation): None
(2) Adoption of specific accounting policies for quarterly consolidated financial statements: None
(3) Changes in accounting principles, estimation procedures or presentation methods
1) Changes associated with revision of accounting standards: Yes
2) Changes other than 1): None
3) Changes accounting estimation procedures: None
4) Changes in presentation methods: None
(4) Number of shares issued and outstanding (common stock)1) Number of shares issued and outstanding at end of period (including treasury stock)
As of September 30, 2021: 8,380,711 shares
As of March 31, 2021: 8,380,711 shares
2) Number of shares of treasury stock at end of period
As of September 30, 2021: 1,342,606 shares
As of March 31, 2021: 1,145,779 shares
3) Average number of shares outstanding during the period
Six months ended September 30, 2021: 7,190,968 shares
Six months ended September 30, 2020: 7,211,071 shares* The consolidated financial results presented herein are not subject to the audit procedures by certified public
accountant or audit firm.
* Explanations for proper use of forecasts and other specific affairs
The forward-looking statement such as forecast of financial performance etc. described in this report basedon information currently available and certain assumptions judged to be reasonable. Actual performance
may differ significantly from these projections due to various factors.

2

Table of Contents
1. Qualitative Information for the Second Quarter of Fiscal Year Ending March 31, 2022 ··························· 4(1) Consolidated financial performance ··················································································· 4(2) Consolidated financial position ························································································ 5(3) Future projections including forecasts of consolidated financial performance ··········································· 5
2. Quarterly Consolidated Financial Statements and main notes ·························································· 6(1) Quarterly consolidated balance sheets ················································································ 6(2) Quarterly consolidated statements of income andquarterly consolidated statement of comprehensive income ·········································· 8(Quarterly consolidated statements of income) ···································································· 8(Quarterly consolidated statement of comprehensive income) ················································ 10(3) Quarterly consolidated statements of cash flows ·································································· 11(4) Notes to quarterly consolidated financial statements ····························································· 13(Going concern assumptions)························································································· 13(Notes in the event of significant changes in shareholders’ equity)············································· 13(Changes of accounting policy) ······················································································ 13(Additional information) ······························································································ 13(Segment information)································································································· 14
3. Supplementary information
Sales states (consolidated) ···························································································· 16

31. Qualitative Information for the Second Quarter of Fiscal Year Ending March 31, 2022
(1) Consolidated financial performance
Although there were some signs of recovery, the economic environment has remained challenging due to a shortage ofsemiconductors, soaring prices of raw materials, and the influence of the COVID-19 pandemic, etc. in the second quarter ofthe current consolidated cumulative period. There are concerns that the economy will continue to face uncertainty in the
future. It will depend on the resolution of the semiconductor shortage and the recovery trend from the COVID-19
pandemic.
Under the circumstances, the net sales of the T.RAD Group (on a foreign currency basis) largely increased from thesame period of the previous year in domestic and overseas. Operating income increased in all regions. The profit
attributable to owner of parent increased from the same period of the previous year due to the net sales largely increased etc.
despite increase of income taxes.
As a result, net sales during the consolidated cumulative second quarter increased by 16,805 million yen from theprevious fiscal year, amounting to 65,574 million yen (up 34.5% year on year), operating income increased by 5,052
million yen, amounting to 3,417 million yen, ordinary income increased by 5,131 million yen, amounting to 3,483 million
yen and profit attributable to owners of parent increased by 4,333 million yen, amounting to 1,864 million yen.
The segment results are as follows.
The book-closing date for the consolidated subsidiaries for the first six months of the fiscal year under review is June 30.
In preparing the consolidated financial statements, the financial statements as of, and for the six-month period ended on
this date were used. With respect to material transactions conducted during the period between this date and thebook-closing date for consolidated accounting, we have made adjustments as necessary for consolidated accounting. The
segments relevant to such adjustments include the United States, Europe, Asia and China.
Domestic subsidiaries have the same settlement date that coincides with the last day of the consolidated fiscal year. The
corresponding segment is Other.
Net Sales
Operating Income (Loss)
Six months
Six months
ended
ended
September 30, September 30,
2020
2021

Japan
United States

EuropeAsia
China
Others(including
eliminations)

Increase/
Decrease

Percentage change(on a foreign
currency basis)*Six months
ended
September 30,
2020

Six months
ended
September 30,
2021

Increase/
Decrease

Percentage change(on a foreign
currency basis)*

(%)

(%)

(Millions of yen)

(Millions of yen)

(Millions of yen)

