シナネンホールディングス（8132） – [Delayed]Consolidated Financial Summary for the Fiscal Year Ended March 31, 2022

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. Consolidated Financial Summary for the Fiscal Year Ended March 31, 2022 May 13, 2022 Shares listed: Tokyo Stock Exchange URL: https://sinanengroup.co.jp/ (Position) President and CEO (Position) Finance and Accounting Manager Company name: Sinanen Holdings Co., Ltd. Securities code: 8132 Representative Contact: Scheduled date of Ordinary General Meeting of Shareholders: June 22, 2022 June 23, 2022 Scheduled date of start of dividend payment: June 22, 2022 Scheduled date of filing of securities report: Preparation of supplementary materials: Yes Convening of a results meeting: Yes 1. Consolidated Financial Results for the Fiscal Year Ended March 31, 2022 (April 1, 2021 – March 31, 2022) (Name) Masaki Yamazaki (Name) Yutaka Hoshino Tel: +81-3-6478-7811 (Note: Amounts are rounded to nearest million yen.)(1) Consolidated operating results (Percentage figures represent year-on-year change)Net sales Operating profit Ordinary profit million yen 289,340 217,122 % － (8.4) million yen 2,480 2,935 % － 19.6 million yen 3,272 3,023 % － 37.2 Profit attributable to owners of parent million yen 2,487 2,717 % － (9.1) FY 20212,557 million yen (-%) FY 2020 3,872 million yen (99.9%) FY 2021 FY 2020 (Note) Comprehensive income Profit per share Diluted profit per share Return on equity Ratio of ordinary profit to total assets Ratio of operating profit to sales yen 228.33 249.83 yen － － % 4.7 5.5 % 3.2 3.2 % 0.9 1.4 (Reference) Gains and losses on equity-method investments Note: The Accounting Standard for Revenue Recognition (ASBJ Statement No. 29, March 31, 2020) has been applied from the beginning of the (23 million) yen FY 2020 (30 million) yen FY 2021 fiscal year under review. Figures for the year ending March 31, 2022 have been restated to reflect application of the standard. (2) Consolidated financial position Total assets Net assets Equity ratio Net assets per share million yen 104,908 96,834 million yen 54,381 51,905 % 51.2 52.9 yen 4,922.46 4,707.96 (Reference) Shareholders’ equity Note: The Accounting Standard for Revenue Recognition (ASBJ Statement No. 29, March 31, 2020) has been applied from the beginning of the 51,201 million yen 53,687 million yen FY 2020 FY 2021 fiscal year under review. Figures for the year ending March 31, 2022 have been restated to reflect application of the standard. FY 2021 FY 2020 FY 2021 FY 2020 (3) Status of consolidated cash flow Cash flow from operating activities Cash flow from investing activities Cash flow from financing activities Cash and cash equivalents Year-end balance million yen 1,133 7,947 million yen 2,154 36 million yen (3,120) (5,504) million yen 9,948 9,765 Dividend per share End of 1Q yen － － End of 2Q yen － － End of 3Q yen － － End of FY Total Total dividend amount (total) yen million yen 815 75.00 75.00 75.00 817 Dividend payout ratio (consolidated) % 30.0 Net payout ratio (consolidated) % 1.6 32.8 28.2 1.6 yen 75.00 75.00 75.00 FY 2022 (forecast) － － － FY 2021 FY 2020 2. Dividends FY 2020 FY 2021 – 1 – 3. Forecast of Consolidated Financial Results for the Fiscal Year Ending March 31, 2023 (April 1, 2022 – March 31, 2023) (Percentage figures represent year-on-year change) Operating profit Profit per share Ordinary profit Net sales Profit attributable to owners of parent million yen % million yen % million yen % million yen Full year 310,000 7.1 2,500 0.8 2,800 (14.4) 2,900 % 16.6 yen 265.89 * Notice: (1) Changes in main subsidiaries during the period (Changes in specific subsidiaries accompanied by changes in the scope of consolidation): None New: – company(ies) (Company name(s)) Excluded: – company(ies) (Company name(s)) (2) Changes in accounting policies, accounting estimates, and restatements (a) Changes in accounting policies due to revision of accounting standards: Yes (b) Changes in accounting policies other than those in (a): None (c) Changes in accounting estimates: None (d) Restatements: None Note: See “(5) Explanation concerning consolidated financial statements (Changes in accounting policies)” under “4. Consolidated Financial Statements and Main Notes” on page 18 of the attachment for details. (3) Number of shares issued (common stock) (a) Number of shares issued (including treasury shares) (b) Number of treasury shares (c) Average number of shares during the period FY 2021 13,046,591 shares FY 2020 13,046,591 shares FY 2021 2,139,955 shares FY 2020 2,171,037 shares FY 2021 10,895,036 shares FY 2020 10,875,880 shares (Reference) Summary of non-consolidated financial results 1. Non-consolidated Financial Results for the Fiscal Year Ended March 31, 2022 (April 1, 2021 – March 31, 2022) (1) Non-consolidated operating results (Percentage figures represent year-on-year change)Net sales Operating profit Ordinary profit Net income million yen 3,126 2,958 % 5.7 5.8 million yen 101 312 % (67.4) (24.6) million yen 761 1,017 % (25.1) (31.1) million yen 1,037 1,811 % (42.7) (18.0) Profit per share Diluted profit per share yen 95.21 166.55 million yen 33,546 34,737 yen － － million yen 24,234 24,590 (2) Non-consolidated financial position Total assets Net assets Equity ratio Net assets per share % 72.2 70.8 yen 2,222.03 2,261.05 (Reference) Shareholders’ equity * Financial results summaries are not subject to audit by certified public accountant or auditing firm. * Cautionary statement regarding business results forecasts and special notes 24,234 million yen FY 2021 FY 2020 24,590 million yen (Caution regarding forward-looking statements) The financial forecasts and other forward-looking statements contained herein are based on currently available information and assumptions considered by the Company to be reasonable and do not represent a commitment from the Company that they will be achieved. Actual results may differ materially due to various factors. See “(4) Outlook” under “1. Overview of Operating Results” on page 5 of the attachment for the underlying assumptions of and precautions for using the forecasts. FY 2021 FY 2020 FY 2021 FY 2020 FY 2021 FY 2020 – 2 – (5) Basic policy regarding distribution of profits and dividend for this year and following year ○ Attachment Table of Contents 1. Overview of Operating Results (1) Overview of operating results in this fiscal year (2) Overview of financial status for this fiscal year (3) Overview of cash flow in this fiscal year (4) Outlook 2. Corporate Group 3. Basic Approach to Selecting Accounting Standards 4. Consolidated Financial Statements and Main Notes (1) Consolidated balance sheet (2) Consolidated profit or loss and comprehensive income statement (3) Statement of changes in consolidated equity (4) Consolidated statement of cash flows (5) Notes related to consolidated financial statements (Notes related to the assumptions of a going concern) (Changes in accounting policies) (Changes in method of presentation) (Segment information) (Per share information) (Significant subsequent events) 2 2 3 4 5 5 6 9 10 10 12 14 16 18 18 18 19 19 24 25 – 3 – 1. Overview of Operating Results The Accounting Standard for Revenue Recognition (ASBJ Statement No. 29, March 31, 2020) has been applied from the beginning of the fiscal year under review. For that reason, the explanation concerning operating results for the fiscal year under review does not include changes in amounts compared to the previous fiscal year or year-on-year change (percent). (1) Overview of operating results