Sumitomo Heavy Industries, Ltd.
1Q CONSOLIDATED FINANCIAL REPORTFor the Three-Month Period from April 1 to June 30, 2012

All financial information has been prepared in accordance with generally accepted accounting principles in Japan. This document
has been translated from the Japanese original as a guide to non-Japanese investors and contains forward-looking statementsthat are based on management’s estimates, assumptions, and projections at the time of publication. A number of factors could
cause actual results to differ materially from expectations. Amounts shown in this financial statement have been rounded to thenearest million yen.

Consolidated Results for the First Quarter
Ended June 30, 2012

Summary of Consolidated Financial Results
For the First Quarter Ended June 30, 2012
Presented July 31, 2012

Sumitomo Heavy Industries, Ltd.
Listed exchanges

Tokyo Stock Exchange, Osaka Securities Exchange

Stock code

6302

Head officeTokyo

President

Yoshinobu Nakamura

URL

www.shi.co.jp

Inquiries

Hideo Oshima
General Manager, Corporate Communications Dept.

Telephone+81 3 6737 2333

Scheduled reporting date for quarterly reportAugust 8, 2012

Scheduled date of payment of cash dividends－

Availability of supplementary explanations forquarterly financial statement
Holding of meeting to explain quarterly
financial statement

None
None

1. FY 2012 1Q Consolidated Results (April 1, 2012, to June 30, 2012)(1) Business Results(Units: millions of yen)First Quarter
April 1 to June 30, 2012

Previous First Quarter
April 1 to June 30, 2011

% change% change

146,299

6.1

137,892

26.3

Operating income

8,844(12.4)

10,092

119.6

Ordinary income

9,220

(4.3)

9,631

147.7

Net income

5,276

52.3

3,464

117.6

Net sales

Net income per share (yen)

8.60

5.64

Fully diluted net income per share (yen)－－Note: Comprehensive income
Fiscal quarter ended June 30, 2012: 8,560 million yen (28.8%)
Fiscal quarter ended June 30, 2011: 6,645 million yen (871.6%)

2

Consolidated Results for the First Quarter
Ended June 30, 2012

(2) Financial Position(Units: millions of yen)
End of First Quarter
As of June 30, 2012

End of Previous Full YearAs of March 31, 2012

Total assets

667,081

691,841

Shareholders’ equity

287,150

282,145

42.5

40.3

Equity ratio (%)
Reference: Equity
Fiscal quarter ended June 30, 2012: 283,577 million yen
Fiscal year ended March 31, 2012: 278,888 million yen

2. Dividends(Units: yen)
Year Ended March 31,
2012

Year Ended March 31,
2013

Year Ended March 31,
2013 (forecast)

Annual dividends per share－First quarter

－

4.00

Second quarter

4.00

Third quarter－－End of term

6.00

4.00

Annual dividends

10.00

8.00

Note:

Changes from the most recent dividend forecast: Yes

3. FY 2012 Consolidated Forecasts (April 1, 2012, to March 31, 2013)(Units: millions of yen)
Second Quarter (Cumulative)
April 1, 2012, to Sept. 30, 2012

Full Year
April 1, 2012, to March 31, 2013

Net sales

295,000% change
0.3

620,000% change
0.7

Operating income

13,500(37.4)

32,000(32.1)

Ordinary income

12,500(38.0)

29,000(35.0)Net income

6,500(29.6)

16,500(15.3)

Projected net income per share (yen)

10.59

Note:

Changes from the most recent consolidated forecast: Yes

3

28.89

Consolidated Results for the First Quarter
Ended June 30, 2012

Additional Notes(1) Transfers of important subsidiaries during the fiscal period (moves of specific subsidiaries due to change in scope of
consolidation):
None
Newly consolidated:

None

Excluded from consolidation:None(2) Special accounting measures applied in the quarterly consolidated financial report:

None(3) Changes to accounting policies, changes to accounting estimates, and restatements(i) Changes to accounting policies resulting from revisions to accounting standards, etc.:

Yes(ii) Changes other than (i):None(iii) Changes to accounting estimates:Yes(iv) Restatements:

None

Note: Applicable to Article 10, Item 5 of the “Ordinance on Terminology, Forms and Preparation Methods of Quarterly
Financial Statements”. For further details, please see “2. Notes Regarding Summary Information (Additional Notes), Item
(3) Changes to Accounting Policies, Changes to Accounting Estimates, and Restatements” on page 8 of the
Supplementary Materials.

