ホクト（1379） – Consolidated Financial Results for the Year Ended March 31, 2022

HOKUTO CorporationConsolidated Financial Results for the Year Ended March 31, 2022May, 2022Contents1. The financial report for the Year Ended 1. The financial report for the Year Ended March 31, 2022March 31, 20222. Forecast of consolidated financial results for the Year Ending March 31, 20233. Recent Activities4. Reference material2Outline of consolidated reports for the year ended of FY March 2022In Japan, the price of mushrooms remained sluggish throughout the year due to the impact of the depreciation of the vegetable market, resulting in lower saled and profits.※”Accounting Standards for Revenue Recognition” have been applied since the beginning of the first quarter of the current consolidated accounting, and the figures for the year ended March 2022 are the figures after applying the accounting standards. Therefore, the difference in increase / decrease in the same quarter of the previous year and the rate of increase / decrease in the same quarter of the previous year are not stated.3◆By Segment(Millions of yen)Year endedMar. 31, 2022Year endedMar. 31, 2021Year endedMar. 31, 2022Year endedMar. 31, 2021Year endedMar. 31, 2022Year endedMar. 31, 2021Year endedMar. 31, 2022Year endedMar. 31, 2021Net sales46,28650,5386,3485,0747,7328,27410,56510,001Operatingprofit2,7886,939642589340539109△102Mushroombusiness in JapanMushroombusiness outsideJapanProcessedproducts businessChemical productsbusiness◆Consolidated(Millions of yen)◆Individual(Millions of yen)Year endedMar. 31,2022Year endedMar. 31,2021YoYYear endedMar. 31,2022Year endedMar. 31,2021YoYNet sales70,93273,889－49,09052,942－Operating profit2,0146,01233.5%1,1175,07422.0%Profit attributable toowners of parent2,5304,03862.7%1,5953,34047.8%Consolidated Account at the year ended in FY March 2022 (cf. previous year) (Millions of yen)※”Accounting Standards for Revenue Recognition” have been applied since the beginning of the first quarter of the current consolidated accounting, and the figures for the year ended March 2022 are the figures after applying the accounting standards. Therefore, the difference in increase / decrease in the same quarter of the previous year and the rate of increase / decrease in the same quarter of the previous year are not stated.4Year endedMar. 31, 2021Year endedMar. 31, 2022YoYchangeYoYNet sales73,88970,932－－Gross profit21,90117,392－－Gross profit margin29.6%24.5%Selling, general andadministrative expenses15,88815,377－－Operating profit6,0122,014△3,99833.5%Operating profit margin8.1%2.8%Ordinary profit6,5263,658△2,86756.1%Ordinary profit margin8.8%5.2%Profit attributable toowners of parent4,0382,530△1,50762.7%Net profit margin5.5%3.6%Earnings per share128.8380.26（ｔ）90,00085,00080,00075,00070,00065,00060,00055,00050,00045,00040,00035,00030,00025,00020,00015,00010,0005,0000Changes in mushroom production83,693 1,797 2,781 86,044 2,006 86,643 1,975 3,462 3,439 14,347 15,101 14,032 19,033 19,129 19,206 46,048 47,097 46,920 Previous fiscal yearNex experienceNet planBunashimeji(Bunapi including)Eryngii MaitakeShimofuri hiratakeFresh Donko5Segment Overview (cf. previous year)※”Accounting Standards for Revenue Recognition” have been applied since the beginning of the first quarter of the current consolidated accounting, and thefigures for the year ended March 2022 are the figures after applying the accounting standards. Therefore, the difference in increase / decrease in the samequarter of the previous year and the rate of increase / decrease in the same quarter of the previous year are not stated.6(Millions of yen)Year endedMar. 31, 2021Year endedMar. 