EXEDY Corporation (7278) FY2023 2nd Quarter Financial Results

October 30, 2023

FY2023 2nd Quarter Consolidated Financial Results〔IFRS〕

(April 1, 2023 through September 30, 2023)

(English translation extracted from the original Japanese document)

Company Name:

EXEDY Corporation

Listing:Tokyo Stock Exchange

Code No.:

7278

URL:https://www.exedy.com

Representative:

Tetsuya Yoshinaga, Representative Director, President

Contact Person:

Hiroshi Toyohara, Representative Director, Senior Executive Managing Officer,

Executive General Manager of Administrative Headquarters

Telephone:

+81-72-822-1152

Scheduled date to file quarterly securities report: November 10, 2023

Scheduled Date to commence dividend payments: November 27, 2023

Preparation of supplementary material on quarterly Financial Results : Yes

Holding of quarterly financial results briefing: None

(Note: All amounts less than one million yen is rounded off)

1. Consolidated Financial Results for the 2nd Quarter of FY2023 (April 1, 2023 to September 30, 2023)

(1) Consolidated Operating Results (cumulative)

(Percentage of change from previous year)

Profit

Profit Attributable to

Total

Revenue

Operating Profit

Profit

Comprehensive

before Tax

Owners of Parent

Income

Million

%

Million

%

Million

%

Million

%

Million

%

Million

%

Yen

Yen

Yen

Yen

Yen

Yen

FY2023 Q2

151,195

9.4

6,431

80.0

8,076

32.5

5,906

38.8

5,369

38.8

13,864

2.1

FY2022 Q2

138,206

12.0

3,537

(58.8)

6,097

(32.5)

4,255

(35.3)

3,867

(34.8)

13,573

113.7

Basic Earnings

Diluted Earnings

per Share

per Share

Yen

Yen

FY2023 Q2

114.33

-

FY2022 Q2

82.39

-

(2) Consolidated Financial Position

Total Assets

Total Equity

Equity Attributable

Ratio for Equity Attributable

to Owners of Parent

to Owners of Parent

Million Yen

Million Yen

Million Yen

%

FY2023 Q2

342,293

250,528

235,968

68.9

FY2022

331,875

239,901

225,563

68.0

2. Dividends

Annual Dividends per Share

Fiscal Year-end

1st Quarter

2nd Quarter

3rd Quarter

Yen

Yen

Yen

Yen

FY2022

-

45.00

-

45.00

FY2023

-

60.00

FY2023 (Forecast)

-

-

60.00

(Note) Revisions of dividend forecast from recently announced figures: None

Total

Yen

90.00

120.00

3. FY2023 Consolidated Financial Forecast (April 1, 2023 to March 31, 2024)

(Percentage of change from previous year)

Revenue

Operating Profit

Income before

Profit Attributable to

Basic Earnings

Income Taxes

Owners of Parent

Per Share

millions of yen

%

millions of yen

%

millions of yen

%

millions of yen

%

yen

FY2023

310,000

8.5

13,000

48.4

14,000

41.2

9,000

96.1

191.64

(Note) Revisions of financial forecast from recently announced figures: Yes

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.

EXEDY Corporation (7278) FY2023 2nd Quarter Financial Results

  • General Notes
  1. Changes in important subsidiaries during the period
    (Changes in specified subsidiaries due to changes in the scope of consolidation): None
  2. Changes in Accounting Policies, Accounting Estimations

① Changes in accounting policies required by IFRS

：None

② Changes in accounting policies except ①

：None

③ Changes in accounting estimates

：None

(Note) For the details, refer to attachment p.11 "2. Quarterly Consolidated Financial Statements

and Principal Notes (5) Notes on Quarterly Consolidated Financial Statements"

(3) Number of Outstanding Shares (Ordinary shares)

① Number of shares outstanding at the

FY2023 Q2

48,593,736 shares

FY2022 Q4

48,593,736 shares

end of period (including treasury shares)

②Number of treasury shares at the end

FY2023 Q2

1,629,677 shares

FY2022 Q4

1,639,537 shares

of period

③Average number of ordinary shares

FY2023 Q2

46,958,426 shares

FY2022 Q2

46,938,476 shares

outstanding during the period

(Note) The shares held within the ESOP trust accounts (FY2023 Q2: 83,300 shares, FY2022 Q4: 89,800 shares) are included in the number of Treasury Shares at the end of period. Furthermore, the shares held within the ESOP trust accounts are included in Treasury Shares that are deducted in the calculation of the average number of shares for the period. (FY2023 Q2 : 87,014 shares, FY2022 Q2 : 96,486 shares)

  • Quarterly financial statements are not subject to quarterly reviews by certified accountants or audit corporations.
  • Regarding the appropriate use of Financial forecasts and other information

The above forecast is based on the information available, or the assumptions which the company thinks reasonable as of the release of this report. Actual results might be different from the above estimates due to subsequent changes in circumstances.

