Management Information

In the business environment surrounding the TODA KOGYO Group (the “Group”) during the fiscal year ended March 31, 2023 (the “fiscal year under review”), there were signs of a gradual recovery in economic activity as restrictions on movement due to the novel coronavirus (COVID-19) were relaxed and economic activity moved toward normality. However, because of inflation stemming from increases in raw material and energy prices, supply constraints, the protracted war in Ukraine, and downturn in overseas economies as a result of tighter monetary policy throughout the world, the future continues to be unclear.
Under such conditions, sales fell year on year on account of a semiconductor shortage and weak demand for ICT devices.
Turning to profit, operating profit and ordinary profit fell year on year as a result of the decline in sales and the impact of surging prices for raw materials and energy as well as shipping costs. However, profit attributable to owners of parent for the fiscal year under review increased year on year from the transfer of shareholding in Toda United Industrial (Zhejiang) Co., Ltd., a former consolidated subsidiary.
As a result of the above, net sales came to ¥34,934 million (down 1.1% year on year), operating profit came to ¥1,367 million (down 45.7% year on year), ordinary profit came to ¥3,349 million (down 20.0% year on year), and profit attributable to owners of parent came to ¥3,268 million (up 4.9% year on year).
Net cash provided by financing activities came to ¥187 million (¥913 million in the previous fiscal year). This was mainly due to an increase in cash largely resulting from ¥5,730 million in proceeds from long-term borrowings, which exceeded a decrease in cash largely resulting from ¥664 million in a net decrease in short-term borrowings, ¥3,746 million in repayments of long-term loans payable and others, ¥265 million in interest paid, and ¥814 million in the purchase of shares of subsidiaries not resulting in change in scope of consolidation.