Torex Semiconductor : Summary of Consolidated Financial Results for the Three Months Ended June 30, 2022

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 Three Months Ended June 30, 2022
		(Based on Japanese GAAP)
				August 15, 2022
Company name:	TOREX SEMICONDUCTOR LTD.
Stock exchange listing:	Tokyo
Stock code:	6616	URL https://www.torex.co.jp/
Representative:	President		Koji Shibamiya
	Corporate Officer
Inquiries:	General Manager, Corporate Planning	Takashi Maegawa	TEL [phone]
	Headquarters
Scheduled date to file Quarterly Securities Report:	August 15, 2022
Scheduled date to commence dividend payments:	-
Preparation of supplementary material on quarterly financial results:	Yes
Holding of quarterly financial results meeting:	No

(Amounts less than one million yen are rounded down)

1. Consolidated financial results for the three months ended June 30, 2022 (from April 1, 2022 to June 30, 2022)

(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		%
Three months ended June 30, 2022	8,593		22.5		1,743	174.1		1,757		159.7		1,238		159.6
Three months ended June 30, 2021	7,013		19.7		636	225.3		676		275.9		476		182.6
	Earnings per share		Diluted earnings per share
			Yen					Yen
Three months ended June 30, 2022			113.19					-
Three months ended June 30, 2021			43.59					-
(2) Consolidated financial position
	Total assets				Net assets	Equity ratio		Net assets per share
	Millions of yen			Millions of yen				%				Yen
As of June 30, 2022		36,429					24,030				66.0		2,196.61
As of March 31, 2022		34,770					22,729				65.4		2,077.66
2. Cash dividends
						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, 2022		-			20.00			-			24.00			44.00
Year ending March 31, 2023		-
Year ending March 31, 2023 (Forecast)					28.00			-			28.00			56.00

3. Forecast of consolidated financial results for the year ending March 31, 2023 (from April 1, 2022 to March 31, 2023)

Percentages indicate year-on-year changes

	Net sales		Operating profit	Ordinary profit	Profit attributable to	Earnings per share
		owners of parent
	Millions of yen	%	Millions of yen	%	Millions of yen	%	Millions of yen	%	Yen
Full year	33,000	6.9	5,000	28.3	5,000	21.2	3,500	10.9	319.93

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4. Notes

1. Changes in significant subsidiaries during the three months ended June 30, 2022 (changes in specified subsidiaries resulting in the change in scope of consolidation):
2. Application of special accounting methods for preparing quarterly consolidated financial statements:

No

No

(3) Changes in accounting policies, changes in accounting estimates, and restatement of prior period financial statements
Changes in accounting policies due to revisions to accounting standards and other regulations:	No
Changes in accounting policies due to other reasons:	No
Changes in accounting estimates:	No
Restatement of prior period financial statements:	No

(4) Number of issued shares (common shares)

Total number of issued shares at the end of the period (including treasury shares)

	As of June 30, 2022	11,554,200	shares	As of March 31, 2022	11,554,200	shares
Number of treasury shares at the end of the period
	As of June 30, 2022	614,377	shares	As of March 31, 2022	614,377	shares
Average number of shares during the period (cumulative from the beginning of the fiscal year)
	Three months ended June 30, 2022	10,939,823	shares	Three months ended June 30, 2021	10,939,914	shares

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Quarterly consolidated financial statements

Consolidated balance sheets

			(Thousands of yen)
		As of March 31, 2022	As of June 30, 2022
Assets
Current assets
Cash and deposits	10,219,751	10,303,950
Notes and accounts receivable - trade	5,916,777	6,228,170
Inventories	8,197,630	9,104,719
Other	552,662	769,864
Allowance for doubtful accounts	(6,373)	(3,909)
Total current assets	24,880,449	26,402,795
Non-current assets
Property, plant and equipment	6,613,258	6,840,285
Intangible assets	777,120	725,099
Investments and other assets
Other	2,528,505	2,494,136
Allowance for doubtful accounts	(29,015)	(32,398)
Total investments and other assets	2,499,489	2,461,737
Total non-current assets	9,889,868	10,027,123
Total assets	34,770,317	36,429,919
Liabilities
Current liabilities
Notes and accounts payable - trade	1,720,227	1,635,835
Short-term borrowings	2,400,000	1,900,000
Current portion of long-term borrowings	950,000	1,200,000
Income taxes payable	1,242,667	320,012
Contract liabilities	30,044	18,518
Provision for bonuses	571,792	153,943
Provision for bonuses for directors (and other officers)	45,000	42,980
Other	2,017,741	2,477,921
Total current liabilities	8,977,473	7,749,211
Non-current liabilities
Bonds payable	-	100,000
Long-term borrowings	2,412,500	3,912,500
Retirement benefit liability	383,131	392,334
Provision for share awards	75,883	82,002
Other	192,052	163,341
Total non-current liabilities	3,063,567	4,650,179
Total liabilities		12,041,040	12,399,390

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			(Thousands of yen)
		As of March 31, 2022	As of June 30, 2022
Net assets
Shareholders' equity
Share capital	2,967,934	2,967,934
Capital surplus	8,299,941	8,299,941
Retained earnings	11,817,830	12,791,404
Treasury shares	(750,278)	(750,278)
Total shareholders' equity	22,335,428	23,309,002
Accumulated other comprehensive income
Valuation difference on available-for-sale securities	(111,934)	(51,673)
Foreign currency translation adjustment	353,682	624,702
Remeasurements of defined benefit plans	152,101	148,497
Total accumulated other comprehensive income	393,849	721,526
Total net assets	22,729,277	24,030,528
Total liabilities and net assets		34,770,317	36,429,919

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Consolidated statements of income (cumulative) and consolidated statements of comprehensive income (cumulative)

Consolidated statements of income (cumulative)

			(Thousands of yen)
		Three months ended	Three months ended
		June 30, 2021	June 30, 2022
Net sales	7,013,829	8,593,789
Cost of sales	5,072,018	5,419,092
Gross profit	1,941,811	3,174,697
Selling, general and administrative expenses	1,305,780	1,431,653
Operating profit	636,031	1,743,043
Non-operating income
Interest and dividend income	8,824	12,388
Foreign exchange gains	27,143	-
Rental income	9,564	10,618
Other	7,504	4,817
Total non-operating income	53,036	27,824
Non-operating expenses
Interest expenses	9,583	8,489
Foreign exchange losses	-	551
Commission expenses	2,000	2,000
Other	813	2,525
Total non-operating expenses	12,396	13,567
Ordinary profit	676,671	1,757,301
Extraordinary losses
Loss on sale and retirement of non-current assets	3,524	3,441
Total extraordinary losses	3,524	3,441
Profit before income taxes	673,146	1,753,859
Income taxes	196,205	515,517
Profit	476,941	1,238,341
Profit attributable to owners of parent		476,941	1,238,341

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