EXEDY Corporation (7278) FY2023 2nd Quarter Financial Results

Table of Contents of Attachments

1. Qualitative Information on Quarterly Financial Results.…………………………………………………………………

2

(1)

Explanation of Operating Results……………...……………………………………………………………………

2

(2)

Explanation of Financial Position...…………………………………………………………………………………

3

(3)

Explanation of Forecast of Consolidated Financial Results and Other Forward-Looking Information………

3

2. Quarterly Consolidated Financial Statements and Principal Notes…………………………………………………...

4

(1)

Quarterly Consolidated Statement of Financial Position…………………………………………………………

4

(2)

Quarterly Consolidated Statement of Income/Consolidated Statement of Comprehensive Income …………

6

(3)

Quarterly Consolidated Statement of Changes in Equity……………………………………………………….…

8

(4)

Quarterly Consolidated Statement of Cash Flows…………………………………………………………………

10

(5)

Notes on Quarterly Consolidated Financial Statements…………………………………………………………

11

(Notes for Going Concern) …………………………………………………………………….………….………

11

(Change of Accounting Policy) ……………………………………………………………………………………

11

(Change in Accounting Estimate) …………………………………………………………………………………. 11

(Segment Information) ……………………………………………………………………………………………

11

1

EXEDY Corporation (7278) FY2023 2nd Quarter Financial Results

1. Qualitative Information on Quarterly Financial Results.

  1. Explanation of Operating Results
    In the Second quarter of the current consolidated cumulative period, the revenue increased due to increase in orders mainly in the AT (Automatic Automotive Drivetrain related business) segment, as well as passing on raw material price increase to the selling price, and the impact of foreign exchange conversion due to the depreciation of the yen. In terms of profits, Operating profit increased due to increase in sales despite higher production costs caused by high inflation.
    The results for the second quarter of the current consolidated cumulative period were, Revenue ¥ 151.2 billion (increased by 9.4% from the same period of the previous fiscal year), Operating profit ¥ 6.4 billion (increased by 80.0% from the same period of the previous fiscal year), Profit before tax ¥ 8.1 billion (increased by 32.5% from the same period of the previous fiscal year), Profit attributable to owners of the parent company was ¥5.4 billion (increased by 38.8% from the same period of the previous fiscal year).

    The summary by type of reportable segment is as follows.
    [MT (Manual Automotive Drivetrain related business)]
    Revenue was ¥35.6 billion (increased by 2.3% from the same period of the previous fiscal year). Segment profit was ¥3.8 billion (decreased by 2.3% from the same period of the previous fiscal year) due to higher production costs caused by high inflation, and due to decrease in order despite the sales increase by the impact of foreign exchange conversion because of the depreciation of the yen.
    [AT (Automatic Automotive Drivetrain related business)]
    Revenue was ¥98.3 billion (increased by 11.8% from the same period of the previous fiscal year). This was due to the increase in orders, as well as passing on raw material price increase to the selling price, and the impact of foreign exchange conversion due to the depreciation of the yen. The segment profit was ¥2.0 billion (¥0.1 billion segment loss in the same period of the previous fiscal year) due to increase in sales, despite higher production costs caused by high inflation.
    [TS (Industrial machine Drivetrain operations)]
    Revenue was ¥7.5 billion (increased by 16.5% from the same period of the previous fiscal year). Segment profit was ¥1.1 billion (increased by 120.1% from the same period of the previous fiscal year), due to an increase in sales and cost reduction efforts.
    [Others]
    Revenue was ¥9.8 billion (increased by 8.3% from the same period of the previous fiscal year). Segment profit was ¥0.5 billion (increased by 11.6% from the same period of the previous fiscal year) due to an increased sales of motorcycle clutches in the ASEAN region and cost reduction efforts.

    The summary by location is as follows.
    [Japan]
    Revenue was ¥62.2 billion (increased by 8.2% from the same period of the previous fiscal year). Operating profit was ¥4.2 billion (increased by 137.9% from the same period of the previous fiscal year) due to increase in sales by passing on raw material price increase to the selling price.
    [Americas]
    Revenue was ¥28.5 billion (increased by 14.0% from the same period of the previous fiscal year). Despite revenue increased by the impact of exchange conversion due to the depreciation of the yen, the operating loss was ¥1.1 billion (¥1.3 billion operating loss in the same period of the previous year) due to higher production costs caused by high inflation.