(Millions of yen)

(Millions of yen)

(Millions of yen)

21,366
10,821
1,090
5,646
9,350

28,534
14,7502,352
7,497
12,328

7,167
3,929
1,261
1,850
2,977

33.5
32.8
93.8
28.0
19.9

(1,765)(1,043)
(279)
341
1,049

138
(12)
27
1,281
1,864

1,904
1,031
307
940
815

107.9
98.8
108.9
274.6
58.1

493

112

-381

-77.1

63

117

53

84.8

Total
48,76865,574
16,80530.3(1,634)
3,417
5,052
318.4
*The percentage changes (on a foreign currency basis) in the chart are the percentage changes after correcting for differences
arising from fluctuations in the foreign exchange rates applicable to overseas net sales.
(i) Japan
Net sales of products for automobile industry and construction industrial machines were affected by the novel
coronavirus infections in the second quarter of the previous year, and orders from major customers decreased. However,
due to an increase in orders and other factors in the current term, net sales were significantly increased from the same periodof the previous year. As a result, the net sales in the Japan segment increased by 7,167 million yen, resulting in 28,534
million yen.
Operating income increased by 1,904 million yen from the same period of the previous year due to the net sales largely
increased etc., resulting in 138 million yen.
(ii) United States
Net sales of products for automobile industry were affected by the novel coronavirus infections in the second quarter ofthe previous year, and orders from major customers decreased. However, due to the commencement of mass production ofmodels for which orders were newly received and other factors in the current term, net sales were significantly increased
from the same period of the previous year. Net sales of construction industrial machines decreased from the same period of
the previous year due to the suspension of production of older models.
4

As a result, the net sales in the United States segment increased by 3,929 million yen from the same period of the previous
year due to the net sales largely increased etc., resulting in 14,750 million yen. On a foreign currency basis, it increased by
32.8%.
Operating loss of 12 million yen was posted, improved by 1,031 million yen from the same period of the previous year
due to the net sales largely increased etc.
(iii) Europe
In the Czech Republic and Russia, the net sales of products for automotive industry were affected by the novel
coronavirus infections in the same period of the previous year, and orders from major customers declined. However, the net
sales in the current quarter significantly increased from the same period of the previous year, due to an increase in orders etc.
As a result, the net sales in the Europe segment increased by 1,261 million yen from the same period of the previous year,
resulting in 2,352 million yen. On a foreign currency basis, it increased by 93.8%.
Operating income increased by 307 million yen from the same period of the previous year to 27 million yen in the black,
mainly due to a significant increase in net sales. On a foreign currency basis, it increased by 108.9%.
(iv) Asia
In in Thailand, Indonesia and Vietnam, the net sales of products for automotive industry were affected by the novel
coronavirus infections in the same period of the previous year, and orders from major customers declined. However, the net
sales in the current quarter significantly increased from the same period of the previous year, due to an increase in orders etc.
As a result, the net sales in the Asia segment increased by 1,850 million yen from the same period of the previous year,
resulting in 7,497 million yen. On a foreign currency basis, it increased by 28.0%.
Operating income increased by 940 million yen from the same period of the previous year due to the net sales largely
increased etc., resulting in 1,281 million yen. On a foreign currency basis, it increased by 274.6%.
(v) China
Net sales of products for automobile industry and construction industrial machines were affected by the novel
coronavirus infections in the same period of the previous year, and orders from major customers declined. However, the net
sales in the current quarter significantly increased from the same period of the previous year, due to an increase in orders etc.
As a result, the net sale in the China segment increased by 2,977 million yen from the same period of the previous year,
resulting in 12,328 million yen. On a foreign currency basis, it increased by 19.9%.
Operating income increased by 815 million yen from the same period of the previous year due to the net sales largely
increased etc., resulting in 1,864 million yen. On a foreign currency basis, it increased by 58.1%.
(2) Consolidated financial position
1) Assets, liabilities and net assets
Total assets at the end of current second quarter of the fiscal year under review resulted in 91,203 million yen (up 4,403
million yen from the end of the previous fiscal year) due to the increase of cash and deposits, accounts receivable-trade andinventories etc.
Total liabilities resulted in 45,317 million yen (up 1,734 million yen) due to the increase of accounts payable-trade andloans payable etc.
Net assets resulted in 45,886 million yen (up 2,668 million yen) due to the increase of retained earnings and foreign
currency translation adjustment etc.
2) Cash flows
Cash and cash equivalents at the end of the current second quarter of the fiscal year under review totaled 16,088 million yen,increase of 3,437 million yen from the end of the previous fiscal year.
The factors for increase or decrease of each cash flow in the current second quarter consolidated accumulative period
are as follows.
Net cash provided by operating activities was 5,125 million yen, an increase of 3,432 million yen year on year due tothe increase of profit before income taxes.
Net cash used in investing activities was 3,074 million yen, an increase of 637 million yen year on year.
As a result, the free cash flow, which is the sum of the net cash provided by operating activities and used in investing
activities, amounted to 2,050 million yen (an increase of 2,795 million yen year-on-year).
Furthermore, net cash used in financing activities was 999 million yen, an increase of 978 million yen year on year due
to the repayment of long-term loans payable and purchase of treasury stock etc.
(3) Future projections including forecasts of consolidated financial performance
We did not revise the forecast of consolidated financial performance released on May 17, 2021, as the financial results forthe first six months of the fiscal year under review were within the expected range.

