Maruwa Regulatory News (MAW)

Translation

Notice: This document is an excerpt translation of the original Japanese document and is only for reference purposes. In the event of any discrepancy between this translated document and the original Japanese document, the latter shall prevail.

Summary of Consolidated Financial Results

for the Six Months Ended September 30, 2024

(Based on Japanese GAAP)

October 29, 2024

Company name:

MARUWA CO., LTD.

Stock exchange listing:

Tokyo, Nagoya

Stock code:

5344

URL https://www.maruwa-g.com/

Representative:

President

Toshiro Kanbe

Inquiries:

Corporate Officer

Daisuke Yamaguchi

TEL 0561-51-0841

Scheduled date to file Semi-annual Securities Report:

November 13, 2024

Scheduled date to commence dividend payments:

December 2, 2024

Preparation of supplementary material on financial results:

Yes

Holding of financial results meeting:

Yes

(for analysts and institutional investors)

(Amounts less than one million yen are rounded down)

(1) Consolidated operating results (cumulative)

Percentages indicate year-on-year changes

Net sales

Operating profit

Ordinary profit

Profit attributable to owners of parent

Millions of yen

%

Millions of yen

%

Millions of yen

%

Millions of yen

%

Six months ended September 30, 2024

34,822

24.1

12,789

47.9

11,999

24.8

8,440

24.5

Six months ended September 30, 2023

28,063

(5.4)

8,649

(18.5)

9,616

(21.3)

6,777

(21.2)

Earnings per share

Diluted earnings per share

Yen

Yen

Six months ended September 30, 2024

684.12

-

Six months ended September 30, 2023

549.38

-

Total assets

Net assets

Equity ratio

Millions of yen

Millions of yen

%

As of September 30, 2024

131,278

118,030

89.9

As of March 31, 2024

122,515

109,203

89.1

Annual dividends per share

1st quarter-end

2nd quarter-end

3rd quarter-end

Fiscal year-end

Total

Yen

Yen

Yen

Yen

Yen

Year ended March 31, 2024

-

43.00

-

43.00

86.00

Year ending March 31, 2025

-

47.00

Year ending March 31, 2025 (Forecast)

-

47.00

94.00

Percentages indicate year-on-year changes

Net sales

Operating profit

Ordinary profit

Profit attributable to owners of parent

Earnings per share

Millions of yen

%

Millions of yen

%

Millions of yen

%

Millions of yen

%

Yen

Full year

70,300

14.2

23,000

16.2

-

-

-

-

-

(1) Significant changes in the scope of consolidation during the six months ended September 30, 2024:

No

(2) Application of special accounting methods for preparing semi-annual consolidated financial statements:

No

Changes in accounting policies due to revisions to accounting standards and other regulations:

Yes

Changes in accounting policies due to other reasons:

No

Changes in accounting estimates:

No

Restatement of prior period financial statements:

No

As of September 30, 2024

12,372,000

 shares

As of March 31, 2024

12,372,000

 shares

As of September 30, 2024

32,058

 shares

As of March 31, 2024

34,125

 shares

Six months ended September 30, 2024

12,339,942

 shares

Six months ended September 30, 2023

12,337,296

 shares

(Millions of yen)

As of March 31, 2024

As of September 30, 2024

Assets

Current assets

Cash and deposits

55,250

64,882

Notes receivable - trade

360

155

Accounts receivable - trade

13,960

14,318

Electronically recorded monetary claims - operating

1,746

1,384

Merchandise and finished goods

2,248

2,103

Work in process

2,960

3,427

Raw materials and supplies

4,575

4,673

Other

2,516

1,586

Allowance for doubtful accounts

(133)

(103)

Total current assets

83,485

92,428

Non-current assets

Property, plant and equipment

Buildings and structures, net

15,947

14,787

Machinery, equipment and vehicles, net

12,040

11,544

Land

5,005

5,007

Construction in progress

2,952

4,176

Other, net

786

823

Total property, plant and equipment

36,733

36,338

Intangible assets

Other

318

396

Total intangible assets

318

396

Investments and other assets

1,977

2,114

Total non-current assets

39,029

38,849

Total assets

122,515

131,278

(Millions of yen)

As of March 31, 2024

As of September 30, 2024

Liabilities

Current liabilities

Notes and accounts payable - trade

2,957

2,618

Electronically recorded obligations - operating

2,355

892

Current portion of long-term borrowings

400

400

Income taxes payable

2,851

3,696

Provision for bonuses

1,042

1,189

Provision for bonuses for directors (and other officers)

