Translation
Notice: This document is an excerpt translation of the original Japanese document and is only for reference purposes. In the event of any
discrepancy between this translated document and the original Japanese document, the latter shall prevail.

Summary of Consolidated Financial Results
for the Year Ended March 31, 2015
(Based on Japanese GAAP)May 13, 2015
Company name:

CREO CO., LTD.

Stock exchange listing: Tokyo
Stock code:
9698
Representative:
Inquiries:

URL

http://www.creo.co.jp

President and Representative Director
Executive Officer, Financial Director

Yuji Anan
Takashi AmedaScheduled date of ordinary general meeting of shareholders:
Scheduled date to file Securities Report:

June 16, 2015
June 26, 2015

Scheduled date to commence dividend payments:
Preparation of supplementary material on financial results:

June 17, 2015
No

Holding of financial results meeting:

Yes

TEL

03-5769-3640(for analysts)(Amounts less than one million yen are rounded down)

1. Consolidated financial results for the year ended March 31, 2015 (from April 1, 2014 to March 31, 2015)(1) Consolidated financial results
Percentages indicate year-on-year changes
Net salesYear ended March 31, 2015
Year ended March 31, 2014

Millions of yen
11,425
11,387

Operating income
%
0.3
3.1

Millions of yen
357
259

Diluted net income
per share
Yen
Yen
24.66
–
5.06
–

Net income per share
Year ended March 31, 2015
Year ended March 31, 2014

Ordinary income% Millions of yen
37.6
380(40.2)
274

Net income% Millions of yen
38.7
213(37.5)
44

Ordinary
income/total assets
%%
4.6
5.5
1.0
4.1

Net income/equity%
384.5(87.6)

Operatingincome/net sales%
3.1
2.3(2) Consolidated financial position
Total assets
As of March 31, 2015
As of March 31, 2014

Net assets

Millions of yen
7,159
6,782

Millions of yen
4,799
4,602

Cash flows fromoperating activities
Millions of yen
772
978Cash flows frominvesting activities
Millions of yen
(322)
(686)

Equity ratio

Net assets per share%
66.5
67.3

Yen
549.99527.37(3) Consolidated cash flows

Year ended March 31, 2015
Year ended March 31, 2014

Cash flows from
Cash and cash equivalents
at end of period
financing activities
Millions of yen
Millions of yen
(44)
3,553
(67)
3,148

2. Cash dividends
Ratio ofDividend
Total cash
dividends topayout ratio
dividends (Total) (Consolidated)
net assets(Consolidated)

Annual dividends per share
1st quarter-end 2nd quarter-end 3rd quarter-end Fiscal year-end

Total

Yen

Yen

Yen

Yen

Yen

Millions of yen%%

Year ended March 31, 2014
Year ended March 31, 2015

––

0.00
0.00

–
–

5.00
5.00

5.00
5.00

43
43

98.7
20.3

1.0
0.9

Year ending March 31, 2016 (Forecast)

–0.00

–

5.00

5.00

112.4

3. Forecast of consolidated financial results for the year ending March 31, 2016 (from April 1, 2015 to March 31, 2016)
Percentages indicate year-on-year changes
Net sales
Millions of yen
Six months ending
September 30, 2015
Full year

Profit attributable toOrdinary income
owners of parent% Millions of yen% Millions of yen
%

4,000

(26.3)

10(89.6)

100

209.7

10,000(12.5)

300(21.3)

350

64.0

4. Notes(1) Changes in significant subsidiaries during the year ended March 31, 2015(changes in specified subsidiaries resulting in the change in scope of consolidation):No(2) Changes in accounting policies, changes in accounting estimates, and restatement of prior period financial statements
Changes in accounting policies due to revisions to accounting standards and other regulations:No
Changes in accounting policies due to other reasons:
Changes in accounting estimates:

No
Yes

Restatement of prior period financial statements after error corrections:No(3) Number of issued shares (common shares)
Total number of issued shares at the end of the period (including treasury shares)
As of March 31, 2015

9,237,319 shares As of March 31, 2014

9,237,319 shares

581,646 shares As of March 31, 2014

579,538 shares

Number of treasury shares at the end of the period
As of March 31, 2015
Average number of shares during the period
Year ended March 31, 2015