5

2. Quarterly Consolidated Financial Statements and main notes(1) Quarterly consolidated balance sheets(Millions of yen)
FY2021_2Q

FY2020
As of March 31, 2021

As of September 30,
2021

AmountAmount(Assets)
Current assets
Cash and deposits

14,403

15,861

Notes and accounts receivable-trade24,14524,701

Electronically recorded monetary claims-operating

3,025

3,041

Short-term investment securities

489

489

Merchandise and finished goods

2,962

3,132

Work in process

523

638

Raw materials and supplies

5,290

6,537

Others

2,650

2,859

Allowance for doubtful accounts

(165)

(184)

Total current assets

53,32657,077

Building and structures, net

5,844

5,819

Machinery, equipment and vehicles, net

14,537

14,350

Land

2,344

2,366

Lease assets, net

424

407

Construction in progress

3,642

4,406

Other tangible fixed assets, net

1,883

1,857

Total tangible fixed assets

28,676

29,207

Noncurrent assets
Tangible fixed assets

Intangible assets
Goodwill

11－

Others

1,222

1,405

Total intangible assets

1,234

1,405

Investment securities

2,009

1,936

Net defined benefit asset

848

835

Deferred tax assets

89

126

Long-term loans receivable from employees

0

0

628

625

Investments and other assets

OthersAllowance for doubtful accounts

(13)

(11)

Total investments and other assets

3,563

3,513

33,474

34,12686,80091,203

Total noncurrent assets
Total assets

6

(Millions of yen)
FY2021_2Q

FY2020
As of March 31, 2021

As of September 30,
2021

AmountAmount(Liabilities)
Current liabilities
13,074

13,591

Electronically recorded obligations – operating

3,295

3,740

Short-term loans payable

10,675

9,626

444

459

Notes and accounts payable-trade

Lease obligations
Income taxes payable

484

739

Accrued expenses

2,628

2,846

Provision for bonuses

1,116

1,663

Provision for directors’ bonuses－

30

Provision for product warranties

578

411

Provision for loss on order received

148

158

Electronically recorded obligations - non-operating

461

266

Others

1,774

1,037

Total current liabilities

34,681

34,571Long-term loans payable

5,910

7,442

Lease obligations

1,856

1,761

Deferred tax liabilities

694

1,100

Net defined benefit liability

230

241

Noncurrent liabilities

Asset retirement obligations

91

91

Others117

107

Total noncurrent liabilities

8,900

10,74543,58245,317

8,570

8,570

Total liabilities(Net assets)
Shareholders’ equity
Capital stock
Capital surplus

7,521

7,534

Retained earnings

27,46629,330Treasury stock(2,258)(2,909)Total shareholders’ equity

41,29942,526(1,171)40

Remeasurements of defined benefit plans

920

913

Total accumulated other comprehensive income

(250)

953

Non-controlling interests

2,169

2,405

Total net assets

43,21845,886

Total liabilities and net assets

86,80091,203

Accumulated other comprehensive income
Foreign currency translation adjustment

7(2) Quarterly consolidated statements of income and quarterly consolidated statement of comprehensive income(Quarterly consolidated statements of income)(Millions of yen)Six months ended
September 30, 2021

Six months ended
September 30, 2020
(Apr. 1, 2020–September 30, 2020)(Apr. 1, 2021–September 30, 2021)

