ＳＧホールディングス（9143） – Results Presentation for FY 2022/3 Q3（with footnote）

Results of the Group [YoY change]• Operating revenue :• Operating income :• Ordinary income :+184.6 billion yen+ 26.2 billion yen+ ,26.6 billion yen• Net income attributable to owners of the parent: + 16.8 billion yen• EBITDA:+ 29.9 billion yen Express package delivery services and TMS results [YoY change]• Average unit price,647 yen4 yen]• Total number of packages handled: 1,074 million packages [+ 11 million packages]• TMS79.6 billion yen,10.2 billion yen][+[+::(Reference) Increase/decrease in operating days:Weekdays ±0, Saturdays ±0, Sundays and holidays ±0 Logistics Business (Expolanka) Performance • Weight of air cargo: • TEU of marine cargo : +60.5% YoY+64.2% YoY Main operating expenses::• Personnel expenses334.5 billion yen [101.5% YoY]– Increase associated with increased revenue in the Logistics Business• Outsourcing expenses581.0 billion yen [137.2% YoY]– Increase associated with increased revenue in the Delivery Business and Logistics Business• Depreciation and amortization :,22.4 billion yen [117.3% YoY]– Increase in depreciation and amortization of X FRONTIER etc.• Other (including fuel expenses) :113.7 billion yen,[ 93.7% YoY]– Decrease in cost of real estate sold:: Breakdown of main changes in operating income [YoY change]• Delivery Business+11.4 billion yen- Increase in unit price of express package delivery, TMS sales and decrease in compensations• Logistics Business+21.0 billion yen- Expolanka: +20.4 billion yen• Real Estate Business :(7.2) billion yen- In the current fiscal year, we plan to sell real estate in Q4• Other Businesses:+ 0.6 billion yen Consolidated cash flows• Cash flows from operating activities17.1 billion yenMajor components:Income before income taxesDepreciation and amortizationNet changes in accrued bonusesLoss (gain) on sale of investment securitiesDecrease(increase) in advance paymentsNet changes in deposits receivedIncome taxes paidNet changes in accrued expensesNet changes in accrued consumption taxes119.1 billion yen22.4 billion yen(10.4) billion yen(2.4) billion yen12.8 billion yen(3.7) billion yen16.6 billion yen(38.9) billion yen(2.0) billion yen(2.0) billion yenNet changes in trade notes and accounts receivable(90.6) billion yenNet changes in trade notes and accounts payable• Cash flows from investing activities(36.5) billion yenMajor components: Purchases of property, plant and equipmentPurchases of intangible assetsProceeds form sales of investment securities(47.0) billion yen(4.1) billion yen15.1 billion yen• Cash flows from financing activities24.7 billion yenMajor components:Net changes in short-term bank loansProceeds from long-term bank loansRepayment of long-term bank loansCash dividends paid55.3 billion yen15.3 billion yen(17.2) billion yen(24.0) billion yen Equity ratio• Equity ratio： 50.0 % [(0.4) points from end of previous fiscal year] Full-year earnings forecast (comparison with previous forecast)Forecasts for FY 2022/3 were revised upward based on the results for Q3, and the current situation.• Operating revenue :• Operating income :• Ordinary income :• Net income attributable to owners of the parent:• EBITDA: • Expected average unit price:- Difference from previous forecast:+70.0 billion yen+14.0 billion yen+14.0 billion yen+11.0 billion yen+14.0 billion yen648 yen±0 yen• Expected total number of packages handled:- Difference from previous forecast: 1.41 billion packages±0 billion packages[Reference] Breakdown of year-on-year change in operating expenses[differences from previous forecast]• Personnel expenses:(2.3) billion yen[+ 2.0 billion yen]• Outsourcing expenses: +176.6 billion yen• Depreciation and amortization: + 3.9 billion yen• Other (including fuel expenses):(7.6) billion yen[+54.0 billion yen][± 0 billion yen][± 0 billion yen] Previous forecast by segment・Operating revenueDelivery BusinessLogistics BusinessReal Estate BusinessOther Businesses・Operating incomeDelivery BusinessLogistics BusinessReal Estate BusinessOther Businesses• Delivery Business• Logistics Business± 70.0 billion yen±0 billion yen+ 70.0 billion yen±0 billion yen±0 billion yen± 14.0 billion yen+1.0 billion yen+ 13.0 billion yen±0 billion yen±0 billion yenReflected the rise in Q3 actual results from the earnings forecastWe expect ocean and air freight tariffs to remain high for the rest of the fiscal year due to the continued marine container shortage.