in this fiscal year During the fiscal year under review, the Japanese economy showed signs of a recovery in both social activities and consumer spending as the tight restrictions on economic activity were gradually lifted even as the COVID-19 pandemic continued a cycle of ups and downs. However, the future remains unpredictable due to the global semiconductor shortage, soaring prices of resources, and other factors on top of increased geopolitical risk, including the situation in Ukraine. The business environment surrounding the Company in the domestic energy industry is changing significantly, including approval of the 6th Basic Energy Plan for achieving carbon neutrality by 2050 by the Japanese cabinet in October 2021. In addition, the price of crude oil and propane contract prices had been high from the beginning of the year, but with increased concern over a supply shortage arising from the manifestation of geopolitical risks, prices trended at their highest levels since 2014. On the other hand, domestic demand for oil and gas continues to fall overall due to the progression of birthrate decline and population aging, the spread of energy-saving devices, lifestyle changes, and other such factors. In the midst of this environment, efforts continued with respect to the 2nd Medium-Term Management Plan, which was launched in the previous fiscal year. The Group promoted initiatives to achieve the quantitative target of at least 6.0% for ROE and the three qualitative targets ((1) improving capital efficiency, (2) realizing sustainable growth through investments, and (3) transforming the thinking, habits, and behavior of our employees.) Specifically, with respect to improving capital efficiency, the Group transferred non-current assets in Kawaguchi City, Saitama, and continued to promote corporate culture and work style reform in order to transform the thinking, habits, and behavior of our employees. In addition to strategic investment in new businesses, we promoted IT-related investments for further digital transformation (DX) as part of executing investments to realize sustainable growth. In this way, we worked to establish a foundation for making a further leap forward with the 3rd Medium-Term Management Plan. In December 2021, we were selected as a certified DX business operator by the Ministry of Economy, Trade and Industry in recognition of our initiatives. As a result, in the fiscal year ended March 31, 2022, net sales were 289.340 billion yen (compared to 217.122 billion yen the previous year), operating profit was 2.480 billion yen (compared to 2.935 billion yen the previous year), and ordinary profit was 3.272 billion yen (compared to 3.023 billion yen the previous year). The amount of ordinary profit exceeded the amount of operating profit mainly due to an increase in insurance refund and a gain on valuation of derivatives against fluctuations in crude oil prices and other factors. In addition, profit attributable to owners of parent came to 2.487 billion yen (compared to 2.717 billion yen the previous year) due to the absence of the gain on negative goodwill and gain on business transfers recorded the previous year. The circumstances and results of each business field are as follows. [Retail/Wholesale Energy & Related Business (BtoC Business)] The sales volume was down, especially in early spring and late autumn, due to decreased demand in the mainstay area of LP gas and kerosene as average temperatures were higher than last year. On the other hand, unit selling prices were up significantly owing to a sharp increase in the price of crude oil and propane contract prices. Profit was up owing primarily to the impact of inventories despite a decrease in gross profit on kerosene and other petroleum products and a delay in the reflection of higher LP gas purchase prices in selling prices. See “(5) Explanation concerning consolidated financial statements (Changes in accounting policies)” under “4. Consolidated Financial Statements and Main Notes” for details on the impact of application of the Accounting Standard for Revenue Recognition (ASBJ Statement No. 29, March 31, 2020). As a result of the above, net sales in the Retail/Wholesale Energy & Related Business for this fiscal year were 73.152 billion yen (compared to 62.994 billion yen the previous year) and operating profit was 1.039 billion yen (compared to 963 million yen the previous year). [Energy Solution Business (BtoB Business)] In our mainstay Petroleum Business, like the BtoC Business, unit selling prices went up substantially owing primarily to the sharp increase in crude oil prices. The sales volume was also up from the previous year, especially for light oil, and overall performance was favorable as we shifted existing petroleum sales facilities to Oil Square, which has improved light oil shipping capacity. In the Petroleum Business, we secured gains through purchase measures addressing fluctuations in the crude oil market, and we worked to reduce the impact of extreme changes in demand in the power business arising from higher LNG prices worldwide by such means as diversifying procurement sources. Despite these efforts, profit was down – 4 – overall. In the new micro wind turbine-related business, we are working on commercialization based on data obtained from wind tunnel tests conducted by a research institute. Also, in South Korea, we continue to await timely permission for development in the large-scale onshore wind power generation business, which has taken longer than initially anticipated. As a result of the above, net sales in the Energy Solution Business for this fiscal year were 197.715 billion yen (compared to 135.998 billion yen the previous year) and operating profit was 573 million yen (compared to 892 million yen the previous year). [Non-energy/Global Business] Bike-sharing business operator Sinanen Mobility Plus Co., Ltd. promoted development of DAICHARI stations, including by launching field tests with new local authorities such as Fujimi City, Saitama and a new collaboration with Sagami Railway. As of March 31, 2022, there are 2,200 stations and 10,000 bicycles. A record was set for the number of uses (more than 600,000) in November 2021. In addition, while working on sales activities primarily in target areas where a high level of operations is expected through such efforts as development of land near stations, results have also manifested for efforts to increase the number of uses, such as review of the operational structure. Environmental and recycling business operator Sinanen Ecowork Co., Ltd. saw an increase in transaction volume owing to the positive effect of fluctuating supply and demand for wood chips as the decrease in construction waste due to COVID-19 to impact the business. Other businesses such as metal scrap trade also performed well, contributing to profits. Antimicrobial business operator Sinanen Zeomic Co., Ltd. maintained favorable sales in Japan and overseas against a backdrop of increased demand for antimicrobial products due to the spread of COVID-19. The company also worked on cultivating new customers, including the launch of sample pre-production with a leading manufacturer. Systems business operator Minos Co., Ltd. saw steady demand for its flagship LP gas backbone operation system. Power CIS, its customer information system supporting liberalization of electricity retail sales, also grew substantially and saw increased profits. Core building management and maintenance business operator