AmountAmountNet sales

48,76865,574

Cost of sales

45,951

57,181Gross profit

2,817

8,392

Packing and delivery expenses

587

874

Salaries and allowances

971

900

Provision for bonuses

209

467

0

30

Selling, general and administrative expenses

Provision for directors’ bonuses
Retirement benefit expenses

40

37

Welfare expenses

550

565

Provision for product warranties

131

106

Research and development expenses

519

620

Others

1,442

1,371

Total selling, general and administrative expenses

4,452

4,975

Operating income (loss)(1,634)

3,417

52

71

Non-operating income
Interest income
Dividends income32

Equity in earnings of affiliates－

13

Foreign exchange gains

23－

Subsidy income

89－

Others114

119

Total non-operating income

283

205

Interest expenses

137

114

Equity in losses of affiliates

152－

Foreign exchange losses－

16

Others

5

8

296

139

(1,647)

3,483

Non-operating expenses

Total non-operating expenses
Ordinary income (loss)8

(Millions of yen)Six months ended
September 30, 2021

Six months ended
September 30, 2020
(Apr. 1, 2020–September 30, 2020)(Apr. 1, 2021–September 30, 2021)

AmountAmountExtraordinary income
Gain on sales of noncurrent assets

39

5Gain on sales of golf memberships－

11

Total extraordinary income

39

16

Extraordinary loss
Loss on sales of noncurrent assets

34

1

Loss on retirement of noncurrent assets

76

44

Loss on liquidation of subsidiaries and associates

12－

Surcharges

3

－

126

46

(1,734)

3,453

Income taxes-current

481

1,033

Income taxes-deferred

109

372

Total income taxes

590

1,406

(2,324)

2,046

Total extraordinary loss
Income (loss) before income taxes

Profit (loss)
Profit (loss) attributable to non-controlling interests
Profit (loss) attributable to owners of parent

9

144

181

(2,469)1,864

(Quarterly consolidated statement of comprehensive income)(Millions of yen）
Six months ended
September 30, 2021

Six months ended
September 30, 2020
(Apr. 1, 2020–September 30, 2020)(Apr. 1, 2021–September 30, 2021)

AmountAmount(2,324)

2,046

1

－

(820)

1,367

(4)

(7)

(59)

8

Total other comprehensive income

(883)

1,368

Comprehensive income(3,207)3,414(3,287)

3,069

79

345

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 associates accounted for using equity
method(Breakdown)Comprehensive income attributable to owners of the parent
Comprehensive income attributable to non-controlling interests10(3) Quarterly consolidated statements of cash flows(Millions of yen)Six months ended
September 30, 2021

Six months ended
September 30, 2020
(Apr. 1, 2020–September 30, 2020)(Apr. 1, 2021–September 30, 2021)

AmountAmountNet cash provided by (used in) operating activities
Profit (loss) before income taxes(1,734)

3,453

Depreciation and amortization

3,060

2,788

Retirement benefit expenses

(6)

(9)

Increase(decrease) in net defined benefit liability

28

18

Increase (decrease) in provision for directors' retirement benefits(4)－

Increase (decrease) in allowance for doubtful accounts

76

4

Increase (decrease) in provision for bonuses

(446)

545

Increase (decrease) in provision for directors' bonuses

(42)

30

Increase (decrease) in provision for product warranties

56

(180)

Loss on retirement of noncurrent assets

76

44

Loss(gain) on sales of tangible fixed assets

(5)

(3)

3

－

Interest and dividends income

(56)

(73)

Interest expenses

137

114

Surcharges

Foreign exchange losses (gains)

(2)

(5)

Equity in (earnings) losses of affiliates

152

(13)

Decrease(increase) in notes and accounts receivable-trade

3,809

363

Decrease(increase) in inventories(496)(1,080)

Increase(decrease) in notes and accounts payable-trade(2,175)334

Decrease(increase) in other current assets

329

(170)

Increase (decrease) in other current liabilities

(341)

(311)

Other, net

60

56

Subtotal

2,480

5,905

56

166

Interest expenses paid

(131)

(97)

Income taxes paid

(712)

(849)

Net cash provided by (used in) operating activities

1,692

5,125

Interest and dividends income received

11

(Millions of yen)Six months ended
September 30, 2021

Six months ended
September 30, 2020
(Apr. 1, 2020–September 30, 2020)(Apr. 1, 2021–September 30, 2021)

AmountAmountNet cash provided by (used in) investing activities(2,508)(2,749)Proceeds from sales of tangible fixed assets

165

12

Purchase of intangible assets

(129)

(277)

Purchase of tangible assets

1

7

Payments into time deposit

(465)

(432)

Proceeds from withdrawal of time deposits

485

462

Payments for asset retirement obligations

－

(100)

