GLORY LTD. This is a translation of the original Japanese text of the "Consolidated Financial Results for the First Quarter of Fiscal Year Ending March 31, 2024." Should there be any discrepancy between any part of this translation and the original Japanese text, the latter shall prevail.
Consolidated Financial Results
for the First Quarter of Fiscal Year Ending March 31, 2024Company Name: | GLORY LTD. | August 4, 2023 | |
Stock exchange listing: | Tokyo | ||
Code number: | 6457 | URL: | https://corporate.glory-global.com/ |
Representative: | Motozumi Miwa | President & Representative Director | |
Contact person: | Yukihiro Fujikawa | Managing Executive Officer; Executive General Manager, Finance Headquarters |
TEL +81-79-297-3131 | |
Scheduled filing date of Quarterly Securities Report: | August 14, 2023 |
Scheduled date of dividend payments: | ― |
Preparation of quarterly earnings supplementary explanatory material: | Yes |
Holding of quarterly earnings presentation: | Yes (for analysts and institutional investors) |
(Amounts less than one million yen are rounded downward.) |
1. Consolidated Financial Results for the First Quarter of Fiscal Year Ending March 31, 2024 (from April 1, 2023 to June 30, 2023)
(1) Consolidated Operating Results (cumulative)
(The percentages show the changes from the corresponding period of the previous year.) | |||||||||
Net sales | Operating income | Ordinary income | Net income attributable to | ||||||
owners of parent | |||||||||
(Millions of yen) | (%) | (Millions of yen) | (%) | (Millions of yen) | (%) | (Millions of yen) | (%) | ||
Three months ended | 69,680 | 31.5 | 4,150 | ― | 4,318 | ― | 2,005 | ― | |
June 30, 2023 | |||||||||
Three months ended | 52,980 | 9.9 | (986) | ― | (1,358) | ― | (1,972) | ― | |
June 30, 2022 | |||||||||
(Note) Comprehensive income | |||||||||
Three months ended June 30, 2023: | ¥12,229 million [ | 40.2%] | |||||||
Three months ended June 30, 2022: | ¥8,724 million [ 700.4%] | ||||||||
Net income per share | Fully diluted net income | ||||||||
per share | |||||||||
(Yen) | (Yen) | ||||||||
Three months ended | 36.07 | ― | |||||||
June 30, 2023 | |||||||||
Three months ended | (33.21) | ― | |||||||
June 30, 2022 | |||||||||
(Note) During the second quarter of the fiscal year ended March 31, 2023, the Company finalized the provisional accounting treatment for business combinations, and the figures for the three months ended June 30, 2022 reflect the details of the finalization of the provisional accounting treatment.
(Reference) EBITDA (Operating income + Depreciation + Amortization of goodwill)
Three months ended June 30, 2023: | ¥8,922 million [ | 149.4%] |
Three months ended June 30, 2022: | ¥3,577 million [ | (40.1)%] |
Net income before amortization of goodwill (Net income attributable to owners of parent + Amortization of goodwill)
Three months ended June 30, 2023: | ¥3,699 million [ | ― %] |
Three months ended June 30, 2022: | ¥(314) million [ | ― %] |
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(2) Consolidated Financial Position
Total assets | Equity | Ownership equity ratio | Equity per share | ||||||||||||
(Millions of yen) | (Millions of yen) | (%) | (Yen) | ||||||||||||
As of June 30, 2023 | 399,899 | 205,718 | 50.9 | 3,663.11 | |||||||||||
As of March 31, 2023 | 381,273 | 195,984 | 50.7 | 3,474.76 | |||||||||||
(Reference) Ownership equity | |||||||||||||||
As of June 30, 2023: | ¥203,717 million | As of March 31, 2023: | ¥193,166 million | ||||||||||||
2. Dividends | |||||||||||||||
Dividends per share | |||||||||||||||
(Record date) | First quarter-end | Second quarter-end | Third quarter-end | Year-end | Annual | ||||||||||
(Yen) | (Yen) | (Yen) | (Yen) | (Yen) | |||||||||||
Year ended | ― | 34.00 | ― | 34.00 | 68.00 | ||||||||||
March 31, 2023 | |||||||||||||||
Year ending | ― | ||||||||||||||
March 31, 2024 | |||||||||||||||
Year ending | |||||||||||||||
March 31, 2024 | 36.00 | ― | 36.00 | 72.00 | |||||||||||
(forecast) | |||||||||||||||
(Note) Revisions to the latest dividend forecast: | None |
3. Consolidated Financial Forecast for the Year Ending March 31, 2024 (from April 1, 2023 to March 31, 2024)
(The percentages show the changes from the corresponding period of the previous year.)