Takara Building Maintenance Co., Ltd. saw a small increase in profits overall owing to an increase of new orders for cleaning and disinfecting medical facilities and an increase in the number of maintenance contracts at housing complexes, which bounced back from the previous year. This was despite a decrease in the number of managed properties in the real estate management business. In addition, the company promoted sales activities centered on cleaning and disinfecting to secure stable revenue for the next fiscal year and beyond. Steady results have been produced, including annual contracts with multiple medical institutions, and our long track record of success was recognized, resulting in a contract to operate a new municipal funeral hall. Bicycle business operator Sinanen Bike Co., Ltd. worked to improve profitability, including by promoting development of private brand bicycles. However, the downturn in demand increased in the previous year due to COVID-19, tightening of supply and demand associated with the shortage of supplies from parts manufacturers, the sharp rise in global transportation costs and raw material prices, the depreciation of the yen, and other factors pushed both sales and profit down. As a result of the above, net sales in the Non-energy/Global Business for this fiscal year were 18.097 billion yen (compared to 17.781 billion yen the previous year) and operating profit was 210 million yen (compared to 243 million yen the previous year). *CIS stands for Customer Information System. It is a system allowing centralized management of everything from customer information management to fee calculation and invoicing according to contract type. (2) Overview of financial status for this fiscal year (Assets) Current assets as of the end of this fiscal year for the Company and its group companies were 61.798 billion yen, an increase of 12.173 billion yen compared to the previous year. The main reason for this increase was a 12.028 billion yen increase in trade receivables as notes and accounts receivable due to higher selling prices at the end of the fiscal year. Fixed assets as of the end of the fiscal year were 43.110 billion yen, a decrease of 4.099 billion yen compared to the previous year. The main reason for this decrease was the selling of land, buildings, and structures owned in Kawaguchi City, Saitama. As a result, total assets were 104.908 billion yen, up 8.073 billion yen compared to the previous year. (Net assets) At the end of the fiscal year, profit attributable to owners of parent came to 2.487 billion yen, and due to application of the Accounting Standard for Revenue Recognition, the balance of retained earnings was up 639 million yen. Meanwhile, there was a distribution of 815 million yen in retained earnings. As a result, net assets increased 2.476 billion yen from the end of the previous year to 54.381 billion yen. As a result of the above, the equity ratio decreased 1.7 percentage points year on year to 51.2%. – 5 – (3) Overview of cash flow in this fiscal year Cash and cash equivalents on a consolidated basis for this fiscal year were 9.948 billion yen (up 1.9% year on year). Status of cash flows and their major reasons are as follows. (Cash flow from operating activities) During this fiscal year, capital gained as a result of operating activities was 1.133 billion yen (inflow of 7.947 billion in the previous year). The main reason for this was 4.462 billion yen in net income before taxes, 2.886 billion yen in depreciation expenses, 1.488 billion yen in gains on the sale of fixed assets, a 10.085 billion yen increase in trade receivables, and a 8.690 billion yen increase in accounts payable. (Cash flow from investing activities) During this fiscal year, capital gained as a result of investing activities was 2.154 billion yen (inflow of 36 million yen in the previous year). The main reasons for this were 1.698 billion yen in income from the sale and redemption of investment securities, 1.382 billion yen in expenditures for the purchase of investment securities, 3.751 billion yen in income from the sale of fixed assets, and 1.977 billion yen in expenditures for the acquisition of fixed assets. (Cash flow from financing activities) During this fiscal year, capital used as a result of financing activities was 3.120 billion yen (outflow of 5.504 billion yen in the previous year). The main reason for this was a 1.5 billion yen decrease in short-term borrowings, 527 million yen in expenditures from the repayment of long-term borrowings, and 815 million yen paid as dividends. (Reference) Trends in cash flow-related indices FY 2018 FY 2019 FY 2020 FY 2021 Equity ratio (%) Equity ratio (%) on market capitalization basis Debt-to-cash flow ratio (years) Interest coverage ratio (multiples) 51.6 25.1 1.8 44.6 53.1 31.4 18.2 5.1 52.9 34.2 0.7 65.4 51.2 34.3 3.4 12.3 Equity ratio: Shareholders’ equity/total assets Equity ratio (%) on market value basis: Share market capitalization/total assets Debt-to-cash flow ratio: Interest-bearing liabilities/operating cash flow Interest coverage ratio: Operating cash flow/interest payments a. Indices are calculated based on financial figures on consolidated basis. b. Share market capitalization is calculated by multiplying closing share price at the end of fiscal year by the total number of issued shares at the end of the fiscal year (excluding treasury shares). c. Operating cash flow uses cash flow from operating activities on the consolidated cash flow statement. Interest payments use the amount of interest paid on the same statement. Interesting-bearing liabilities are the total amount of loans, corporate bonds, and commercial paper booked on the consolidated balance sheet. – 6 – (4) Outlook The environment surrounding the oil and gas businesses, which are the mainstay businesses of the Group, remains harsh as energy demand continues to decline in the face of a decreasing population in Japan, the spread of energy-saving equipment, and changes to lifestyles. Furthermore, in addition to heightened awareness of global decarbonization and SDGs, efforts to achieve carbon neutrality by 2050 are picking up steam in Japan. Demand will rise significantly for us to take responsible action as a general energy service group. In order to respond to these changes in the business environment and the trend of the times, we will continue to promote improvements to capital efficiency by selecting and concentrating on existing businesses and utilizing and selling off low-efficiency assets in the following year (fiscal year ending March 31, 2023), which is the final year of the 2nd Medium-Term Management Plan, which is currently underway. We will also make strategic investments into new businesses based on medium- to long-term trends, such as the bike-sharing and renewable energy businesses. As we head toward building a business structure that can maintain sustainable growth into the future, we are proceeding with constructing the foundational infrastructure to move ahead with the 3rd Medium-Term Management Plan. As for consolidated results in the next fiscal year, we expect a 7.1% increase in net sales to 310.0 billion yen. Net sales are heavily impacted by crude oil price and propane contract price levels, and they are currently at their highest levels since 2014. Our current forecast for annual net sales is based on the assumption that these levels will hold. In the event that the levels drop suddenly during the fiscal year, we will revise the net sales forecast