Others14

1(2,437)(3,074)

1,252

468

Proceeds from long-term loans payable

－

3,520

Repayment of long-term loans payable(502)(3,980)

(0)

(687)

Cash dividends paid

(359)

－

Cash dividends paid to non-controlling shareholders

(132)

(108)

Others

(278)

(211)

Net cash provided by (used in) financing activities

(21)

(999)

Effect of exchange rate change on cash and cash equivalents

(308)

422

Net increase (decrease) in cash and cash equivalents(1,074)

1,473

Cash and cash equivalents at beginning of period

13,724

14,614

Cash and cash equivalents at end of period

12,65016,088Proceeds from sales of investment securities

Net cash provided by (used in) investing activities
Net cash provided by (used in) financing activities
Net increase (decrease) in short-term loans payable

Purchase of treasury stock12(4) Notes to quarterly consolidated financial statements(Going concern assumptions)Not applicable(Notes in the event of significant changes in shareholders’ equity)
Based on the resolution of the Board of Directors’ meeting held on July 20, 2021, we disposed of 18,047
shares of treasury stock on August 20, 2021, as restricted stock compensation for Directors and Managing
Executive Officers. Furthermore, we purchased 214,500 shares of treasury stock based on the resolution of theBoard of Directors meeting held on August 2, 2021.
As a result, treasury stock increased by 650 million yen and capital surplus (gain on the disposal of treasury
stock) increased by 12 million yen in the second quarter of the current consolidated cumulative period. As of theend of the second quarter of the current consolidated cumulative period, the treasury stock amounted to 2,909
million yen, and the capital surplus amounted to 7,534 million yen.
(Changes of accounting policy)(Application of accounting standard for revenue recognition)
We have applied the Accounting Standard for Revenue Recognition (hereinafter referred to as the “ASRR”)
under Statement No. 29, March 31, 2020, of the Accounting Standards Board of Japan (ASBJ) since thebeginning of the first quarter of the current consolidated account period. We recognize revenue as the amountreceivable in exchange for goods or services when the possession of the promised goods or services is transferredto the customer.
As a result of the adoption of the ASRR, We have changed from recognition of the cancellation of paid-for
supplies in paid-for transactions to non-recognition of the cancellation of such supplies if we are obligated torepurchase the supplies.
We have complied with the transitional treatment prescribed in the provision of Paragraph 84 of the ASRR to
apply ASRR, adjusted retained earnings per the cumulative effect of retroactively applying the new accounting
policy before the current first quarter to at the beginning of the current quarter and applied the new accounting
policy to the balance at the beginning of this quarter. However, following the method specified in Paragraph 86of the ASRR, we have not applied the new accounting policy retrospectively to contracts for which almost all
revenues were recognized per the previous treatment before the beginning of the first quarter of the current
consolidated cumulative period. Furthermore, we have applied the method prescribed in Paragraph 86 (1) of the
ASRR, conducted account processing for changes in contracts made before the first quarter of the current
consolidated cumulative period based on the contract terms after reflecting all contract changes and adjusted theretained earnings per the cumulative effect of the changes at the beginning of the first quarter of the current
consolidated cumulative period.
As a result, the cost of sales for the second cumulative quarterly consolidated accounting period decreased by
11 million yen. The operating income, ordinary income, and quarterly net profit before taxes each increased by
11 million yen. The balance of retained earnings at the beginning of the current quarter decreased by 1 million
yen.
Following the transitional treatment prescribed in Paragraph 28-15 of the Accounting Standard for Quarterly
Financial Reporting (ASBJ Statement No. 12, March 31, 2020), we did not provide information which is broken
down by category on revenue from contracts with customers for the second quarter of the previous consolidated
cumulative period, broken down by category.
(Application of accounting standard for the fair value measurement)
We have applied the Accounting Standard for Fair Value Measurement (hereinafter referred to as the “Fair
Value Measurement Standard”) under Statement No. 30, July 4, 2019, of the Accounting Standards Board ofJapan (ASBJ) since the beginning of the first quarter of the consolidated cumulative period. Under thetransitional treatment prescribed in Paragraph 19 of the Fair Value Measurement Standard and Paragraph 44-2 ofthe Accounting Standards for Financial Instruments (ASBJ Statement No. 10, July 4, 2019), we will apply the
new accounting policy prescribed by the Fair Value Measurement Standard prospectively. This arrangement does
not affect the quarterly consolidated financial statements.
(Additional information)(About the accounting estimate associated with the spread of novel coronavirus infections)
There has been no notable change in the assumptions regarding the impact of novel coronavirus infections on
the Group’s business as described in the Additional Information section of the Annual Securities Report for theprevious fiscal year.
13