8,656,835 shares Year ended March 31, 2014

28,699,736 shares

Consolidated financial statements
Consolidated balance sheets(Millions of yen)
As of March 31, 2014

As of March 31, 2015

AssetsCurrent assets
Cash and deposits
Notes and accounts receivable - trade

3,148
2,041

3,553
2,149

Merchandise and finished goods
Work in process

21
174

24
204

Other216

186

5,603

6,118

Total current assets
Non-current assets
Property, plant and equipment
Buildings and structures

215237

Accumulated depreciation and impairment loss

(88)

(87)

Buildings and structures, net

126

150

163

158

(118)

(108)

45

49

Tools, furniture and fixtures
Accumulated depreciation and impairment loss
Tools, furniture and fixtures, net
Leased assets

33

Accumulated depreciation

(0)

(1)

Leased assets, net

2200

174

202

Intangible assets
Goodwill

2–

Patent right
Software–
598

2378

Software in progress
Other1023103
3

Total intangible assets

706488Land
Total property, plant and equipment

Investments and other assets
Investment securities

82119

OtherAllowance for doubtful accounts

216
–231
(0)

Total investments and other assets

298

350

1,179

1,041

6,782

7,159

Total non-current assets
Total assets3

(Millions of yen)
As of March 31, 2014

As of March 31, 2015

Liabilities
Current liabilities
Accounts payable - trade

472

433

Accounts payable - other
Income taxes payable

461
91

566
43

Provision for bonuses
Provision for sales returns

429
89

461
79

Asset retirement obligations
Other9534

–653

2,087

2,237

Total current liabilities
Non-current liabilities
Accrued directors' retirement benefits

2826

Asset retirement obligations
Other46
195342

Total non-current liabilities

93

122

2,180

2,360

Shareholders' equity
Capital stock

3,149

3,149

Capital surplus
Retained earnings

743
843

743
1,013

Treasury shares

(178)

(178)

Total shareholders' equity

4,558

4,728

Valuation difference on available-for-sale securities

732

Total accumulated other comprehensive income

732

Total liabilities
Net assets

Accumulated other comprehensive income

Minority interests

3639Total net assets

4,602

4,799

6,782

7,159

Total liabilities and net assets

4Consolidated statements of income and consolidated statements of comprehensive income
Consolidated statements of income(Millions of yen)
Fiscal year ended
March 31, 2014

Fiscal year ended
March 31, 2015

Net sales

11,387

11,425

Cost of sales

8,823

8,792

Gross profit

2,563

2,632

Promotion expenses
Advertising expenses

106
141

83
154

Salaries, allowances and bonuses
Retirement benefit expenses

737
25771
28

Provision for bonuses
Directors' compensations

67275

90240

Other949

906

2,3032,275259357

Non-operating income
Interest income

00

Dividend income
Insurance fee

0122

Subsidy income
Gain on investments in partnership10––
12profit
Other–
243Total non-operating income

1525–

0Office work fee
Foreign exchange losses

0––1

Loss on cancellation of leases
Other–
000

Total non-operating expenses

02274

380

Selling, general and administrative expenses

Total selling, general and administrative expenses
Operating income

Non-operating expenses
Interest expenses

Ordinary income
Extraordinary income
Gain on sales of non-current assets

0–Gain on transfer of business
Other

24
186
–

Total extraordinary income

2686

Extraordinary losses
Loss on retirement of non-current assets

0–

Settlement package
appraisal loss software

55
49

10145

Impairment loss
Other

21
1–
1

Total extraordinary losses

127

157

173

310

Income before income taxes and minority interests

5

(Millions of yen)
Fiscal year ended

Fiscal year ended

March 31, 2014

March 31, 2015

Income taxes - current
Income taxes - deferred

127
(4)

90
3

Total income taxes

123

93

Income before minority interests

50217Minority interests in income

53Net income

44213

6

Consolidated statements of comprehensive income(Millions of yen)

Income before minority interests
Other comprehensive income

Fiscal year ended

Fiscal year ended

March 31, 2014

March 31, 2015
50

217

Valuation difference on available-for-sale securities

725

Total other comprehensive income

725

Comprehensive income

57242

Comprehensive income attributable toComprehensive income attributable to owners of parent