accordingly. In terms of profit, promotion of IT-related investment for maintenance of the business foundation will continue from the previous fiscal year and will push profit downward while the reflection of higher purchase prices in selling prices and the contribution of the bike-sharing business will push profit upward. We expect operating profit to be up 0.8% year on year to 2.5 billion yen. On the other hand, we expect ordinary profit to be down 14.4% year on year to 2.8 billion yen due to such factors as a decrease in a gain on valuation of derivatives recorded the previous year. Taking into account the recording of an extraordinary gain (gain from sale of fixed asset) of 2.1 billion yen as detailed in the release entitled, “(Progress on disclosed matter) Notice of transfer of fixed assets and recording of extraordinary gain,” which was published on October 29, 2021, we expect profit attributable to owners of parent to be up 16.6% year on year to 2.9 billion yen. The COVID-19 pandemic has not been resolved as of this point, leading to a continuing unclear situation. When formulating the earnings forecast for the next fiscal year, we reflected the degree of impact that would be expected if these factors were to continue to March 31, 2023 in the final earnings forecasts. However, overall, the forecasted impact is limited. If the impact of the COVID-19 pandemic were to impact each business significantly more than expected, it is possible that it would further impact performance. However, at this time, the realized impact is minimal. If a revision of earnings forecasts is necessary in the future, we will promptly disclose it. (5) Basic policy regarding distribution of profits and dividend for this year and following year The Company considers returning profit to shareholders the most important management policy. Our basic policy is to provide stable dividends with a consolidated payout ratio of 30% or more. Further, we plan to allocate internal reserves to expanding our business domains and capital expenditures to strengthen our business foundation. We also plan to provide a dividend of 75 yen per share this fiscal year. We plan to provide a dividend of 75 yen per share for the following fiscal year as well. – 7 – 2. Corporate Group The Sinanen corporate group is comprised of the Company, 37 consolidated subsidiaries, and 13 affiliates. Descriptions of the main businesses and their respective positioning are provided below. The arrows in the diagram represent the sale of products and the provision of services. Customers and consumers Energy Solution Business (BtoB Business) • Petroleum products sales business • Renewable energy power source development business in Japan and other countries • Electric power sales business • Solar power generation system sales and maintenance business • Energy solution business • Housing equipment sales business • Small-scale wind power generation system sales business Consolidated subsidiaries Sinanen Co., Ltd. Sinanen Sekiyu Co., Ltd. Taiyohikari Support Center Co., Ltd. Gunma Solar Park Izunokuni Solar Power Network/Kokusai Land & Development Joint Venture Teneimura Solar Park Japan Solar Power Co., Ltd. Sinagy Revo Co., Ltd. BELLSION POWER CO., LTD. DONG BOK ENERGY CO., LTD. Two other companies Affiliates Goheung Wind Power Co., Ltd. Retail/Wholesale Energy & Related Business (BtoC Business) • LP gas and fuel sales business for households and retailers Petroleum products, etc. • Household energy-related business, including renovation and gas appliance sales • City gas supply business • LP gas maintenance and delivery business and household electric power sales business Consolidated subsidiaries Melife-West Co., Ltd. Melife Co., Ltd. Melife-East Co., Ltd. Hidaka Toshi Gas Co., Ltd. Sinanen Himawari Service Center Nine other companies 12 affiliates Non-energy/Global Business • Bicycle business • Bicycle sharing business • Environment and recycling business • Antimicrobial business • Systems business • Building management and maintenance business Consolidated subsidiaries Sinanen Bike Co., Ltd. Sinanen Mobility Plus Co., Ltd. Sinanen Ecowork Co., Ltd. Sinanen Zeomic Co., Ltd. Minos Co., Ltd. Takara Building Maintenance Co., Ltd. Indess Co., Ltd. GusSystem Co., Ltd. SunFeel Co., Ltd. Sinanen Facilities Co., Ltd. Circular Energy Co., Ltd. – 8 – Business management and support Trademark licensing The Company (Sinanen Holdings Co., Ltd.) Notes: 1. Sinanen Autogas Co., Ltd. was liquidated, so it has been removed from the scope of consolidation. 2. Circular Energy Co., Ltd. is a newly established company and is included in the scope of consolidation. 3. SINANEN INDUSTRIA E COMERCIO DE COMBUSTIVEIS LTDA. was sold, so it has been removed from the scope of consolidation. Name Address Description of relationship Capital (million yen) Description of main business Percentage of voting rights held (%) (Consolidated subsidiaries) Melife-West Co., Ltd. Osaka City, Osaka 90 Retail/Wholesale Energy & Related Business (BtoC Business) 100.0 Melife Co., Ltd. Minato-ku, Tokyo 300 Retail/Wholesale Energy & Related Business (BtoC Business) Melife-East Co., Ltd. Aoba-ku, Sendai City 200 Retail/Wholesale Energy & Related Business (BtoC Business) 100.0 Hidaka Toshi Gas Co., Ltd. Hidaka City, Saitama 80 Retail/Wholesale Energy & Related Business (BtoC Business) 100.0 Sinanen Co., Ltd. Minato-ku, Tokyo 100 Energy Solution Business (BtoB Business) 100.0 Sinanen Bike Co., Ltd. Minato-ku, Tokyo 100 Non-energy/Global Business 100.0 A business management contract has been concluded with the Company. Interlocking officers: Yes Financial support: Yes A business management contract has been concluded with the Company. 100.0 Subleases part of the Company’s leased building as its office. Interlocking officers: Yes Financial support: Yes A business management contract has been concluded with the Company. Interlocking officers: Yes Financial support: Yes A business management contract has been concluded with the Company. Interlocking officers: Yes Financial support: Yes A business management contract has been concluded with the Company. Subleases part of the Company’s leased building as its office. Interlocking officers: Yes Subleases part of the Company’s leased building as its office. Interlocking officers: Yes Financial support: Yes A business management contract has been concluded with the Company. Leases the Company’s plants and equipment. A business management contract has been concluded with the Company. 100.0 Leases the Company’s plants and equipment. Interlocking officers: Yes Provides a sales management system for LP gas and other products to the Group. Interlocking officers: Yes Financial support: Yes Sinanen Ecowork Co., Ltd. Minato-ku, Tokyo 30 Non-energy/Global Business 100.0 Subleases part of the Company’s leased building as its office. Sinanen Zeomic Co., Ltd. Minato-ku, Nagoya City 50 Non-energy/Global Business Minos Co., Ltd. Minato-ku, Tokyo 95 Non-energy/Global Business 100.0 Takara Building Maintenance Co., Ltd. Ryugasaki City, Ibaraki 10 Non-energy/Global Business 100.0 Interlocking officers: Yes Sinanen Mobility Plus Co., Ltd. Minato-ku, Tokyo 30 Non-energy/Global Business 100.0 27 other companies Subleases part of the Company’s leased building as its office. Interlocking officers: Yes Financial support: Yes – 9 – Notes: 1. Segment names are provided in the “Description of main business” section. 2. Melife Co., Ltd., Melife-East Co., Ltd., and Sinanen Co., Ltd. are categorized as specified subsidiaries. 