Hosiden : Financial Results for the nine months ended December.31,2022(numerical information only)

Note: This document has been translated from the Japanese original for reference purposes only. In the event of any discrepancy between this translated document and the Japanese original, the original shall prevail.

February 10, 2023

Consolidated Financial Results

for the First Nine Months Ended December 31, 2022

(Under Japanese GAAP)

Company name:	Hosiden Corporation
Listing:	Tokyo Stock Exchange
Securities code:	6804
URL:	https://www.hosiden.com/en/
Representative:	Kenji Furuhashi, President and CEO
Inquiries:	Takafumi Tsuru, Executive Officer and General Manager of President Office
Telephone:	[phone]

Scheduled date to file quarterly securities report:	February 13, 2023
Scheduled date to commence dividend payments:	-
Preparation of supplementary material on quarterly financial results: None
Holding of quarterly financial results briefing:	None

(Yen amounts are rounded down to millions, unless otherwise noted.)

1. Consolidated financial results for the first nine months ended December 31, 2022 (from April 1, 2022 to December 31, 2022)

(1) Consolidated operating results (cumulative)		(Percentages indicate year-on-year changes.)
		Net sales	Operating profit	Ordinary profit	Profit attributable to
		owners of parent
Nine months ended	Millions of yen	%	Millions of yen	%	Millions of yen	%	Millions of yen	%
December 31, 2022	205,992	32.3	13,177	34.4	15,890	35.9	10,869	23.0
December 31, 2021	155,694	(17.9)	9,806	(1.6)	11,690	34.2	8,834	28.0
(Note) Comprehensive income	For the first nine months ended December 31, 2022	13,930 million yen	[41.9%]
		For the first nine months ended December 31, 2021	9,820 million yen	[20.0%]
	Basic earnings per	Diluted earnings per
		share		share
Nine months ended			Yen		Yen
December 31, 2022			199.10		183.87
December 31, 2021			156.48		145.24

(2) Consolidated financial position

	Total assets	Net assets
As of	Millions of yen	Millions of yen
December 31, 2022	190,122	126,207
March 31, 2022	171,525	119,533
(Reference) Equity
As of December 31, 2022	126,207 million yen
As of March 31, 2022	119,533 million yen

Equity-to-asset ratio

%

66.4

69.7

2. Cash dividends

		Annual dividends per share
	First quarter-end	Second quarter-end	Third quarter-end	Fiscal year-end	Total
	Yen	Yen	Yen	Yen	Yen
Fiscal year ended	-	10.00	-	55.00	65.00
March 31, 2022
Fiscal year ending	-	23.00	-
March 31, 2023
Fiscal year ending				44.00	67.00
March 31, 2023
(Forecast)

(Note) Revision of cash dividend forecast most recently announced: Yes

For the revision of the cash dividend forecast, please refer to the "Notice Regarding Revisions of Financial Results Forecasts and Cash Dividend Forecast" published today, on February 10, 2023.

3. Consolidated financial results forecasts for the fiscal year ending March 31, 2023 (from April 1, 2022 to March 31, 2023)

(Percentages indicate year-on-year changes.)

								Profit attributable to	Basic
	Net sales		Operating profit	Ordinary profit	earnings per
		owners of parent
								share
	Millions of		%	Millions of	%	Millions of	%	Millions of	%	Yen
	yen		yen	yen	yen
Full year	265,000		27.6	15,300	30.5	18,000	14.0	12,000	0.8	221.14
(Note) Revision of financial results forecast most recently announced: Yes

• Financial results forecasts are based on the assumption of a foreign exchange rate of 132 yen per U.S. dollar.
• For the revision of the financial results forecasts, please refer to the "Notice Regarding Revisions of Financial Results Forecasts and Cash Dividend Forecast" published today, on February 10, 2023.

