S T : FY2023 Full Year（263.7KB）

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.

May 8, 2023

	Consolidated Financial Results
	for the Fiscal Year Ended March 31, 2023
	(Under Japanese GAAP)
Company name:	S.T. CORPORATION
Listing:	Tokyo Stock Exchange
Securities code:	4951
URL:	https://www.st-c.co.jp/
Representative:	Takako Suzuki, Representative Executive Officer, President, COO
Inquiries:	Kouichi Yoshizawa, Executive Officer
Telephone:	[phone]

Scheduled date to annual general meeting of shareholders:	June 20, 2023
Scheduled date to commence dividend payments:	June 5, 2023
Scheduled date to file Securities Report:	June 20, 2023
Preparation of supplementary material on financial results:	Yes
Holding of financial results briefing:	Yes

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

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

(1) Consolidated operating results				(Percentages indicate year-on-year changes.)
		Net sales		Operating profit	Ordinary profit	Profit attributable to
			owners of parent
Fiscal year ended	Millions of yen		%	Millions of yen	%	Millions of yen	%	Millions of yen		%
March 31, 2023		45,576		0.2	2,416	(25.7)	2,730	(21.6)	1,828		64.9
March 31, 2022		45,469		-	3,250	-	3,481	-	1,109		-
Note: Comprehensive income	For the fiscal year ended March 31, 2023:	¥2,064 million	[378.7%]
		For the fiscal year ended March 31, 2022:	¥431 million	[-%]

	Basic earnings	Diluted earnings	Return on equity
	per share	per share
Fiscal year ended	Yen	Yen	%
March 31, 2023	82.22	-	5.7
March 31, 2022	49.91	49.91	3.5

Reference: Share of profit (loss) of entities accounted for using equity method For the fiscal year ended March 31, 2023: ¥(11) million For the fiscal year ended March 31, 2022: ¥(69) million

Ordinary profit/

total assets

%

6.0

7.6

Operating profit/

net sales

%

5.3

7.1

Notes: 1. Figures for the fiscal year ended March 31, 2022, are the figures after applying "Accounting Standard for Revenue Recognition" (ASBJ Statement No. 29) and relevant ASBJ regulations. The percentage of year-on-year change is not shown.

2. Diluted earnings per share for the fiscal year ended March 31, 2023, are not given since there are no dilutive shares.

(2) Consolidated financial position

	Total assets	Net assets
As of	Millions of yen	Millions of yen
March 31, 2023	46,116	32,961
March 31, 2022	44,402	31,847

Equity ratio

%

70.2

70.4

Net assets per share

Yen

1,456.38

1,407.03

Reference: Equity
As of March 31, 2023:	¥32,390 million
As of March 31, 2022:	¥31,274 million

(3) Consolidated cash flows

	Cash flows from	Cash flows from	Cash flows from	Cash and cash
	operating activities	investing activities	financing activities	equivalents at end of
				period
Fiscal year ended	Millions of yen	Millions of yen	Millions of yen	Millions of yen
March 31, 2023	4,362	(1,242)	(983)	14,004
March 31, 2022	2,666	(1,669)	(1,075)	11,843

2. Cash dividends

		Annual dividends		Total cash	Payout ratio	Ratio of
	First	Second	Third			dividends to
	Fiscal		dividends
	quarter-	quarter-	quarter-	Total	(Consolidated)	net assets
	year-end	(Total)
	end	end	end			(Consolidated)
	Yen	Yen	Yen	Yen	Yen	Millions of yen	%	%
Fiscal year ended	-	19.00	-	19.00	38.00	853	76.1	2.7
March 31, 2022
Fiscal year ended	-	20.00	-	20.00	40.00	900	48.6	2.8
March 31, 2023
Fiscal year
ending	-	21.00	-	21.00	42.00		49.2
March 31, 2024
(Forecast)

3. Consolidated earnings forecasts for the fiscal year ending March 31, 2024 (April 1, 2023 to March 31, 2024)

(Percentages indicate year-on-year changes.)

	Net sales		Operating profit	Ordinary profit		Profit attributable to	Basic earnings
			owners of parent	per share
	Millions of yen		%	Millions of yen	%	Millions of yen		%	Millions of yen	%	Yen
Six months ending	23,700		1.1	1,650	0.0	1,850		0.2	1,250	2.6	56.20
September 30, 2023
Fiscal year ending	46,350		1.7	2,450	1.4	2,800		2.5	1,900	3.9	85.43
March 31, 2024

* 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
Excluded:	- companies

1. Changes in accounting policies, changes in accounting estimates, and restatement
2. 1. Changes in accounting policies due to revisions to accounting standards and other regulations: Yes
   2. Changes in accounting policies due to other reasons: None
   3. Changes in accounting estimates: None
   4. Restatement: None

Note: For more details, please refer to the section of "Changes in accounting policies" under "(5) Notes on consolidated financial statements" of "3. Consolidated financial statements and significant notes thereto" on page 17 of the attached material.

