大同メタル工業（7245） – FY2021 Consolidated Financial Results Highlights

FY2021 Consolidated Financial Results Highlights Note: This document is a translation of a part of the original Japanese version and provided for reference purposes only. In the event of any discrepancy between the Japanese original and this English translation, the Japanese original shall prevail. May 13, 2022 Daido Metal Co., Ltd. 1．Overview (Unit: JPY Million) ≪Causes of Fluctuation in Operating profit≫ (Unit: JPY Billion) ≪Dividend/ Dividend Payout Ratio≫ (Unit: JPY ) （＊1） The interim dividend for FY2019 : Regular dividend (15 yen) + Commemorative dividend (5 yen) （＊2） Forecast Ordinary profit/Ordinary income margin Capital Expenditure/Depreciation(Unit: JPY Billion) (Unit: JPY Billion) 10. 0108.0 100.1 107.7 104.0 (Unit: JPY Billion) (Unit: JPY Billion) Net salesOperating profit/Operating margin 2．Consolidated Financial Results/Capital Expenditure and Depreciation 6.7%7.2 Operating profitOperating margin4.2%1.6%4.8%3.2%6.2%3.7%84.7 6.6 4.1 1.3 5.0 3.5 3.60.810. 0 (0.0 )2.0 (0.0)3.0 (0.0)4.0 (0.0)5.0 (0.0)6.0 (0.0)0.0 (0.0)1.0 (0.0)7.0 (0.0)8.0 (0.0)9.0 (0.0)-15 .0%-10 .0%-20 .0%-5. 0%10. 0%0.0 %5.0 %2.03.04.05.06.00.01.07.08.09.01.0%2019/32020/32021/32022/32019/32020/32021/32022/32019/32020/32021/32022/32022/3Forecast 2023/3Forecast – 1 – Ordinary profitOrdinary income margin4.6% 3.1%4.83.3 10. 0%5.0 %0.0 %-5. 0%-10 .0%-15 .0%-20 .0%2023/3Forecast 10.8 9.5 8.5 7.2 8.1 8.7 9.2 9.1 6.7 6.0 latipaCerutidnepxEnoitaicerpeDlatipaCerutidnepxEnoitaicerpeDlatipaCerutidnepxEnoitaicerpeDlatipaCerutidnepxEnoitaicerpeDlatipaCerutidnepxEnoitaicerpeD2019/32020/32021/32022/32023/3Forecast 2019/32020/32021/32022/32023/3Interim1520 (*1)101010 (*2)Year-end15151015 (*2)15 (*2)Annual30352025 (*2)25 (*2)DividendPayout Ratio32.0%60.1%888.7%61.4%68.4% (*2)2021/32022/3Amount%2022/92023/384,720104,02419,30322.8%52,500108,0001,3155,0423,726283.2%1,5503,500(1.6%)(4.8%)(3.3%)―(3.0%)(3.2%)8744,8363,962453.2%1,4503,300(1.0%)(4.6%)(3.6%)―(2.8%)(3.1%)1041,8971,793―7501,700(0.1%)(1.8%)(1.7%)―(1.4%)(1.6%)0.2%3.3%3.1%―――36.3%36.3%――――36,46234,110- 2,351- 6.4%――8,1286,752- 1,375- 16.9%―6,0008,7909,2404495.1%―9,1001,9711,934- 36- 1.9%―2,10033330―――103.50115.02126.95130.51115.00130.00Exchange rate is TTM rateas of December 31.Profit attributable to owners of parentActualNet salesOperating profit(Operating margin)Ordinary profit(Ordinary income margin)Financial Results2022/3Year-on-year comparisonForecastR&D expensesNumber of consolidated subsidiariesExchange rate (USD)Exchange rate (EUR)(Net profit margin)Return on Equity (ROE)Net assets to total assetsNet interest bearing debtCapital ExpenditureDepreciationMay 13, 2022 Daido Metal Co., Ltd. 3．Sales and Operating profit by Segment (Before elimination of inter-segment transactions) Net sales （Unit: JPY Billion）6058.38.347.16.0Operating profit or loss（Unit: JPY Billion）Net salesOperating profit or loss3.320.316.01.81.410.211.01.710.714.40.31 2.02.10.34 1.0-1.8-1.62021/32021/32022/32022/3Non-automotive bearings * “Others” includes electrode sheets for electric double layer capacitors, the metallic dry bearings business, pump-related products businesses, and real estate leasing business. 2022/3Automotive non-engine bearings 2022/3Other automotive parts Automotive engine bearings 2021/32021/32021/32022/3Others* 4．