(4) Number of shares issued (common shares)(i) Number of shares issued at end of fiscal period (including treasury stock):
As of June 30, 2012
As of March 31, 2012

614,527,405 shares
614,527,405 shares(ii) Amount of treasury stock at end of fiscal period
As of June 30, 2012
As of March 31, 2012

811,958 shares
811,946 shares(iii) Average number of shares during fiscal period (cumulative quarterly period)
As of June 30, 2012
As of June 30, 2011

613,714,527 shares
614,397,333 shares

Recording of Implementation Conditions regarding Quarterly Review ProceduresThis quarterly financial summary does not fall within the scope of the Quarterly Review Procedures referenced
in the Financial Instruments and Exchange Act. At the time of disclosure of the quarterly financial summary, theGroup was in the process of implementing the quarterly review procedures for its quarterly financial statements.
Explanations and Other Special Items regarding the Pertinent Reasons for the Earnings Forecast
Earnings forecasts and outlooks concerning future financial results are believed to be reasonable based on
information available at the time of publication. Actual financial results may vary from the above forecast andoutlook due to a variety of factors. For information on the assumptions that form the basis of the earnings
forecast and items to note concerning the use of earnings forecasts, please see the analysis of businessperformance in the Supplementary Materials beginning on page 6.

4

Consolidated Results for the First Quarter
Ended June 30, 2012

Supplementary Materials – Table of Contents

1. Qualitative Information regarding Current Quarterly Consolidated Business Performance .......6(1) Qualitative Information on Consolidated Business Performance ....................................................6(2) Qualitative Information on the Group’s Consolidated Financial Position.........................................7(3) Qualitative Information regarding Consolidated Earnings Forecast ................................................8
2. Notes regarding Summary Information (Additional Notes) ............................................................9(1) Changes Involving Important Subsidiaries during the Current Consolidated Year-to-Date Quarterly
Period .............................................................................................................................................9(2) Special Accounting Procedures Adopted during the Development of the Quarterly Consolidated
Financial Report..............................................................................................................................9(3) Changes to Accounting Policies, Changes to Accounting Estimates, and Restatements ...............9
3. Quarterly Consolidated Financial Statements ...............................................................................10(1) Quarterly Consolidated Balance Sheets .......................................................................................10(2) Consolidated Income Statements and Consolidated Statement of Comprehensive Income.........12
Consolidated Income Statements .................................................................................................12
Consolidated Statement of Comprehensive Income .....................................................................13(3) Notes on Premise of a Going Concern .........................................................................................13(4) Notes regarding Significant Fluctuations to Shareholders’ Equity.................................................13(5) Subsequent Events of Significant Importance ..............................................................................13
4. Supplementary Information .............................................................................................................14(1) Orders, Sales and Operational Profit, and Balance of Orders by Segment ..................................14(2) (Summary) Consolidated Cash Flows Statement .........................................................................16