31, 2022YoYchangeYoY50,53846,286－－(△936)Operatingprofit6,9392,788△4,15040.2%Net sales5,0746,3481,273125.1%Operatingprofit58964252109.0%8,2747,732－－(△6)Operatingprofit539340△19863.2%10,00110,565－－(△202)Operatingprofit△102109212－Mushroombusiness inJapanMushroombusinessoutside JapanProcessedproductsbusinessChemicalproductsbusinessNet salesNet salesNet salesMushroom business in Japan (cf. the average unit sales price)Due to the abundant supply of vegetables throughout the year, the market price of vegetables remained low, and the unit price of mushrooms was sluggish. 7cf. Previous yearcf. PlanBunashimeji90.3%93.7%Eryngii91.1%92.0%Maitake87.3%90.1%Shimofurihiratake86.5%84.7%Mushroom business in Japan (cf. production volume)Production is almost as planned. The production volume of Shimofuri hirateke increased due to the increase the center utilization rate.8cf. Previous yearcf. PlanBunashimeji102.7%100.6%Eryngii100.7%99.8%Maitake100.9%94.4%Shimofurihiratake124.5%100.7%Mushroom business outside Japan (cf. previous year)9Year endedMar. 31, 2021Year endedMar. 31, 2022YoYchangeYoYNet sales16,810,00022,620,0005,810,000134.6%Operatingprofit△ 1,700,000△ 1,920,000△ 220,000－ROE110.71122.39Net sales671,000,000682,000,00010,000,000101.6%Operatingprofit175,000,000175,000,0000100.0%ROE3.884.28Net sales21,710,00021,610,000△ 90,00099.6%Operatingprofit220,000△960,000△ 1,180,000－ROE26.6629.12U.S.A(US$)Taiwan(NT$)Malaysia(RM)Consolidated Account at the year ended in FY March 2022 (cf. plan)Net sales and also Operating profit fell drastically below plan.10(Millions of yen)Initial planYear endedMar. 31, 2022Plandifferencecf. PlanNet sales74,80070,932△3,86794.8%Gross profit21,40017,392△4,00781.3%Gross profit margin28.6%24.5%Selling, general andadministrative expenses16,30015,377△92294.3%Operating profit5,1002,014△3,08539.5%Operating profit margin6.8%2.8%Ordinary profit5,2403,658△1,58169.8%Ordinary profit margin7.0%5.2%Profit attributable toowners of parent3,3002,530△76976.7%Net profit margin4.4%3.6%Earnings per share104.7280.26Segment Overview (cf. plan)11(Millions of yen)Initial planYear endedMar. 31, 2022Plandifferencecf. PlanNet sales51,12646,286△4,84090.5%Operatingprofit5,8942,788△3,10547.3%Net sales5,3006,3481,047119.8%Operatingprofit63264210101.6%Net sales8,2837,732△55093.4%Operatingprofit431340△9078.9%Net sales10,18210,565383103.8%Operatingprofit△30109139－Mushroombusiness inJapanMushroombusinessoutside JapanProcessedproductsbusinessChemicalproductsbusinessMushroom business outside Japan (cf. plan)12Initial planYear endedMar. 31, 2022Plan differencecf. PlanNet sales20,420,00022,620,0002,200,000110.8%Operatingprofit△ 200,000△ 1,920,000△ 1,720,000－ROE105.00122.39Net sales685,000,000682,000,000△3,000,00099.6%Operatingprofit158,000,000175,000,00017,000,000110.8%ROE3.554.28Net sales25,890,00021,610,000△4,270,00083.5%Operatingprofit1,190,000△960,000△2,160,000－ROE25.0029.12U.S.A(US$)Malaysia(RM)Taiwan(NT$)Contents1. The financial report for the Year Ended March 31, 20222. Forecast of consolidated financial results for 2. Forecast of consolidated financial results forthe Year Ending March 31, 2023the Year Ending March 31, 20233. Recent Activities4. Reference material13Full year plan for the FY ending March 31, 2023 (Consolidated)Plans to increase sales and profits due to full operation of Mie mushroom Center.14(Millions of yen)Year endedMar. 31, 2022Year endedMar. 