3. Melife Co., Ltd. net sales (excluding internal sales between consolidated companies) account for more than 10% of consolidated sales. Principal profit and loss information 4. Sinanen Co., Ltd. net sales (excluding internal sales between consolidated companies) account for more than 10% of consolidated sales. Principal profit and loss information (1) Net sales: 37,011 million yen (2) Ordinary profit: 1,174 million yen (3) Net income: 1,062 million yen (4) Net assets: 12,740 million yen (5) Total assets: 19,014 million yen (1) Net sales: 210,457 million yen (2) Ordinary profit: 1,170 million yen (3) Net income: 295 million yen (4) Net assets: 11,900 million yen (5) Total assets: 42,119 million yen – 10 – 3. Basic Approach to Selecting Accounting Standards Considering the necessity of preparing consolidated financial statements based on international accounting standards and the burden of maintaining such a system, we prepare consolidated financial statements based on Japanese standards. – 11 – 4. Consolidated Financial Statements and Main Notes (1) Consolidated balance sheet (Unit: Millions of yen)Previous fiscal year (March 31, 2021) Current fiscal year (March 31, 2022) 10,245 － 457 38,325 4 6,801 2,146 54 3,806 (42) 61,798 16,611 (10,196) 6,415 16,805 (11,359) 5,446 11,038 3,068 (1,291) 1,777 2,658 2,179 (1,413) 766 28,102 2,407 963 3,371 7,601 52 1,487 436 3,687 (1,628) 11,636 43,110 104,908 10,081 26,753 － － － 6,220 3,103 57 3,490 (82) 49,625 18,572 (10,272) 8,299 16,547 (10,778) 5,769 11,421 3,056 (1,113) 1,943 2,522 2,233 (1,274) 958 30,914 3,428 980 4,408 7,859 64 1,335 513 3,727 (1,613) 11,886 47,209 96,834 Assets Current assets Cash and deposits Notes and accounts receivable Notes receivable Accounts receivable Contract assets Products and merchandise Works in progress Raw materials and supplies Other Allowance for doubtful accounts Total current assets Non-current assets Property, plant and equipment Buildings and structures Accumulated depreciation Buildings and structures, net Machinery, equipment and vehicles Accumulated depreciation Machinery, equipment and vehicles, net Land Leased assets Accumulated depreciation Leased assets, net Construction in process Other Accumulated depreciation Other, net Total property, plant and equipment Intangible fixed assets Goodwill Other Total intangible assets Investments and other assets Investment securities Long-term loans receivable Long-term prepaid expenses Deferred tax assets Other Allowance for doubtful accounts Total investments and other assets Total non-current assets Total assets – 12 – (Unit: Millions of yen)Previous fiscal year (March 31, 2021) Current fiscal year (March 31, 2022) Liabilities Current liabilities Notes and accounts payable – trade Short-term borrowings Accounts payable – other Lease obligations Accrued income taxes Accrued consumption taxes Contract liabilities Accrued bonuses Other Total current liabilities Fixed liabilities Long-term borrowings Lease obligations Deferred tax liabilities Provision for directors’ retirement benefits Net defined benefit liability Long-term guarantee deposits received Asset retirement obligations Other Total fixed liabilities Total liabilities Net assets Equity capital Capital Capital surplus Retained earnings Treasury shares Total shareholders’ equity Accumulated other comprehensive income Valuation difference on available-for-sale securities Deferred gains or losses on hedges Foreign currency translation adjustment Remeasurements of defined benefit plans Total accumulated other comprehensive income Portion attributable to non-controlling interests Total net assets Total liabilities and net assets 23,663 2,323 2,455 293 1,395 649 － 1,074 3,652 35,507 3,589 1,536 1,201 24 474 1,301 526 767 9,421 44,929 15,630 7,709 32,090 (5,635) 49,794 1,866 (7) (451) － 1,406 703 51,905 96,834 32,354 964 2,057 285 1,260 337 901 1,282 2,934 42,377 2,922 1,358 1,009 26 505 1,103 535 689 8,149 50,527 15,630 7,726 34,401 (5,555) 52,201 1,402 88 (5) － 1,485 693 54,381 104,908 – 13 – (2) Consolidated profit or loss and comprehensive income statement (Unit: Millions of yen)Previous fiscal year (April 1, 2020 – March 31, 2021) Current fiscal year (April 1, 2021 – March 31, 2022) 217,122 183,281 33,840 30,905 2,935 30 151 27 36 33 － 352 632 121 30 274 117 543 3,023 2,168 0 109 267 12 2,558 1 123 404 － 206 0 － 120 856 4,725 2,104 (84) 2,019 2,706 2,717 (11) Net sales Cost of sales Gross profit SG&A Operating profit Non-operating income Interest income Dividend income Commission income Insurance refund Rent income Gain on bad debts recovered Other Total non-operating income Non-operating expenses Interest expenses Share of loss of entities accounted for using equity method Allowance for doubtful accounts carried forward Other Total non-operating expenses Ordinary profit Extraordinary income Gain on sales of non-current assets Gain on sales of investment securities Gain on negative goodwill Gain on business transfers Other Total extraordinary profit Extraordinary losses Loss on sales of non-current assets Loss on retirement of non-current assets Loss on liquidation of business Loss on sales of subsidiary shares Loss on valuation of investment securities Impairment loss Amortization of goodwill Other Total extraordinary losses Profit before income taxes Income taxes – current Income taxes – deferred Total income taxes Net income (Breakdown) Profit attributable to owners of parent Profit (loss) attributable to non-controlling interests – 14 – 289,340 254,933 34,406 31,926 2,480 42 177 26 203 36 98 390 974 90 23 19 48 182 3,272 1,493 732 － － 19 2,245 5 165 － 21 － 328 503 30 1,055 4,462 1,936 55 1,991 2,470 2,487 (17) (Unit: Millions of yen)Previous fiscal year (April 1, 2020 – March 31, 2021) Current fiscal year (April 1, 2021 – March 31, 2022) 1,266 17 (115) (2) 1,166 3,872 3,881 (9) (463) 96 447 6 86 2,557 2,566 (9) Other comprehensive income Valuation difference on available-for-sale securities Deferred gains or losses on hedges Foreign currency translation adjustment Share of other comprehensive income of entities accounted for using equity method Total other comprehensive income Comprehensive income (Breakdown) Comprehensive income attributable to owners of parent Comprehensive income attributable to non-controlling interests – 15 – (3) Statement of changes in consolidated equity Previous fiscal year (April 1, 2020 – March 31, 2021) Capital Capital surplus Retained earnings Treasury shares Equity capital (Unit: Millions of yen)Total shareholders’ equity Balance at beginning of period 15,630 7,708 30,188 (5,633) 47,893 15,630 7,708 30,188 (5,633) 47,893 － 15,630 7,709 1,901 32,090 (1) (5,635) Accumulated other comprehensive income Valuation difference on available-for-sale securities Deferred gains or losses on hedges Foreign currency translation adjustment Remeasurements of defined benefit plans Total accumulated other comprehensive income Portion attributable to non-controlling interests Total net assets Balance at beginning of period 599 (24) (333) 0 242 685 48,821 599 (24) (333) 0 242 685 48,821 Cumulative effect of changes in accounting policy Opening balance reflecting changes in accounting policy Changes during period Dividends of surplus Profit attributable to owners of parent Disposal of treasury shares Purchase of treasury shares Change in parent company equity associated with transactions with non-controlling shareholders Net changes of items other than shareholders’ equity Total changes