5

Consolidated Results for the First Quarter
Ended June 30, 2012

1. Qualitative Information regarding Current Quarterly Consolidated Business
Performance(1) Qualitative Information on Consolidated Business Performance
The Japanese economy in the first quarter of the current fiscal year under review remained unstable as, on one hand,signs of economic recovery arising from earthquake recovery-related demand were seen, whereas on the other, thecontinued strength of the Japanese yen put downward pressure on any such recovery. Outside of Japan, overall
conditions remained weak as any economic recovery seen in portions of the United States market was erased by signsof long-term financial uncertainty in Europe, as well as the slumping Chinese economy which, up to now, underpinned
the global economy.
Set against this economic backdrop, the Group focused on implementing strategies to counteract the strong Japaneseyen, including making improvements to its global supply chain, and worked to increase its competitiveness. Despite
these efforts, orders decreased across all segments of the Group, with the exception of the Ships segment, to end at
JPY124.7 billion, a 17% decline as compared to same period last year (hereinafter referred to as the “previous term”). In
terms of sales, all segments of the Group posted improved results with the exception of the Machinery Components andShips segments. Consequently, the Group posted total sales of JPY146.3 billion, a 6% increase from the previous term.
Turning to income, despite an increase in sales, the continued strength of the Japanese yen had a negative impact,
resulting in the Group posting an operating income of JPY8.8 billion, a 12% decline from the previous term, and ordinary
income of JPY9.2 billion, a 4% decline from the previous term. However, quarterly net income increased by 52% from theprevious term to finish at JPY5.3 billion.
Conditions in each business segment of the Group were as follows:
1. Machinery Components
Although the segment’s performance in overseas markets remained steady as compared to the previous term, theslowdown in domestic demand resulted in a fall in both orders and sales. In actual figures, the segment received orders
worth JPY23.2 billion (a decrease of 4% from the previous term), and posted sales of JPY21.2 billion (a decrease of 5%
from the previous term). Further, the segment posted an operating loss of JPY100 million.
2. Precision Machinery
With respect to plastics machinery, there was an increase in IT-related demand from certain East Asian markets.
However, overall performance for the product line was flat, with a decline in orders and an increase in sales. In otherproduct areas, the demand for medical devices remained weak. As a result, orders for the segment as a whole fell whilesales remained at approximately the same level as the previous term. In actual figures, the segment received orders
worth JPY32.6 billion (a decrease of 11% from the previous term), and posted sales of JPY34.7 billion (an increase of
9% from the previous term). Further, the segment posted operating income of JPY2.6 billion.
3. Construction Machinery
The hydraulic excavator business saw a decline in orders due to the slowdown of the Chinese market, but saw anincrease in sales as disruptions caused by the Great East Japan Earthquake from the previous term did not recur. The
mobile crane business posted improved orders and sales figures as the North American market continued to show signsof recovery. As a result, the segment as a whole received orders worth JPY39.1 billion (a decrease of 3% from theprevious term) and posted sales of JPY39.1 billion (an increase of 13% from the previous term). Further, the segment
posted operating income of JPY1.8 billion.
4. Industrial Machinery
Orders for turbines and pumps fell as the strong Japanese yen weakened exports. At the same time, demand for thesegment’s materials handling products fell as the steelmaking and shipbuilding industries showed signs of weakness. As
a result, overall orders for the segment fell as compared to the previous term. On the other hand, the abundance oforders carried forward from the previous term resulted in an increase in sales figures. In actual figures, the segment
received orders worth JPY14.7 billion (a decrease of 44% from the previous term) and posted sales of JPY19.1 billion(an increase of 37% from the previous term). Further, the segment posted operating income of JPY1.1 billion.

6

Consolidated Results for the First Quarter
Ended June 30, 2012

5. Ships
The ship market has continued to remain stagnant, and this is reflected in the lack of new shipbuilding orders during theperiod under review, which was the same figure as in the previous term. With regard to sales, two ships were handed
over during the period under review, which is one ship less than in the previous term. As a result, the segment received
orders worth JPY1.9 billion (an increase of 95% from the previous term), and posted sales of JPY17.2 billion (a decreaseof 26% from the previous term). Further, the segment posted operating income of JPY3.2 billion.
6. Environmental Facilities & Plants
Orders fell as the markets for both energy plants and water treatment plants were sluggish. On the other hand, sales
increased, mainly due to the abundance of orders carried forward from the previous term. As a result, the segment
received orders worth JPY11.0 billion (a decrease of 46% from the previous term) and posted sales of JPY13.2 billion(an increase of 34% from the previous term). Further, the segment posted operating income of JPY0 billion.
7. Others
In this segment, both orders and sales figures fell as compared to the previous term. In actual figures, the segment
received orders worth JPY2.1 billion and posted sales of JPY1.8 billion (a decrease of 11% from the previous term).
Further, the segment posted operating income of JPY300 million.