2

EXEDY Corporation (7278) FY2023 2nd Quarter Financial Results

[Asia and Oceania]

Revenue was ¥55.1 billion (increased by 7.2% from the same period of the previous fiscal year). This was due to the increase in orders, as well as passing on raw material price increase to the selling price, and the impact of foreign exchange conversion due to the depreciation of the yen. Operating profit was ¥3.3 billion (increased by 4.7% from the same period of the previous fiscal year) due to increase in sales.

[Others]

Revenue was ¥5.4 billion (increased by 24.9% from the same period of the previous fiscal year). Operating profit was ¥0.2 billion (decreased by 13.0% from the same period of the previous fiscal year) due to soaring raw material prices, despite an increase in sales.

  1. Explanation of Financial Position.
    In terms of the assets at the end of this second quarter consolidated accounting period, the total assets were ¥342.3 billion (¥331.9 billion at the end of the previous consolidated fiscal year), it increased by ¥10.4 billion (3.1%) from the end of the previous fiscal year. The main contents are ¥7.3 billion increase in Cash and cash equivalents, ¥2.7 billion increase in Trade and other receivables , ¥0.9 billion increase in Investments in Equity Instruments, ¥0.7 billion increase in Inventories, and 0.9 billion decrease in Tangible fixed assets.
    Total liabilities were ¥91.8 billion (¥92.0 billion at the end of the previous consolidated fiscal year), it decreased by ¥0.2 billion (0.2%) from the end of the previous fiscal year. The main contents are ¥1.4 billion decrease in corporate Bonds and borrowings, ¥0.8 billion increase in Trade and other payables, and ¥0.3 billion increase in Other non- current liabilities.
    Total equity was ¥250.5 billion (¥239.9 billion in the previous consolidated fiscal year), it increased by ¥10.6 billion (4.4%) from the end of the previous fiscal year. The main contents are ¥7.1 billion increase in Other components of equity due to an increase in the conversion difference of foreign operation due to the depreciation of the yen and ¥3.3 billion increase in Retained earnings (¥5.4 billion increase due to the Profit attributable to owners of the parent company, and ¥2.1 billion decrease due to the Appropriation of surplus (dividend)).
  2. Explanation of Forecast of Consolidated Financial Results and Other Forward-Looking Information
    As of today, we have revised the consolidated financial forecast for the fiscal year ending March 31, 2024, which was announced on April 28, 2023. For the details, please refer to the "Notice of Revision of Consolidated Financial Forecast" announced today.
    This forecast is based on the premise that there will be no large-scale suspension of business activities or sharp exchange rate fluctuations. If these premises are expected, this forecast may be revised.
    The exchange rate is assumed to be ¥141 per US dollar.

3

EXEDY Corporation (7278) FY2023 2nd Quarter Financial Results

2. Quarterly Consolidated Financial Statements and Principal Notes

  1. Quarterly Consolidated Statement of Financial Position

As of March 31, 2023

As of September 30, 2023

Millions of yen

Millions of yen

Assets

Current assets

Cash and cash equivalents

59,538

66,836

Trade and other receivables

53,929

56,632

Other financial assets

2,155

2,107

Inventories

44,198

44,914

Other current assets

3,634

2,793

Total current assets

163,454

173,282

Non-current assets

Property, plant and equipment

154,632

153,763

Goodwill and intangible assets

2,939

2,796

Investments accounted for using equity method

272

594

Investments in Equity Instruments

1,810

2,752

Other financial assets

96

93

Deferred tax assets

6,366

6,702

Retirement benefit asset

1,206

1,213

Other non-current assets

1,100

1,098

Total non-current assets

168,421

169,011

Total assets

331,875

342,293

4

EXEDY Corporation (7278) FY2023 2nd Quarter Financial Results

As of March 31, 2023

As of September 30, 2023

Millions of yen

Millions of yen

Liabilities and equity

Liabilities

Current liabilities

Bonds and borrowings

8,228

7,412

Trade and other payables

37,789

38,582

Other financial liabilities

545

606

Income taxes payable

1,664

1,436

Employee benefits accruals

2,336

2,408

Provisions

2,186

2,116

Other current liabilities

3,379

3,332

Total current liabilities

56,127

55,892

Non-current liabilities

Bonds and borrowings

25,423

24,884

Other financial liabilities

1,076

1,056

Retirement benefit liability

6,609

6,716

Deferred tax liabilities

697

922

Other non-current liabilities

2,042

2,294

Total non-current liabilities

35,848

35,873

Total liabilities

91,975

91,765

Equity

Share capital

8,284

8,284

Capital surplus

7,541

7,538

Treasury shares

(3,709)

(3,687)