31, 2023 (Forecast)Plandifferencecf. PlanNet sales70,93278,7007,767110.9%Gross profit17,39220,1002,707115.6%Gross profit margin24.5%25.5%Selling, general andadministrative expenses15,37717,1001,722111.2%Operating profit2,0143,000985148.9%Operating profit margin2.8%3.8%Ordinary profit3,6583,120△53885.3%Ordinary profit margin5.2%4.0%Profit attributable toowners of parent2,5301,780△75070.3%Net profit margin3.6%2.3%Earnings per share80.2656.28（ｔ）100,00095,00090,00085,00080,00075,00070,00065,00060,00055,00050,00045,00040,00035,00030,00025,00020,00015,00010,0005,0000Changes in mushroom production83,693 1,797 86,044 2,006 2,781 3,462 14,032 14,347 19,033 19,129 91,123 1,905 3,447 16,898 19,211 46,048 47,097 49,661 FY ended March 31, 2021Bunashimeji(Bunapi including)FY ended March 31, 2022Eryngii MaitakeFY ending March 31, 2023Shimofuri hiratakeFresh Donko15Full year plan for the FY ending March 31, 2023 (By segment)16(Millions of yen)Year endedMar. 31, 2022Year endedMar. 31, 2023(Forecast)Plandifferencecf. PlanNet sales46,28653,4927,206115.6%Operatingprofit2,7884,4881,699160.9%Net sales6,3486,060△28795.5%Operatingprofit642155△48624.2%Net sales7,7328,153420105.4%Operatingprofit340239△10170.2%Net sales10,56511,046481104.6%Operatingprofit10980△2973.1%ProcessedproductsbusinessChemicalproductsbusinessMushroombusiness inJapanMushroombusinessoutside JapanFull year plan for the FY ending March 31, 2023(Mushroom business outside Japan)17Year endedMar. 31, 2022Year endedMar. 31, 2023(Forecast)Plan differencecf. PlanNet sales22,620,00022,250,000△ 370,00098.4%Operatingprofit△ 1,920,000△ 3,030,000△ 1,100,000－ROE122.39116.00Net sales682,000,000687,000,0005,000,000100.8%Operatingprofit175,000,000126,000,000△49,000,00071.8%ROE4.284.00Net sales21,610,00024,610,0002,990,000113.8%Operatingprofit△960,000450,0001,420,000－ROE29.1227.00Taiwan(NT$)U.S.A(US$)Malaysia(RM)Contents1. The financial report for the Year Ended March 31, 20222. Forecast of consolidated financial results for the Year Ending March 31, 20233. Recast Activities3. Recent Activities4. Reference material18Recent ActivitiesNew ItemNew products Introducing ”HOKUTO Vegetable soup rich in Mushrooms ～with Tomato～” made from Shinsyu“We’d like to deliver healthy and delicious mushroom soup that makes it easier to consume more vegetables.”“Through mushrooms, We’d like to care your dailiy life through mushrooms, and support your mind and body.”Based on the idea, we have developed as the second in the ”Shinsyu Maitake Cream Soup ～Made with Soy Milk～” series.≪4 commitment of substantial soup to taste mushrooms ≫1.Use Eryngii and Fresh Donko(Use only Eryngii and Fresh Donko harvested at our own factory in Nagano prefecture）2.Use 8 kinds of mushrooms and vegetables3.69kcal per serving＆ rich in dietary fiber4.No chemical seasoningYou can enjoy it in the wide range of situations such as daily breakfast, holiday brunch, and relaxing home time.It can also be used when you want one more item or as a preserved food.19Construction / renovation plans for plants, etc (Consolidated / Operation base)FY ended March 31, 2022FY ending March 31, 2023FY ending March 31, 2024 (Forecast)(Billions of yen)PlantconstructionMieprefecture10.0ASEANSecond1.5PlantrenovationOthersCapitalinvestmentDepreciation10.06.91.26.9※ Construction of Taiwan Third is currently postponed.1.57.120Contents1. The financial report for the Year Ended March 31, 20222. Forecast of consolidated financial results for the Year Ending March 31, 20233. Recent Activities4. Reference material4. Reference material21About Dividends（Yen）Listed on the Tokyo Stock Exchange First SectionSplit-ups of stocksSplit-ups of stocksShare repurchaseSplit-ups of stocksSplit-ups of stocksDividend of 50th Anniversary 2yenShare repurchase706050403020100MMMMMMMMMMMMMMMMMMMMMMM202320002001200220032004200520062007200820092010201120122013201420152016201720182019202020212022(PlanDividents3030303135384548505255565757605960606060606060Payout Rasio 22.9 20.2 20.3 24.6 36.2 36.2 53.7 42.8 45.5 35.8 35.1 56.4 42.7 117.3 70.1 50.9 73.9 68.1 79.8 60.1 123.5 46.6 74.8Maintain stable dividends In regards to the future(Plan to defer for the current fiscal