Sales and Operating profit by Region (Before elimination of internal transactions) 80 70 60Net sales（Unit: JPY Billion）Net sales60.374.73.8Operating profit or loss（Unit: JPY Billion）Operating profit or loss24.932.81.00.20 0.260.51 10.213.10.499.611.62021/32022/32021/32022/32021/32022/32021/32022/3JapanAsiaNorth America Europe- 0.15-0.13-0.540200 △ 2050 40 3020 100△ 109.07.05.03.0-1.0-3.04.03.53.02.52.01.51.00.50.0＊ Future prospects are prepared as information purpose only, based on the information available to us at this moment, and are under certain condition which we assumed reasonable. We will not guarantee the realization of such prospects, and actual performance fluctuates due to various factors. – 2 – Net sales ratioYear-on-yearcomparisonYear-on-yearcomparisonAmountAmount(%)(%)11,2412,327(23.8%)(38.5%)4,3751,509(27.3%)(82.5%)784291(7.6%)(20.0%)3,706202(34.5%)(11.0%)7824(3.8%)(7.8%)- 882- 62919,3033,726(22.8%)(283.2%)[Sales] (+)Gains (-)Losses (Unit: JPY Million)[Operating profit] (+)Gains (-)Losses (Unit: JPY Million)SegmentCauses of Gains and LossesCauses of Gains and LossesAutomotiveengine bearings54.9%①(+) Japan: Orders increase due to the new business development.②(+) Japan: Orders increase of export truck market for Southeast Asia, etc.,due torecovery from COVID-19.③(+) Orders increase due to in globally strong demand recovery from COVID-19.(+) As sales increased on the left.2022/3Automotivenon-engine bearings19.2%④(+) Orders increase due to recovery in global automotive production fromCOVID-19.(+) As sales increased on the left.Non-automotivebearings10.4%⑤(+) Ships: Orders increase for the development of new customers in China, despiteof decline in overall demand in the marine industry.⑥(+) Construction machinery etc.: Orders increase due to recovery in demand forservice parts of construction machinery, and generators.⑦(-) Energy sector : Orders decrease for gas and steam turbine bearings, despiteof increasing assembly bearing for Hydraulic power generation by winning over newcustomers.(+) As sales increased on the left.(-) As sales decreased on the left.Other automotiveparts13.6%⑧(+) Formed pipes, Knock pins, NC milled parts, etc.: Orders a slight increasedue to strong recovery from COVID-19.⑨(+) Aluminum die cast products: Orders increase due to demand recovery inThailand from COVID-19 in Automotive Industry and new entrants for electricvehicles.⑩(+) Formed pipes, Knock pins, NC milledparts, etc.: Impact of profit improvement by recoveryfrom COVID-19, and productivity improvement andrationalization efforts.⑪(+) Aluminum die cast products: Impact ofincreased orders due to recovery from COVID-19 inThailand and profit improvement due to efforts toreduce labor costs, etc.Others2.0%(+) Demand increase for special types of bearings from general industry sector.TotalElimination ofinter-segment transactionsNet sales ratioYear-on-yearcomparisonYear-on-yearcomparisonAmountAmount(%)(%)14,4383,617(23.9%)( – )7,834529(31.4%)(103.0%)2,901229(28.3%)(85.3%)1,98520(20.5%)(13.2%)19,3033,726(22.8%)(283.2%)-670RegionCauses of Gains and LossesCauses of Gains and LossesJapan56.5%2022/3(+) Same as ⑯ above.⑱(+) Orders increase due to the development of non-automotive bearings formedium-speed and high-speed diesel engines.(+) Same as ⑯ above.⑲(+) Formed pipes, Knock pins, NC milledparts, etc.: Impact of profit improvement by recoveryfrom COVID-19.(+) As sales increased on the left.(+) As sales increased on the left.(+) Same as ➀, ② above.⑫(+) Orders increase due to recovery in industrial machinery and hydraulicequipment from COVID-19.⑬(+) Orders increase due to recovery in demand for service parts of constructionmachinery.⑭(+) China: Strong performance for local automobile manufacturers in China.⑮(+) Thailand: Orders increase due to recovery from COVID-19 in AutomotiveIndustry, and new delivery of aluminum die cast products for electric vehicles.⑯(+) Orders increase due to recovery in automotive production from COVID-19.⑰(+) Orders increase due to continued recovery in demand in the constructionmachinery.Europe8.8%Elimination ofinternal transactions-7,857[Sales] (+)Gains (-)Losses (Unit: JPY Million)[Operating profit] (+)Gains (-)Losses (Unit: JPY Million)TotalAsia24.8%North America9.9%