(2) Qualitative Information on the Group’s Consolidated Financial Position(1) Condition of Assets, Liabilities, and Net Assets
Total assets at the end of the current quarter under review (ended June 30, 2012) amounted to JPY667.1 billion, adecrease of JPY24.8 billion as compared to the end of the previous consolidated fiscal year. This was mainly due to the
JPY18.5 billion decrease in cash and deposits, and the JPY12.9 billion decrease in trade notes and accounts receivable
exceeding the JPY8.4 billion increase in inventory assets.
Total liabilities fell to JPY379.9 billion, a decrease of JPY29.8 billion as compared to the end of the previous consolidated
fiscal year. This was mainly due to the JPY6.0 billion decrease in trade notes and accounts payable, the JPY9.1 billion
decrease in the balance of interest-bearing liabilities, and the JPY9.3 billion decrease in income taxes payable as a resultof making income tax payments.
Net assets amounted to JPY287.1 billion, an increase of JPY5.0 billion as compared to the end of the previous
consolidated fiscal year, mainly due to the JPY1.9 billion increase in retained earnings and the JPY3.6 billion increase in
the foreign currency translation adjustment.
As a result of the above, the shareholders’ equity ratio improved by 2.2% from the end of the previous consolidated fiscal
year to finish at 42.5%.
(2) Cash Flow Condition
Cash flow used for operating activities totaled JPY1.1 billion (as compared to an inflow of JPY11.5 billion in the previousterm), mainly due to an increase in accounts receivable and a decrease in accounts payable.
Cash flow used for investing activities totaled JPY3.8 billion, an increase of JPY200 million from the previous term,
mainly due an increase in the cash used to acquire fixed assets.
Cash used for financing activities totaled JPY15.0 billion, an increase of JPY10.6 billion from the previous term, mainly
due to repayments of interest-bearing liabilities.
As a result of the foregoing, the balance of cash and cash equivalents at the end of the first quarter of the current
consolidated fiscal year totaled JPY54.0 billion, a decrease of JPY18.4 billion as compared to the end of the previous
consolidated fiscal year.

7Consolidated Results for the First Quarter
Ended June 30, 2012(3) Qualitative Information regarding Consolidated Earnings Forecast
The consolidated earnings forecasts, previously announced on May 8, 2012, for the period through the second quarterand the full-year, ending March 31, 2013, have been revised as follows.

Second Quarter (Cumulative) Ending September 30, 2012
(Units: millions of yen)

% Difference(Reference)Previous 2Q
Results(5,000)(1.7)

294,068(3,500)(20.6)

21,579(2,500)(16.7)

20,1686,500(1,500)(18.8)

9,236

10.59

－

－

15.04

Previous
Forecast (A)Current
Forecast (B)Net sales

300,000

295,000

Operating income

17,00013,500Ordinary income

15,00012,500Net income

8,000

Net income per share (yen)13.03

Difference(B-A)

Full-Year Ending March 2013
(Units: millions of yen)

% Difference(Reference)Previous Year
Results(10,000)(1.6)

624,100(13,000)(28.9)

47,135(12,000)(29.3)

44,61916,500(7,000)(29.8)

19,492

26.89

－

－

31.75

Previous
Forecast (A)Current
Forecast (B)Net sales

630,000

620,000

Operating income

45,00032,000Ordinary income

41,00029,000Net income

23,500Net income per share (yen)38.29

Difference(B-A)

In overall terms, the future outlook for the domestic market remains unstable as the longstanding strength of theJapanese yen puts downward pressure on performance. Outside of Japan, overall conditions remain weak as any
economic recovery seen in portions of the United States market have been erased by signs of long-term financial
uncertainty in Europe, as well as the slumping Chinese economy which, up to now, underpinned the global economy.
Set against this economic backdrop, a decision was made to lower the previously announced (on May 8, 2012) sales
forecasts for the Construction Machinery segment due to the slower than anticipated recovery of demand from the
Chinese market, as well as the Machinery Components segment due to worse than anticipated market conditions. At thesame time, the forecast for operating income, ordinary income and net income have been revised downwards to reflect
the reduction in sales and the impact of the strong Japanese yen.
Please note that in May 2012, the Ministry of Defense suspended SHI’s Defense System Group and one consolidated
subsidiary from bidding on future contracts after the Ministry discovered that the two entities over-calculated the numberof work hours expended in one of its contracts. Although the Group anticipates that penalty payments will be incurred inaccordance with the terms of the contract, at this stage, the Group is fully cooperating with the Ministry, and the amountof the penalty and the timing of the payment are undetermined. For this reason, no such amount has been incorporated
into the current earnings forecast.
On a separate note, from the second quarter of the current consolidated fiscal year, the following currency exchange
rates are being assumed: USD1 = JPY78; EUR1 = JPY95.