124

6

Other

3,091

3,997

Total current liabilities

12,821

12,800

Non-current liabilities

Deferred tax liabilities

127

85

Other

361

361

Total non-current liabilities

489

447

Total liabilities

13,311

13,247

Net assets

Shareholders' equity

Share capital

8,646

8,646

Capital surplus

12,031

12,103

Retained earnings

87,573

95,483

Treasury shares

(210)

(197)

Total shareholders' equity

108,042

116,036

Accumulated other comprehensive income

Valuation difference on available-for-sale securities

171

115

Foreign currency translation adjustment

989

1,878

Total accumulated other comprehensive income

1,161

1,994

Total net assets

109,203

118,030

Total liabilities and net assets

122,515

131,278

(Millions of yen)

Six months ended

September 30, 2023

Six months ended

September 30, 2024

Net sales

28,063

34,822

Cost of sales

14,054

16,101

Gross profit

14,008

18,720

Selling, general and administrative expenses

5,359

5,930

Operating profit

8,649

12,789

Non-operating income

Interest income

82

99

Rental income

58

66

Foreign exchange gains

800

-

Other

67

72

Total non-operating income

1,008

237

Non-operating expenses

Foreign exchange losses

-

969

Interest expenses

0

0

Rent expenses on real estate for investments

25

31

Other

14

27

Total non-operating expenses

41

1,028

Ordinary profit

9,616

11,999

Extraordinary income

Gain on sale of non-current assets

-

0

Gain on sale of investment securities

12

-

Subsidy income

-

2,576

Total extraordinary income

12

2,576

Extraordinary losses

Loss on sale and retirement of non-current assets

134

86

Loss on tax purpose reduction entry of non-current assets

-

2,360

Other

7

-

Total extraordinary losses

141

2,447

Profit before income taxes

9,486

12,128

Income taxes - current

2,646

3,745

Income taxes - deferred

62

(58)

Total income taxes

2,708

3,687

Profit

6,777

8,440

Profit attributable to owners of parent

6,777

8,440

(Millions of yen)

Six months ended

September 30, 2023

Six months ended

September 30, 2024

Profit

6,777

8,440

Other comprehensive income

Valuation difference on available-for-sale securities

30

(56)

Foreign currency translation adjustment

629

888

Total other comprehensive income

660

832

Comprehensive income

7,438

9,273

Comprehensive income attributable to

Comprehensive income attributable to owners of parent

7,438

9,273

(Millions of yen)

Six months ended

September 30, 2023

Six months ended

September 30, 2024

Cash flows from operating activities

Profit before income taxes

9,486

12,128

Depreciation

1,763

2,158

Increase (decrease) in allowance for doubtful accounts

0

(31)

Loss (gain) on sale of investment securities

(4)

-

Loss (gain) on sale and retirement of non-current assets

134

86

Interest and dividend income

(91)

(103)

Interest expenses

0

0

Subsidy income

-

(2,576)

Loss on tax purpose reduction entry of non-current assets

-

2,360

Decrease (increase) in trade receivables

(2,395)

333

Decrease (increase) in inventories

(1,057)

(334)

Increase (decrease) in trade payables

293

(1,150)

Other, net

903

1,020

Subtotal

9,032

13,892

Interest and dividends received

91

103

Interest paid

(0)

(0)

Income taxes refund (paid)

(2,633)

(2,886)

Net cash provided by (used in) operating activities

6,490

11,109

Cash flows from investing activities

Purchase of property, plant and equipment

(6,832)

(3,828)

Proceeds from sale of property, plant and equipment

-

0

Payments for retirement of property, plant and equipment

(67)

(72)

Purchase of intangible assets

(35)

(93)

Purchase of investment securities

(84)

(133)

Proceeds from sale of investment securities

166

-

Subsidies received

-

2,676

Other, net

(10)

5

Net cash provided by (used in) investing activities

(6,863)

(1,446)

Cash flows from financing activities

Repayments of long-term borrowings

(133)

-

Purchase of treasury shares

(3)

(0)

Proceeds from sale of treasury shares

17

-

Dividends paid

(493)

(530)

Net cash provided by (used in) financing activities

(612)

(531)

Effect of exchange rate change on cash and cash equivalents

333

511

Net increase (decrease) in cash and cash equivalents

(652)

9,643

Cash and cash equivalents at beginning of period

49,585

55,013

Cash and cash equivalents at end of period

48,933

64,656