FY2021-Q1 Revenue Decline, Lower Operating Profit, and Higher Net Income Driven by Prinova's Contribution

「Domestic sales were ¥82.17 billion, down 19.2% year on year, while overseas sales were ¥98.39 billion, up 7.8%. Although sales from the Prinova Group, acquired in the second quarter of the previous fiscal year, were added, the substantial decline at existing companies resulted in revenue of ¥180.56 billion, down 6.4%. In terms of earnings, the Prinova Group’s high profitability more than offset the impact of lower revenue, resulting in gross profit of ¥26.05 billion, up 2.6%. Operating profit, however, was ¥3.67 billion, down 30.1%, and ordinary profit was ¥4.23 billion, down 27.5%, due to the decline in profit at existing companies and higher costs for promoting digital transformation (DX), positioned as an investment in medium- to long-term growth, despite the contribution from the Prinova Group. Net income attributable to owners of the parent was ¥6.8 billion, up 63.8%, due in part to gains recognized on the sale of shares held by the Company.」