8

Consolidated Results for the First Quarter
Ended June 30, 2012

2. Notes regarding Summary Information (Additional Notes)(1) Changes Involving Important Subsidiaries during the Current Consolidated Year-to-Date Quarterly
PeriodThere are no applicable items.

(2) Special Accounting Procedures Adopted during the Development of the Quarterly Consolidated
Financial Report
There are no applicable items.

(3) Changes to Accounting Policies, Changes to Accounting Estimates, and Restatements(Changes to Accounting Policies Where It Is Difficult to Differentiate Such Changes from Changes to Accounting
Estimates)
In accordance with the revisions to the Corporation Tax Law, the Group, along with its domestic consolidated
subsidiaries, has applied the depreciation method to tangible fixed assets acquired after April 1, 2012, as of the firstquarter of the current consolidated fiscal year under review.
However, please note that the impact of this change to the profit or loss figures for the first quarter of the current
consolidated fiscal year under review is negligible.

9Consolidated Results for the First Quarter
Ended June 30, 2012

3. Quarterly Consolidated Financial Statements(1) Quarterly Consolidated Balance Sheets(Units: millions of yen)
End of Previous Fiscal YearAs of March 31, 2012

End of First Quarter
As of June 30, 2012

AmountAmountAssetsCash and deposits

73,37354,878Notes and accounts receivable

181,248

168,301

Inventory assets

143,922

152,312

Other

31,35729,969(855)(1,025)429,046

404,434Land

116,306

116,458

Other (net)103,506

105,420

Total tangible assets

219,812221,877

6,374

6,686

6,374

6,686

Other

38,02235,505

Allowance for doubtful accounts(1,414)(1,422)36,60934,083Fixed assets

262,795

262,647

Total assets

691,841

667,081

Allowance for doubtful accounts
Current assets

Other
Total intangible assets

Investments and other assets

10Consolidated Results for the First Quarter
Ended June 30, 2012

(Units: millions of yen)
End of Previous Fiscal YearAs of March 31, 2012

End of First Quarter
As of June 30, 2012

AmountAmountLiabilities
Notes and accounts payable

153,843

147,828

Short-term bank loans

27,38337,506Long-term loans due within one year

19,796

20,407

Allowance

10,456

10,430Other

76,982

62,205

288,461

278,376

Bonds

10,00010,000Long-term debt due after one year

39,343

19,486

Employees’ severance and retirement benefits

35,88436,408

54

57

Deferred income taxes on revaluation

27,651

27,651

Other

8,303

7,952

Long-term liabilities

121,235

101,555

Total liabilities

409,696379,931

Common stock

30,87230,872

Capital surplus

23,78923,789Retained earnings

201,433

203,321

Treasury stock

(445)

(444)

Stockholders’ equity

255,649

257,537

Unrealized gains on securities

2,267

1,339

Profit (loss) on deferred hedge

277

572

Adjustment regarding pension obligations ofconsolidated overseas subsidiaries(3,573)(3,776)

Revaluation reserve for land

43,381

43,381

Foreign currency translation adjustments(19,113)(15,476)

Total accumulated other comprehensive income

23,23926,040Minority interests

3,258

3,573

Total net assets

282,145

287,150

Liabilities and net assets

691,841

667,081

Current liabilities

Allowance

Net assets

11Consolidated Results for the First Quarter
Ended June 30, 2012

(2) Consolidated Income Statements and Consolidated Statement of Comprehensive Income
Consolidated Income Statements(Units: millions of yen)Previous First Quarter
April 1, 2011, to June 30,
2011