(Segment information)
I Six months ended September 30, 2020 (from April 1, 2020 to September 30, 2020)
1. Net sales and profit (loss) by reportable segments(Millions of yen)
Reportable segment

Net Sales:
Sales to outside customers
Intersegment sales orTransfers
Total
Segment income (loss)

China

Total

Others(Note 3)

5,646

9,350

48,275493

48,768

156

26

643

3,553

807

4,361

10,977

1,247

5,673

9,994

51,8291,301

53,130(1,043)

(279)

341

1,049

(1,698)(15)(1,713)

Japan

UnitedStatesEurope21,366

10,821

1,090

2,570

156

23,936(1,765)

Asia

Total

Note: 1. Our Group consists of the Company and these overseas corporations which are based on a manufacturing
and sales structure. As such, “Japan”, “the United States”, “Europe”, “Asia” and “China” are our fivereportable segments.
2. Major countries or regions belong to each reportable segment
Europe ·············· the Czech Republic, Russia, Germany
Asia ················· Thailand, Indonesia, Vietnam
3. “Others” comprises business operations that are not categorized as reportable segments and includes thebusiness activities of domestic subsidiaries, such as the transportation business.
2. Difference between total segment income (loss) for reportable segments and operating income on consolidated
statements of income, and details of the difference (reconciliation of the difference)(Millions of yen)
Income or loss
AmountTotal segment income(loss)(1,698)
Income(loss) for “Others”(15)
Intersegment eliminations
78
Operating income on consolidated statements of income(loss)(1,634)
3. Impairment loss on noncurrent assets and goodwill, etc., by reportable segment(Significant impairment loss on noncurrent assets)
Not applicable(Significant change in goodwill amount)Not applicable(Significant gain on bargain purchase)
Not applicable14

II Six months ended September 30, 2021 (from April 1, 2021 to September 30, 2021)
1. Net sales and profit (loss) by reportable segments(Millions of yen)
Reportable segment

Net Sales:
Sales to outside customers
Intersegment sales ortransfers
Total
Segment income (loss)

Japan

UnitedStatesEurope28,534

14,7503,528

Others(Note 3)

Total

Asia

China

Total

2,352

7,497

12,32865,462

112

65,574

73

136

105

941

4,784

932

5,716

32,062

14,823

2,488

7,603

13,26970,246

1,044

71,291

138

(12)

27

1,281

1,864

3,299

13

3,313

Note: 1. Our Group consists of the Company and these overseas corporations which are based on a manufacturing
and sales structure. As such, “Japan”, “the United States”, “Europe”, “Asia” and “China” are our fivereportable segments.
2. Major countries or regions belong to each reportable segment
Europe ·············· the Czech Republic, Russia, Germany
Asia ················· Thailand, Indonesia, Vietnam
3. “Others” comprises business operations that are not categorized as reportable segments and includes thebusiness activities of domestic subsidiaries, such as the transportation business.
2. Difference between total segment income (loss) for reportable segments and operating income on consolidated
statements of income, and details of the difference (reconciliation of the difference)(Millions of yen)
Income or loss
AmountTotal segment income
3,299
Income for “Others”
13
Intersegment eliminations
103
Operating income on consolidated statements of income
3,417
3. Impairment loss on noncurrent assets and goodwill, etc., by reportable segment(Significant impairment loss on noncurrent assets)
Not applicable(Significant change in goodwill amount)Not applicable(Significant gain on bargain purchase)
Not applicable15

3. Supplementary information
Sales states (consolidated)(Millions of yen)Six months ended
September 30, 2020

Six months ended
September 30, 2021

(Apr. 1, 2020–September.30, 2020)(Apr. 1, 2021–September.30, 2021)

Amount%Amount%FY2020

Increase/Decrease(Apr 1.2020-Mar 31,2021)

AmountAmount%%For Automobile

36,16074.1

48,683

74.2

12,52234.6

85,81775.9

For Construction &Industrial machine

10,26021.0

14,780

22.6

4,519

44.1

22,381

19.8

For Air conditioner

1,005

2.1

997

1.5

-8

-0.8

1,961

1.7

Other

1,342

2.8

1,113

1.7

-229

-17.1

2,885

2.6

48,768100.0
65,574
Total
Notes: Amounts less than one million yen have been truncated.

100.0

16,80534.5

113,046100.0

16