51

238

Comprehensive income attributable to minority interests537

Consolidated statements of changes in net assets
Fiscal year ended March 31, 2014
(Millions of yen)
Shareholders' equity
Capital stock
Balance at beginning of current
periodCapital surplus

3,149

Retained earnings

743

Total shareholders'equity

Treasury shares

843

(154)

4,581

(23)

(23)

Changes of items during period
Net income

44

44

Purchase of treasury shares
Dividends of surplus

(43)

(43)

Net changes of items otherthan shareholders' equity
Total changes of items during
periodBalance at end of current period

––0

(23)

(23)

3,149

743

843

(178)

4,558

Accumulated other comprehensive income

Balance at beginning of current
periodValuation difference on
available-for-salesecurities

Total accumulated
other comprehensive
income00

Minority interests

Total net assets

304,612

Changes of items during period
Net income

44

Purchase of treasury shares(23)

Dividends of surplus(43)

Net changes of items otherthan shareholders' equity

77512

Total changes of items during
period775(10)

Balance at end of current period

7736

4,602

8

Fiscal year ended March 31, 2015
(Millions of yen)
Shareholders' equity
Capital stock
Balance at beginning of current
periodCapital surplus

3,149

Retained earnings

743

Total shareholders'equityTreasury shares

843

(178)

4,558

Changes of items during period
Net income

213

213

Purchase of treasury shares(0)

Dividends of surplus

(43)

(0)
(43)

Net changes of items otherthan shareholders' equity
Total changes of items during
periodBalance at end of current period

––

170

(0)

169

3,149

743

1,013

(178)

4,728

Accumulated other comprehensive income

Balance at beginning of current
periodValuation difference on
available-for-salesecurities

Total accumulated
other comprehensive
income77

Minority interests

Total net assets

364,602

Changes of items during period
Net income

213

Purchase of treasury shares(0)

Dividends of surplus(43)

Net changes of items otherthan shareholders' equity

25

25

328

Total changes of items duringperiod

2525

3197

Balance at end of current period

32

32

39

4,799

9

Consolidated statements of cash flows(Millions of yen)

Cash flows from operating activities
Income before income taxes and minority interests

Fiscal year ended

Fiscal year ended

March 31, 2014

March 31, 2015
173310Depreciation
Amortization of goodwill

501
2478
2Impairment loss
Increase (decrease) in allowance for doubtful accounts

21––0

Increase (decrease) in provision for bonuses
Increase (decrease) in provision for sales returns

87
2831(10)

Interest and dividend income
Interest expenses

(1)
0(2)
0

Loss on retirement of property, plant and equipment
Gain on transfer of business

0–0(86)

Loss (gain) on valuation of investment securities
Loss (gain) on sales of property, plant and equipment1(0)–0appraisal loss software
Settlement package

49
55

145
10

Decrease (increase) in notes and accounts receivable - trade
Decrease (increase) in inventories(48)
57(107)(33)

Increase (decrease) in notes and accounts payable - trade
Increase (decrease) in accounts payable - other23(26)(38)
69

Increase (decrease) in accrued consumption taxes
Decrease (increase) in claims provable in bankruptcy, claims

10156

–(0)

108

(21)

1,045

905

Interest and dividend income received
Interest expenses paid

1(0)

2(0)

Income taxes paid

(67)

(136)

Net cash provided by (used in) operating activities

978772

Purchase of property, plant and equipment
Purchase of intangible assets

(48)
(561)

(58)
(346)

Proceeds from sales of property, plant and equipment
Purchase of investment securities

0(64)

––

Payments for guarantee deposits
Proceeds from collection of guarantee deposits

(11)
7(77)
62

Proceeds from transfer of business
Other, net

–
(8)

110
(12)

(686)

(322)

provable in rehabilitation
Other, net
Subtotal

Cash flows from investing activities

Net cash provided by (used in) investing activities
Cash flows from financing activitiesCash dividends paid

(43)

(42)

Purchase of treasury shares
Cash dividends paid to minority shareholders

(23)
(0)

(0)
(0)

Repayments of lease obligations

(0)

(0)

(67)

(44)

Net increase (decrease) in cash and cash equivalents

Net cash provided by (used in) financing activities

224405

Cash and cash equivalents at beginning of period

2,923

3,148

Cash and cash equivalents at end of period

3,148

3,553

10