Net income | Net income per | ||||||||||
Net sales | Operating income | Ordinary income | attributable to owners | ||||||||
of parent | share | ||||||||||
(Millions of yen) | (%) | (Millions of yen) | (%) | (Millions of yen) | (%) | (Millions of yen) | (%) | (Yen) | |||
Six months ending | 155,000 | 38.2 | 13,500 | ― | 13,000 | ― | 6,500 | ― | 116.91 | ||
September 30, 2023 | |||||||||||
Full year | 345,000 | 34.8 | 40,000 | ― | 38,500 | ― | 23,000 | ― | 413.68 | ||
(Note) Revisions to the latest consolidated financial forecast: | Yes |
For details on the revision to the consolidated financial forecast, please refer to the news release titled "Revision of the Consolidated Financial Forecast for the First Half and the Full Year of FY2023" announced on the same day as this report (August 4, 2023).
(Reference) EBITDA
Six months ending September 30, 2023: ¥22,700 million
Year ending March 31, 2024 (full year): ¥58,500 million Net income before amortization of goodwill
Six months ending September 30, 2023: ¥9,800 million
Year ending March 31, 2024 (full year): ¥29,700 million
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Notes:
- Changes in significant subsidiaries during the period (changes in specified subsidiaries involving a change in the scope of consolidation): None
(2) | Application of accounting methods specific to preparation of the quarterly consolidated financial statements: | Yes | |
(3) | Changes in accounting policies and estimates, and restatements | ||
(a) Changes in accounting policies associated with revisions of accounting standards, etc.: | None | ||
(b) Changes in accounting policies other than (a): | None | ||
(c) Changes in accounting estimates: | None | ||
(d) Restatements: | None |
- Total number of shares issued (common shares)
- Total number of shares issued at the end of the period (including treasury shares)
As of June 30, 2023: | 58,938,210 shares |
As of March 31, 2023: | 58,938,210 shares |
(b) Number of treasury shares at the end of the period | |
As of June 30, 2023: | 2,873,306 shares |
As of March 31, 2023: | 2,873,306 shares |
(c) Average number of shares (cumulative from the beginning of the period)
Three months ended June 30, 2023: | 55,598,690 shares |
Three months ended June 30, 2022: | 59,378,043 shares |
(Note) In addition to the number of treasury shares at the end of the period, there also existed Company shares owned by the "Board Incentive Plan (BIP) Trust Account" and "Employee Stock Ownership Plan (ESOP) Trust Account." (As of June 30, 2023: 451,714 shares, As of March 31, 2023: 473,645 shares)
(Note) Quarterly financial results reports are exempt from quarterly review conducted by certified public accountants or an audit corporation.
(Note) Explanation regarding the appropriate use of financial forecasts and other special items (Caution concerning forward-looking statements)
The forward-looking statements such as operational forecasts contained in this report are based on the information currently available to the Company and certain assumptions which the Company regards as legitimate, and are not promises regarding the achievement of forecasts. Actual performance may differ greatly from these forecasts due to various present and future factors. For the assumptions and other related matters concerning the financial forecasts, please refer to "1. Qualitative Information on the Financial Statements,
(2) Consolidated Financial Forecasts and Other Forward-looking Statements" on page 6 of the Attachment.