during period Year-end balance Cumulative effect of changes in accounting policy Opening balance reflecting changes in accounting policy Changes during period Dividends of surplus Profit attributable to owners of parent Disposal of treasury shares Purchase of treasury shares Change in parent company equity associated with transactions with non-controlling shareholders Net changes of items other than shareholders’ equity Total changes during period Year-end balance 1,266 1,266 1,866 1 1 – 16 – (815) 2,717 (1) 18 18 － (815) 2,717 － (1) 1 － 1,900 49,794 － (815) 2,717 － (1) 1 1,182 3,083 17 17 (7) (118) (118) (451) (0) (0) － 1,164 1,164 1,406 703 51,905 Current fiscal year (April 1, 2021 – March 31, 2022) Capital Capital surplus Retained earnings Treasury shares Equity capital (Unit: Millions of yen)Total shareholders’ equity Balance at beginning of period 15,630 7,709 32,090 (5,635) 49,794 15,630 7,709 32,729 (5,635) 50,434 Cumulative effect of changes in accounting policy Opening balance reflecting changes in accounting policy Changes during period Dividends of surplus Profit attributable to owners of parent Disposal of treasury shares Purchase of treasury shares Change in parent company equity associated with transactions with non-controlling shareholders Net changes of items other than shareholders’ equity Cumulative effect of changes in accounting policy Opening balance reflecting changes in accounting policy Changes during period Dividends of surplus Profit attributable to owners of parent Disposal of treasury shares Purchase of treasury shares Change in parent company equity associated with transactions with non-controlling shareholders Net changes of items other than shareholders’ equity Total changes during period Year-end balance (463) (463) 1,402 96 96 88 13 3 445 445 (5) – 17 – 639 (815) 2,487 － － － 81 (1) 639 (815) 2,487 94 (1) 3 － 1,767 52,201 639 (815) 2,487 94 (1) 3 68 1,836 78 78 (9) (9) 1,485 693 54,381 Total changes during period Year-end balance － 15,630 16 7,726 1,672 34,401 79 (5,555) Accumulated other comprehensive income Valuation difference on available-for-sale securities Deferred gains or losses on hedges Foreign currency translation adjustment Remeasurements of defined benefit plans Total accumulated other comprehensive income Portion attributable to non-controlling interests Total net assets Balance at beginning of period 1,866 (7) (451) － 1,406 703 51,905 1,866 (7) (451) － 1,406 703 52,544 (4) Consolidated statement of cash flows (Unit: Millions of yen)Previous fiscal year (April 1, 2020 – March 31, 2021) Current fiscal year (April 1, 2021 – March 31, 2022) Cash flow from operating activities Profit before income taxes Depreciation and amortization Impairment loss Amortization of goodwill Increase (decrease) in allowance for doubtful accounts Increase (decrease) in net defined benefit liability Increase (decrease) in allowance for other accounts Exchange loss (gain) Interest and dividend income Interest expenses Share of loss (profit) of entities accounted for using equity method Loss (gain) on sales of investment securities Loss (gain) on valuation of securities Loss (gain) on sales of subsidiary shares Loss on retirement of non-current assets Loss (gain) on sales of non-current assets Loss (gain) on transfer of business Gain on negative goodwill Loss on liquidation of business Decrease (increase) in notes and accounts receivable – trade Decrease (increase) in inventories Increase (decrease) in notes and accounts payable – trade Increase (decrease) in guarantee deposits received Decrease (increase) in long-term prepaid expenses Increase (decrease) in advances received Other Subtotal Interest and dividend income received Interest expenses paid Income taxes (paid) refunded Cash flow from operating activities Cash flow from investing activities Income from time deposits Payments into time deposits Income from sales or redemption of investment securities Repayments for purchase of investment securities Income from sale of fixed assets Payments for purchase of fixed assets Net decrease (increase) in short-term loans receivable Income from collection of long-term loans receivable Expenditure for sales of shares of subsidiaries resulting in change in scope of consolidation Income from transfer of business Payments for transfer of business Other Cash flow from investing activities – 18 – 4,725 2,858 0 633 139 19 (117) (6) (182) 121 30 0 206 － 123 (2,166) (267) (109) 404 (2,755) (123) 6,171 4 (168) 296 291 10,130 175 (121) (2,237) 7,947 148 (78) 1 (111) 2,187 (2,665) 115 206 － 315 (98) 14 36 (10,085) 4,462 2,886 328 1,031 (24) 30 210 (28) (219) 90 23 (725) － 21 165 (1,488) － － － (641) 8,690 (196) (674) － (641) 3,215 247 (92) (2,236) 1,133 25 (7) 1,698 (1,382) 3,751 (1,977) － 10 (1) － － 37 2,154 (Unit: Millions of yen)Previous fiscal year (April 1, 2020 – March 31, 2021) Current fiscal year (April 1, 2021 – March 31, 2022) Cash flow from financing activities Net increase (decrease) in short-term loans payable Income from long-term loan Repayments of long-term borrowings Repayments for purchase of treasury shares Cash dividends paid Dividends paid to non-controlling interests Income from sale of shares of subsidiaries not resulting in change in scope of consolidation Income from payments received from non-controlling interests Other Cash flow from financing activities Effect of exchange rate change on cash and cash equivalents Net increase (decrease) in cash and cash equivalents Cash and cash equivalents at beginning of period Cash and cash equivalents at end of period (3,232) 288 (1,491) (1) (816) (1) － 30 (278) (5,504) (98) 2,380 7,385 9,765 (1,500) － (527) (1) (815) (0) 3 － (278) (3,120) 14 182 9,765 9,948 – 19 – (5) Notes related to consolidated financial statements (Notes related to the assumptions of a going concern) N/A (Changes in accounting policies) (Application of Accounting Standard for Revenue Recognition) The Accounting Standard for Revenue Recognition (ASBJ Statement No. 29, March 31, 2020) has been applied as of the beginning of the fiscal year under review. The amount to be received in exchange for goods or services is recognized as revenue at the point when control of the promised goods or services is transferred to the customer. (1) For customers such as general households for which revenue was recorded based on the meter reading date, we have changed to a method in which revenue generated from the date of meter reading carried out in the closing month to the closing date is estimated and recorded. (2) For transactions in which the Company’s role is as an agent in selling products to customers, the total amount received from the customer was previously recognized as revenue, but we have changed to a method in which the net amount after subtracting the payment to third parties from the total is recognized as revenue. (3) Previously, the percentage of completion method was applied to construction (contracts) for which the outcome of the construction activity was deemed certain during the course of the activity, and the completed contract method was applied to construction (contracts) for which progress could not be expected. However, except for short-term construction (contracts), we have changed to a method of recognizing revenue over a certain period of time as we meet performance obligations. In addition, progress estimates related to meeting performance obligations use the input method based primarily on costs incurred. An alternative treatment is applied to construction (contracts) for which progress cannot be estimated, and revenue is recognized based on the cost recovery method. (4) Applying the alternative treatment set forth in paragraph 98 of the Implementation Guidance for the Accounting Standard for Revenue Recognition, in the sale of some goods or products in Japan, when the period from the time of shipment to the time when control of the goods or products is transferred to the customer is a normal period, revenue is recognized at the time of shipment. In regard to application of the Accounting Standard for Revenue Recognition, following the transitional treatment set forth in the proviso in paragraph 84 of the Accounting Standard for Revenue Recognition, the Company has applied a new accounting policy to the opening balance in which the cumulative effect is added to or subtracted from retained earnings at the beginning of the fiscal year when a new accounting policy is applied retroactively before the beginning of the fiscal year. However, the new accounting policy is not applied retroactively to contracts for which the method set forth in paragraph 86 of the Accounting Standard for Revenue Recognition has been applied and almost all revenue has been recognized in accordance with previous treatment prior to the beginning of the fiscal year under review. In addition, contract changes made prior to the beginning of the fiscal year under review applying the method set forth in proviso (1) of paragraph 86 of the Accounting Standard for Revenue Recognition are accounted for based on the contract terms after reflecting all contract changes, and the cumulative effect is added to or subtracted from retained earnings at the beginning of the fiscal year under review. Because the Accounting Standard for Revenue Recognition was applied, notes and accounts receivable, which had been presented under current assets in the consolidated balance sheet in the previous fiscal year, are included in notes receivable, accounts receivable, and contract assets as of the fiscal year under review, and other, which had been presented under current liabilities, is included in contract liabilities and other. However, following the transitional treatment set forth in paragraph 89-2 of the Accounting Standard for Revenue Recognition, the Company has not restated the financial results of the previous fiscal year to reflect the new method of presentation. As a result, net sales for the fiscal year under review were down 10,137 million yen, cost of sales was down 10,133 million yen, and operating profit, ordinary profit, and profit before income taxes were each down 4 million yen. In addition, the opening balance of retained earnings increased by 639 million yen. (Application of Accounting Standard for Fair Value Measurement) The Accounting Standard for Fair Value Measurement (ASBJ Statement No. 30, July 4, 2019) has been applied from the beginning of the fiscal year under review. Following the transitional treatment set forth in paragraph 19 of the Accounting Standard for Fair Value Measurement and paragraph 44-2 of the Accounting Standard for Financial Instruments (ASBJ Statement No. 10, July 4, 2019), the new accounting policy set forth in the Accounting Standard for Fair Value Measurement will be applied into the future. This has no impact on the consolidated financial statements. – 20 – (Changes in method of presentation) (Consolidated statement of cash flows) The monetary significance of impairment loss, which had been included in “Other” under cash flow from operating activities the previous fiscal year, has increased. As such, it is presented independently as of the fiscal year under review. Consolidated financial statements for the previous fiscal year have been restated in order to reflect this change in presentation. As a result, 291 million yen that had been presented in “Other” under cash flow from operating activities in the consolidated statement of cash flows the previous fiscal year has been restated as 0 million yen in impairment loss and 291 million yen in other. (Segment information) [Segment information] 1. Overview of reporting segments (1) Method of determining reporting segments The reporting segments of the Company are constituent units for which separate financial information is available and that are subject to periodic review by the Board of Directors to determine the allocation of management resources and assess their respective operating results. The Group plans comprehensive strategies for the products and services of each operating company based on a holding company structure and engages in business activities accordingly. As such, the Company is comprised of segments by product and service based on operating companies. The reporting segments are the Retail/Wholesale Energy & Related Business (BtoC Business), the Energy Solution Business (BtoB Business), and the Non-energy/Global Business. The Retail/Wholesale Energy & Related Business (BtoC Business) includes the LP gas and fuel sales business for households and retailers, the household energy-related business, including renovation and gas appliance sales, the city gas supply business, the LP gas maintenance and delivery business, and the household electric power sales business. The Energy Solution Business (BtoB Business) includes the petroleum product and fuel sales business for large users, the gas station management business, the power source development and electric power sales business for companies, the solar power generation system sales and peripheral services business, the energy-saving solutions business, the housing equipment-related business, and the domestic and overseas renewable energy business. The Non-energy/Global Business includes the bicycle import, wholesale, and retail business, the bike-sharing business, the environment and recycling business, the antimicrobial business, the computer system service business, and the building management and maintenance business. 2. Method used for calculating net sales, profit, loss, assets, and other items for each reporting segment Accounting treatment of the reported business segments is, for the most part, as set forth in “Notes – Significant accounting policies for preparation of consolidated financial statements.” Figures for reporting segment profit or loss are based on operating profit. Internal net sales and transfers between segments are based on market prices. (Application of Accounting Standard for Revenue Recognition) As stated under (Changes in Accounting Policies) (Application of Accounting Standard for Revenue Recognition), the Accounting Standard for Revenue Recognition was applied from the beginning of the fiscal year under review, which changed the accounting treatment related to revenue recognition. As such, the method of calculating profit in reporting segments has also changed. As a result, compared to the previous method, net sales in the Retail/Wholesale Energy & Related Business (BtoC Business) segment decreased 1,118 million yen, and net sales in the Energy Solution Business (BtoB Business) decreased 9,019 million yen in the fiscal year under review. In addition, profit in the Retail/Wholesale Energy & Related Business (BtoC Business) increased 0 million yen, while profit in the Energy Solution Business (BtoB Business) decreased 5 million yen. – 21 – 3. Net sales, profit, loss, assets, and other items in each reporting segment Previous fiscal year (April 1, 2020 – March 31, 2021) Reporting segment Retail /Wholesale Energy & Related Business (BtoC Business) Energy Solution Business (BtoB Business) Non-energy /Global Business Total (Unit: Millions of yen)Adjustment Note 1 Note 2 Total shown in consolidated financial statement Note 3 2,604 253 2,858 633 253 － － 633 253 62,994 135,998 17,781 216,775 347 217,122 234 9,855 397 10,487 (10,487) － Total 63,229 145,854 18,179 227,263 (10,140) 217,122 963 892 243 33,415 39,433 13,870 2,098 86,719 836 10,114 2,935 96,834 1,108 223 － 647 147 253 848 262 － Net sales Net sales to unaffiliated customers Internal net sales and transfers between segments Segment profit Segment assets Other items Depreciation and amortization Amortization of goodwill Investment in equity method affiliates Increase in property, plant and equipment and intangible assets 604 479 712 1,795 1,200 2,996 Notes: 1.The adjusted amount of net sales to unaffiliated customers of 347 million yen is sales related to leasing income from real estate managed by the Company. 