1. Number of issued shares (common shares)
2. 1. Total number of issued shares at the end of the period (including treasury shares)

As of March 31, 2023	23,000,000 shares
As of March 31, 2022	23,000,000 shares

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

As of March 31, 2023	759,210 shares
As of March 31, 2022	772,820 shares

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

Fiscal year ended March 31, 2023	22,240,825 shares
Fiscal year ended March 31, 2022	22,223,718 shares

• Financial results reports are exempt from audit conducted by certified public accountants or an audit corporation.
• Proper use of earnings forecasts, and other special matters Caution regarding forward-lookingstatements and others
  The forward-looking statements, including earnings forecasts, contained in these materials are based on information currently available to the Company and on certain assumptions deemed to be reasonable. Consequently, the statements herein do not constitute assurances regarding the Company's actual results. Actual financial and other results may differ substantially from the statements herein due to various factors. Please refer to "(1) Outline of operating results for the current fiscal year" of "1. Outline of operating results, etc." on pages 2 to 4 of the attached materials for the suppositions that form the assumptions for the earnings forecasts and cautions regarding the use of the earnings forecasts.
  Change in presentation of amounts
  Amounts given on the Company's consolidated financial statements and other items were previously rounded down to thousands of yen, but starting from the fiscal year ended March 31, 2023, figures are rounded down to millions of yen.
  To make comparisons easier, figures for the previous fiscal year have also been rounded down to millions of yen.
  Method of obtaining the supplementary material on financial results
  We intend to post the video explaining the financial results and the supplementary material on financial results on the Company's website on Tuesday, May 9, 2023.

S.T. CORPORATION (4951)

• Attached Material Index

1. Outline of operating results, etc	2
(1)	Outline of operating results for the current fiscal year	2
(2)	Outline of financial status for the current fiscal year	4
(3)	Basic policy on profit distribution and dividends for the current and next fiscal years	6
2. Basic concept regarding the selection of accounting standards	6
3. Consolidated financial statements and significant notes thereto	7
(1)	Consolidated balance sheet	7
(2)	Consolidated statement of income and consolidated statement of comprehensive
	income	9
	(Consolidated statement of income)	9
	(Consolidated statement of comprehensive income)	10
(3)	Consolidated statement of changes in shareholders' equity	11
(4)	Consolidated statement of cash flows	13
(5)	Notes on consolidated financial statements	15
	(Notes on going concern assumption)	15
	(Notes on significant accounting policies for preparation of consolidated financial statements)	15
	(Changes in accounting policies)	17
	(Related to consolidated balance sheet)	18
	(Related to consolidated statement of income)	19
	(Related to statement of changes in shareholders' equity)	21
	(Related to consolidated statement of cash flows)	23
	(Segment information)	23
	(Per share information)	24
	(Significant post-balance sheet events)	25

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1. Outline of operating results, etc.

1. Outline of operating results for the current fiscal year
   (i) Outline of overall results for the current fiscal year

S.T. CORPORATION (4951)

	Previous
Indicators, etc.	consolidated fiscal
	year
Net sales	45,469
Operating profit	3,250
Ordinary profit	3,481
Profit attributable to owners of parent	1,109
Earnings per share (yen)	49.91

Current consolidated

fiscal year

45,576

2,416

2,730

1,828

82.22

(Millions of yen)

YoY percentage

change (%)

0.2

(25.7)

(21.6)

64.9

64.7

During the current consolidated fiscal year, the Japanese economy showed signs of recovery as restrictions on movement within Japan to limit the spread of the novel coronavirus disease (COVID-19) were relaxed and economic and social activities started to normalize. On the other hand, a sense of uncertainty about the future persists due to energy resource and raw material hikes from the continuing war in Ukraine and concerns surrounding the effects on personal consumption caused by a weak yen, etc. influencing risks to currency exchanges.

Under these circumstances, the Group has taken action to enable sustainable growth under its strategy of brand value management through initiatives that involve "drastic review of the existing business profit structure," "concentrated resources in growth areas," "clarification of business development systems," and "formulation and disclosure of long-term ESG strategies."

As a result, for the current consolidated fiscal year, net sales amounted to 45,576 million yen (up 0.2% year on year), even as sales of Air Care and Cloth Care, the main categories that saw reduced demand following the outbreak of COVID-19, declined. Proactive work in creating new business for Home Care and a shift towards product differentiation and high value added products for Thermal Care and Dehumidity Care increased sales for those categories.

As for profit, while working to limit selling, general and administrative expenses, the total of losses on the valuation of inventories of antibacterial coating agents, etc. from the reduced spread of COVID-19 combined with increases in the cost of sales due to inflated purchasing costs caused by higher prices for raw materials and a weak yen saw operating profit fall to 2,416 million yen (down 25.7% year on year) and ordinary profit settle at 2,730 million yen (down 21.6% year on year) because of reduced share of loss of entities accounted for using equity method, while the disappearance of impairment losses from the previous period saw profit attributable to owners of parent rise to 1,828 million yen (up 64.9% year on year).

1. Status by category of the current fiscal year
   Given that the Group operates a single segment of the daily necessities business, operating results by business category are as follows.

Category	Amount
(Millions of yen)
Air Care (Air Fresheners and Deodorizers)	19,757
Cloth Care (Mothproofing Agents)	7,986
Thermal Care (Disposable Warmers)	4,712
Hand Care (Household Gloves)	5,844
Dehumidity Care (Dehumidifiers)	2,984
Home Care (Others)	4,290
Total	45,576

Composition (%)

43.4

17.5

10.4

12.8

6.5

9.4

100.0

YoY percentage

change (%)

(1.1)

(2.8)

8.0

0.2

4.9

1.5

0.2

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