Notes

1. Changes in significant subsidiaries during the period (changes in specified subsidiaries resulting in the change in scope of consolidation): None

Newly included:	- companies (Company name)
Excluded:	- companies (Company name)

1. Application of specific accounting for preparing quarterly consolidated financial statements: None
2. Changes in accounting policies, changes in accounting estimates, and restatement
3. 1. Changes in accounting policies due to revisions to accounting standards and other regulations: None
   2. Changes in accounting policies due to other reasons: None
   3. Changes in accounting estimates: None
4. Number of issued shares (common shares)
5. 1. Total number of issued shares at the end of the period (including treasury shares)

As of December 31, 2022

As of March 31, 2022

64,710,084 shares

64,710,084 shares

(ii) Number of treasury shares at the end of the period

As of December 31, 2022

As of March 31, 2022

11,431,680 shares

9,755,041 shares

1. Average number of shares outstanding during the period (cumulative from the beginning of the fiscal year)

Nine months ended December 31, 2022

Nine months ended December 31, 2021

54,592,933 shares

56,455,679 shares

Notes:1. Quarterly financial results reports are exempt from quarterly review conducted by certified public accountants or an audit corporation.

2. Explanation on proper use of earnings forecasts, and other special matters

1. For matters related to forecasts, please refer to the "Notice Regarding Revisions of Financial Results Forecasts and Cash Dividend Forecast" published today, on February 10, 2023.
2. The forward-looking statements about the future financial results of this document are future forecasts based on the judgment of Hosiden Corporation (the "Company") taking into account the information currently available, and the Company does not intend to make a warranty of their achievement. These forward-looking statements contain various potential risks and uncertainties, and actual results may be materially different from the forward-looking statements due to various material factors. Therefore, the Company asks not to depend highly on these forward-looking statements.

Hosiden Corporation (6804) Consolidated Financial Results for the First Nine Months Ended December 31, 2022

Quarterly consolidated financial statements and significant notes thereto

Quarterly consolidated balance sheets

			(Millions of yen)
		As of March 31, 2022	As of December 31, 2022
Assets
Current assets
Cash and deposits	49,794	59,488
Notes and accounts receivable - trade, and contract	25,864	36,594
assets
Securities	13,699	13,500
Merchandise and finished goods	9,923	9,619
Work in process	3,117	3,675
Raw materials and supplies	38,526	35,777
Other	4,690	5,803
Allowance for doubtful accounts	(45)	(46)
Total current assets	145,572	164,411
Non-current assets
Property, plant and equipment	18,559	18,727
Intangible assets	451	460
Investments and other assets
Investment securities	4,809	4,488
Other	2,423	2,321
Allowance for doubtful accounts	(290)	(287)
Total investments and other assets	6,942	6,522
Total non-current assets	25,952	25,710
Total assets		171,525	190,122

- 1 -

Hosiden Corporation (6804) Consolidated Financial Results for the First Nine Months Ended December 31, 2022

			(Millions of yen)
		As of March 31, 2022	As of December 31, 2022
Liabilities
Current liabilities
Notes and accounts payable - trade	23,614	36,196
Short-term borrowings	2,040	2,293
Income taxes payable	3,179	2,933
Other	7,470	6,710
Total current liabilities	36,305	48,133
Non-current liabilities
Bonds with share acquisition rights	10,051	10,035
Retirement benefit liability	3,577	3,358
Other	2,057	2,386
Total non-current liabilities	15,686	15,780
Total liabilities	51,991	63,914
Net assets
Shareholders' equity
Share capital	13,660	13,660
Capital surplus	19,596	19,603
Retained earnings	94,320	100,902
Treasury shares	(9,586)	(12,563)
Total shareholders' equity	117,990	121,603
Accumulated other comprehensive income
Valuation difference on available-for-sale securities	2,495	2,274
Foreign currency translation adjustment	(1,334)	2,051
Remeasurements of defined benefit plans	381	277
Total accumulated other comprehensive income	1,542	4,604
Total net assets	119,533	126,207
Total liabilities and net assets		171,525	190,122

- 2 -