2. The adjusted amounts are as follows: (1) The adjusted amount of segment profit of 836 million yen includes 3,068 million yen in elimination of transactions between segments and -2,578 million yen in company-wide expenses not allocated to reporting segments in addition to 1 above. (2) The adjusted amount of segment assets of 10,114 million yen includes -23,923 million yen in elimination of transactions between segments and 34,038 million yen in company-wide assets not allocated to (3) The adjusted amount of depreciation of 253 million yen is the company-wide expense of 253 million yen reporting segments. not allocated to reporting segments. (4) The adjusted amount of property, plant and equipment of 1,200 million yen is company-wide assets amounting to 1,200 million yen not allocated to reporting segments. 3. Segment profit is reconciled to operating profit presented in the consolidated profit or loss and comprehensive income statement. – 22 – (Unit: Millions of yen)Adjustment Note 1 Note 2 Total shown in consolidated financial statement Note 3 Current fiscal year (April 1, 2021 – March 31, 2022) Reporting segment Retail /Wholesale Energy & Related Business (BtoC Business) Energy Solution Business (BtoB Business) Non-energy /Global Business Total 73,152 197,715 18,097 288,965 374 289,340 113 13,958 413 14,485 (14,485) － Total 73,265 211,674 18,511 303,451 (14,110) 289,340 1,039 36,444 573 201 47,432 13,569 1,814 97,445 665 2,480 7,463 104,908 Net sales Net sales to unaffiliated customers Internal net sales and transfers between segments Segment profit Segment assets Other items Depreciation and amortization Amortization of goodwill Investment in equity method affiliates Increase in property, plant and equipment and intangible assets 1,160 223 － 606 722 36 236 448 811 267 － 2,693 192 2,886 527 236 － － 527 236 789 1,844 115 1,959 Notes: 1. The adjusted amount of net sales to unaffiliated customers of 374 million yen is sales related to leasing income from real estate managed by the Company. 2. The adjusted amounts are as follows: (1) The adjusted amount of segment profit of 665 million yen includes 3,243 million yen in elimination of transactions between segments and -2,951 million yen in company-wide expenses not allocated to reporting segments in addition to 1 above. (2) The adjusted amount of segment assets of 7,463 million yen includes -25,258 million yen in elimination of transactions between segments and 32,721 million yen in company-wide assets not allocated to (3) The adjusted amount of depreciation of 192 million yen is the company-wide expense of 192 million yen reporting segments. not allocated to reporting segments. (4) The adjusted amount of property, plant and equipment of 115 million yen is company-wide assets amounting to 115 million yen not allocated to reporting segments. 3. Segment profit is reconciled to operating profit presented in the consolidated profit or loss and comprehensive income statement. – 23 – [Related Information] Previous fiscal year (April 1, 2020 – March 31, 2021) 1. Information for each product or service Petroleum division Gas division Lifestyle-related division Electric power division (Unit: Millions of yen)Other Total 125,917 41,719 10,110 18,105 21,269 217,122 Net sales to unaffiliated customers 2. Information for each region (1) Net sales Net sales to unaffiliated customers in Japan account for more than 90% of net sales in the consolidated profit or loss and comprehensive income statement, so this information has been omitted. (2) Property, plant and equipment The amount of property, plant and equipment owned in Japan accounts for more than 90% of property, plant and equipment on the consolidated balance sheet, so this information has been omitted. 3. Information for each major customer Within net sales to unaffiliated customers, there are no customers that account for more than 10% of net sales in the consolidated profit or loss and comprehensive income statement, so this information has been omitted. Current fiscal year (April 1, 2021 – March 31, 2022) 1. Information for each product or service Petroleum division Gas division Lifestyle-related division Electric power division (Unit: Millions of yen)Other Total 174,892 56,790 9,322 27,848 20,485 289,340 Net sales to unaffiliated customers 2. Information for each region (1) Net sales Net sales to unaffiliated customers in Japan account for more than 90% of net sales in the consolidated profit or loss and comprehensive income statement, so this information has been omitted. (2) Property, plant and equipment The amount of property, plant and equipment owned in Japan accounts for more than 90% of property, plant and equipment on the consolidated balance sheet, so this information has been omitted. 3. Information for each major customer Within net sales to unaffiliated customers, there are no customers that account for more than 10% of net sales in the consolidated profit or loss and comprehensive income statement, so this information has been omitted. – 24 – [Information regarding impairment loss on non-current assets in each reporting segment] Previous fiscal year (April 1, 2020 – March 31, 2021) (Unit: Millions of yen)Retail/Wholesale Energy & Related Business (BtoC Business) Energy Solution Business (BtoB Business) Non-energy/Global Business Company-wide/Elimination Total Impairment loss － － 0 － 0 Current fiscal year (April 1, 2021 – March 31, 2022) (Unit: Millions of yen)Retail/Wholesale Energy & Related Business (BtoC Business) Energy Solution Business (BtoB Business) Non-energy/Global Business Company-wide/Elimination Total Impairment loss 4 270 53 － 328 [Information regarding amortization and unamortized balance of goodwill in each reporting segment] Previous fiscal year (April 1, 2020 – March 31, 2021) (Unit: Millions of yen)Retail/Wholesale Energy & Related Business (BtoC Business) Energy Solution Business (BtoB Business) Non-energy/Global Business Company-wide/Elimination Total Amortization of goodwill for the year Year-end balance 223 648 147 510 262 2,268 Current fiscal year (April 1, 2021 – March 31, 2022) (Unit: Millions of yen)Retail/Wholesale Energy & Related Business (BtoC Business) Energy Solution Business (BtoB Business) Non-energy/Global Business Company-wide/Elimination Total － － － － 633 3,428 1,031 2,407 223 425 36 484 771 1,497 Note: Amortization of goodwill in the Non-energy/Global Business includes 503 million yen in amortization of goodwill that was recorded under extraordinary losses in the consolidated profit or loss and comprehensive