year)（％）14012010080604020022M)60(Ref) Change of Bunashimeji Market PriceRef : From Tokyo Metropolitan Central Wholesale Market, Market Transaction Information Avr.Price43745639923APRMAYJUNJULAUGSEPOCTNOVDECJANFEBMAR201941040535838437044544652055648640838020205184603874064373955045584995114543382021339381365277273440428475469446433406150200250300350400450500550600650700Monthly Price Change (2019～2021)（Yen/ｋｇ）(Ref) Change of Bunashimeji Sales VolumeRef : From Tokyo Metropolitan Central Wholesale Market, Market Transaction Information YearlySalesVolume8,548,5577,626,8837,448,64724APRMAYJUNJULAUGSEPOCTNOVDECJANFEBMAR2019664,647598,966599,857576,707567,448747,243880,087861,938788,171753,066761,260749,1672020502,079582,415604,877546,077530,049707,437802,317666,289710,712637,770634,033702,8282021616,663534,422502,621571,161551,769607,423749,394709,238687,753657,003663,781597,4190100,000200,000300,000400,000500,000600,000700,000800,000900,0001,000,000MonthlySales Volume Change (2019～2021)（ｋｇ）(Ref) Change of Eryngii Market PriceRef : From Tokyo Metropolitan Central Wholesale Market, Market Transaction Information Avr.Price55552547425APRMAYJUNJULAUGSEPOCTNOVDECJANFEBMAR201949753947350157262561269161259648046320206056315015245925066145474415194564092021453514468422463613532467425423450473200250300350400450500550600650700750（Yen/ｋｇ）MonthlyPrice Change (2019～2021)(Ref) Change of Eryngii Sales VolumeRef : From Tokyo Metropolitan Central Wholesale Market, Market Transaction Information YearlySalesVolume2,264,6152,147,9792,060,31826APRMAYJUNJULAUGSEPOCTNOVDECJANFEBMAR2019216,016182,647181,304163,616155,523194,719210,811190,544197,000166,877196,668208,8902020159,281149,856164,304155,517144,302193,932219,348202,703202,753178,081177,509200,3932021168,109149,770137,794140,161149,788162,575190,807208,392205,389199,241180,282168,010050,000100,000150,000200,000250,000（ｋｇ）MonthlySales Volume Change (2019～2021)(Ref) Change of Maitake Market PriceRef : From Tokyo Metropolitan Central Wholesale Market, Market Transaction Information Avr.Price89882369927APRMAYJUNJULAUGSEPOCTNOVDECJANFEBMAR201995786778987988689995599698889280679920208868227497948068169701,01086683470856820215626636165576189399358947256826595143004005006007008009001,0001,1001,2001,300MonthlyPrice Change (2019～2021)（Yen/ｋｇ）(Ref) Change of Maitake Sales VolumeRef : From Tokyo Metropolitan Central Wholesale Market, Market Transaction Information YearlySalesVolume2,507,0562,451,2592,543,02128APRMAYJUNJULAUGSEPOCTNOVDECJANFEBMAR2019157,109158,976170,016143,602156,731248,694270,095262,261241,892240,458238,503218,7192020164,320165,882169,969152,628145,193219,642270,774225,626247,148232,193225,552232,3322021205,819164,871163,369157,997159,938176,582219,538245,175274,880250,290234,125290,437050,000100,000150,000200,000250,000300,000350,000MonthlySales Volume Change (2019～2021)（ｋｇ）Overview of HOKUTO GroupHOKUTO CorporationLocation : Nagano, Nagano Pref.President : Masayoshi MizunoSecurities code : 1379Listed market : Tokyo Stock Exchange Prime MarketNumber of outstanding shares : 33,359,040 stockMarket capitalization : 63,582 mil. yenShareholders’ equity : 53,798 mil.yenNumber of employees : 4,129Main business : MushroomProduction/Distribution/ R&D(As of the end of March 2022)Hokuto Industry Corporation•Industrial Supply Production/DistributionArden Incorporated･Retort pouch food production Sun Medica Co., Ltd.Mushroom Wisdom,Inc,HOKTO KINOKO COMPANY•Mushroom Production/Distribution in North AmericaTAIWAN HOKUTO CORPORATION•Mushroom Production/Distribution in TaiwanHOKTO MALAYSIA SDN.BHD.・Mushroom Production/Distributionin Malaysia29Inquiries about IRAdministration HeadquartersPublic and Investor RelationsMail : ir-k@hokto-kinoko.co.jpHOKUTO Corporation