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Attachment | ||
Contents | ||
1. Qualitative Information on the Financial Statements | 5 | |
(1) | Operating Results | 5 |
(2) | Consolidated Financial Forecasts and Other Forward-looking Statements | 6 |
2. Quarterly Consolidated Financial Statements and Significant Notes Thereto | 7 | |
(1) | Quarterly Consolidated Balance Sheet | 7 |
(2) | Quarterly Consolidated Statements of Income and Comprehensive Income | 9 |
Quarterly Consolidated Statement of Income | 9 | |
Quarterly Consolidated Statement of Comprehensive Income | 10 | |
(3) | Notes to Quarterly Consolidated Financial Statements | 11 |
Notes Regarding Assumption of a Going Concern | 11 | |
Notes for Significant Change in the Amount of Shareholders' Equity | 11 | |
Application of Accounting Methods Specific to Preparation of the Quarterly Consolidated Financial Statements | 11 | |
Segment Information | 11 | |
Subsequent Events | 12 |
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1. Qualitative Information on the Financial Statements
(1) Operating Results
Although there were signs of a moderate recovery in the global economy in three months ended June 30, 2023, there were lingering concerns about instability in the international situation, including the impact of the progression of inflation globally, monetary tightening primarily in Europe and the US, and prolonged conflict between Russia and Ukraine.
In Japan, social and economic activities have further normalized with the downgrading of COVID-19 to Class 5 (same as seasonal flu), and the economy is now on a path to recovery. Conversely, the outlook remained uncertain due to such factors as the depreciation of the yen and continued increases in prices.
Under these circumstances, the overseas market experienced steady demand for our products and services, with both financial institutions and the retail industry continuing to need self-service solutions to address soaring labor costs and workforce shortages. In addition, sales of our main products increased with the recovery from prolonged production and shipping delays caused by parts shortages and soaring material prices. Acrelec group sales were strong, while sales at the Revolution group were flat year on year.
In Japan, demand for our products and services was steady across all markets. The financial market and the retail and transportation market saw the beginning of machine replacement and system modifications associated with the scheduled issuance of new banknotes in July 2024, which led to an increase in sales of products and maintenance services. In the amusement market, sales were robust for card systems for smart amusement machines, which was first introduced in November 2022.
As a result, net sales in this three-month period totaled ¥69,680 million (up 31.5% year on year). Of this, net sales of merchandise and finished goods were ¥41,122 million (up 42.5% year on year) and net sales from maintenance services were ¥28,558 million (up 18.3% year on year). Operating income was ¥4,150 million (vs. operating loss of ¥986 million in the corresponding period of the previous year), ordinary income was ¥4,318 million (vs. ordinary loss of ¥1,358 million in the corresponding period of the previous year), and net income attributable to owners of parent was ¥2,005 million (vs. net loss attributable to owners of parent of ¥1,972 million in the corresponding period of the previous year).
Results of operations in each business segment are as follows.
Financial market
Sales of this segment's main products, open teller systems, coin and banknote recyclers for tellers and banknote changers were strong. In addition, sales from maintenance services increased owing to the start of system modifications associated with the issuance of new banknotes.
As a result, net sales in this segment were ¥9,487 million (up 46.8% year on year) and operating income was ¥1,243 million (up 2.8% year on year).
Retail and transportation market
Sales of this segment's main products, coin and banknote recyclers for cashiers and sales proceeds deposit machines for cash-in-transit companies, were strong. In addition, sales from maintenance services increased owing to the start of system modifications associated with the issuance of new banknotes.
As a result, net sales in this segment were ¥13,414 million (up 35.0% year on year), operating income was ¥765 million (vs. operating loss of ¥206 million in the corresponding period of the previous year).
Amusement market
Sales of this segment's main products, card systems, were strong, especially the ones used for smart amusement machines.
As a result, net sales in this segment were ¥6,759 million (up 168.4% year on year) and operating income was ¥2,078 million (up 3,130.4% year on year).
Overseas market
In the Americas, sales of the main products of RBG-series and GLR-series teller cash recyclers for financial institutions were strong, as were sales of CI-series and CI-X-series cash management solutions in the retail industry. Net sales totaled ¥18,385 million (up 30.1% year on year).
In Europe, sales of the main products of RBG-series and GLR-series teller cash recyclers for financial institutions were flat year on year. On the other hand, sales of CI-series and CI-X-series cash management solutions for the retail industry were robust. Net sales totaled ¥17,715 million (up 9.9% year on year).
In Asia, net sales were ¥2,873 million (down 12.1% year on year) for the region as a whole despite steady sales of UW-series banknote sorters.
Net sales of the Acrelec group totaled ¥5,256 million (up 18.8% year on year), while net sales of the Revolution group were ¥4,446 million (down 0.1% year on year).
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GLORY Ltd. published this content on 04 August 2023 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 22 August 2023 07:37:09 UTC.