Other components of equity

10,639

17,769

Retained earnings

202,808

206,064

Total equity attributable to owners of parent

225,563

235,968

Non-controlling interests

14,338

14,560

Total equity

239,901

250,528

Total liabilities and equity

331,875

342,293

5

EXEDY Corporation (7278) FY2023 2nd Quarter Financial Results

  1. Quarterly Consolidated Statement of Income and Consolidated Statement of Comprehensive Income (Quarterly Consolidated Statement of Income)

FY2022 2nd Quarter

FY2023 2nd Quarter

(April 1, 2022 through

(April 1, 2023 through

September 30, 2022)

September 30, 2023)

Millions of yen

Millions of yen

Revenue

138,206

151,195

Cost of sales

118,147

127,427

Gross profit

20,059

23,767

Selling, general and administrative expenses

16,372

17,430

Other income

545

505

Other expenses

659

411

Operating profit

3,573

6,431

Finance income

2,958

2,127

Finance costs

477

514

Share of profit of investments accounted for using

43

32

equity method

Profit before tax

6,097

8,076

Income tax expense

1,842

2,170

Profit

4,255

5,906

Profit attributable to

Owners of parent

3,867

5,369

Non-controlling interests

388

537

Profit

4,255

5,906

Earnings per share

Basic and diluted earnings per share

82.39

114.33

6

EXEDY Corporation (7278) FY2023 2nd Quarter Financial Results

(Quarterly Consolidated Statement of Comprehensive Income)

FY2022 2nd Quarter

FY2023 2nd Quarter

(April 1, 2022 through

(April 1, 2023 through

September 30, 2022)

September 30, 2023)

Millions of yen

Millions of yen

Profit

4,255

5,906

Other comprehensive income

Items that will not be reclassified to profit or loss

Net change in fair value of equity instruments

(70)

216

designated as measured at fair value through

other comprehensive income

Total of items that will not be reclassified to profit

(70)

216

or loss

Items that may be reclassified to profit or loss

Exchange differences on translation of foreign

9,382

7,735

operations

Share of other comprehensive income of

6

7

investments accounted for using equity method

Total of items that may be reclassified to profit or loss

9,388

7,742

Total other comprehensive income

9,318

7,958

Comprehensive income

13,573

13,864

Comprehensive income attributable to

Owners of parent

12,285

12,499

Non-controlling interests

1,288

1,365

Comprehensive income

13,573

13,864

7

EXEDY Corporation (7278) FY2023 2nd Quarter Financial Results

  1. Quarterly Consolidated Statement of Changes in Equity
    Previous second quarter consolidated cumulative period (April 1, 2022 through September 30, 2022)

Equity attributable to owners of parent

Other components of equity

Net change in

Exchange

fair value of

equity

Share capital

Capital surplus

Treasury shares

differences

instruments

on

designated as

Total

translation of

measured at

foreign

fair value

operations

through other

comprehensiv

e income

Millions of yen

Millions of yen

Millions of yen

Millions of yen

Millions of yen

Millions of yen

Balance as of April 1, 2022

8,284

7,555

(3,768)

7,274

250

7,524

Profit for the period

-

-

-

-

-

-

Other comprehensive income

-

-

-

8,488

(70)

8,418

Comprehensive income

-

-

-

8,488

(70)

8,418

Purchase of treasury shares

-

-

(0)

-

-

-

Disposal of treasury shares

-

(13)

55

-

-

-

Dividends of surplus

-

-

-

-

-

-

Share-based remuneration transactions

-

(14)

-

-

-

-

Transfer to retained earnings

-

-

-

-

(329)

(329)

Total transactions with owners

-

(27)

54

-

(329)

(329)

Total changes in equity

-

(27)

54

8,488

(399)

8,089

Balance as of September 30, 2022

8,284

7,528

(3,713)

15,761

(149)

15,613

Equity attributable to owners of

parent

Non-controlling

Total

Retained

Total

interests

earnings

Millions of yen

Millions of yen

Millions of yen

Millions of yen

Balance as of April 1, 2022

202,160

221,756

14,267

236,023

Profit for the period

3,867

3,867

388

4,255

Other comprehensive income

-

8,418

900

9,318

Comprehensive income

3,867

12,285

1,288

13,573

Purchase of treasury shares

-

(0)

-

(0)

Disposal of treasury shares

-

41

-

41

Dividends of surplus

(2,346)

(2,346)

(1,225)

(3,571)

Share-based remuneration transactions

-

(14)

-

(14)

Transfer to retained earnings

329

-

-

-

Total transactions with owners

(2,017)

(2,319)

(1,225)

(3,544)

Total changes in equity

1,850

9,966

63

10,029

Balance as of September 30, 2022

204,011

231,722

14,330

246,052

8

Attachments

  • Original Link
  • Original Document
  • Permalink

Disclaimer

Exedy Corporation published this content on 02 November 2023 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 02 November 2023 06:28:14 UTC.