Present First Quarter
April 1, 2012, to June 30,
2012

AmountAmountNet sales

137,892

146,299

Cost of sales

106,603115,200

Gross income

31,28831,099Selling, general & administrative expenses

21,19722,255

Operating income

10,092

8,844Interest income

3780

Dividend income

302

578

Other

551

899

889

1,556

Interest expense

369

498

Other

982

682

Total non-operating expenses

1,350

1,180

Ordinary income

9,631

9,220

1,921

580

Loss on contracts

260－

Loss on impaired assets

229－

Total extraordinary losses

2,410

580

Income before income taxes

7,220

8,640

Corporate income taxes

3,481

3,265

Quarterly net income before income or loss
adjustments on minority interests

3,740

5,376

276

100

3,464

5,276

Non-operating income

Total non-operating income
Non-operating expenses

Extraordinary losses
Loss on devaluation of marketable securities

Minority interests
Net income

12Consolidated Results for the First Quarter
Ended June 30, 2012

Consolidated Statement of Comprehensive Income(Units: millions of yen)Previous First Quarter
April 1, 2011, to June 30, 2011

Present First Quarter
April 1, 2012, to June 30, 2012

AmountAmount

Net income before adjusting for profit (loss)
from minority interests

3,740

5,376

Unrealized gains on securities

1,250

(929)

Profit (loss) on deferred hedge

256

289

Adjustment regarding pension
obligations of consolidated overseas
subsidiaries

(29)

(203)

1,428

3,826

Amount applied for equity method
accounting of affiliates

06

Total other comprehensive income

2,905

3,184

6,645

8,560

6,267

8,271

378

289

Other comprehensive income

Foreign currency translation adjustments

Comprehensive income(Breakdown)Comprehensive income relating to parent
company shareholdings
Comprehensive income relating tominority interests(3) Notes on Premise of a Going Concern
There are no applicable items.

(4) Notes regarding Significant Fluctuations to Shareholders’ Equity
There are no applicable items.

(5) Subsequent Events of Significant Importance
There are no applicable items.

13Consolidated Results for the First Quarter
Ended June 30, 2012

4. Supplementary Information(1) Orders, Sales and Operational Profit, and Balance of Orders by Segment
Orders Received(Units: millions of yen)Segment

April 1, 2011, toJune 30, 2011

April 1, 2012, toJune 30, 2012

AmountAmountY/Y Change
Amount%Machinery Components

24,171

23,174

(997)

(4.1)

Precision Machinery

36,69232,643(4,049)(11.0)

Construction Machinery

40,283

39,115(1,168)(2.9)

Industrial Machinery

26,082

14,684(11,399)(43.7)

985

1,923

938

95.2

Environmental Facilities & Plants

20,606

11,037(9,570)(46.4)

Others

2,116

2,107

(8)

(0.4)

Total

150,936

124,683(26,253)(17.4)

Ships

Sales and Operational Profit(Units: millions of yen)Segment

April 1, 2011, toJune 30, 2011

April 1, 2012, toJune 30, 2012

Operational
ProfitSales

Y/Y Change

Operational
ProfitSales

Operational
ProfitSales

Machinery Components

22,2401,163

21,161(128)(1,079)(1,291)

Precision Machinery

31,824

2,346

34,738

2,594

2,914

248

Construction Machinery

34,687

1,638

39,066

1,802

4,379

164

Industrial Machinery

13,9401,845

19,101

1,067

5,162

(778)

Ships

23,282

4,816

17,161

3,182(6,121)(1,635)

Environmental Facilities & Plants

9,863(2,124)

13,240

40

3,377

2,164

Others

2,055

416

1,831

264

(224)

(152)

－

(9)

－

23

－

33

137,892

10,092

146,299

8,844

8,407

(1,248)Adjustments
Total

14

Consolidated Results for the First Quarter
Ended June 30, 2012

Balance of Orders Received(Units: millions of yen)Segment

End of Previous Fiscal
Year
As of March 31, 2012

End of First Quarter
As of June 30, 2012

AmountAmountChangeAmount%Machinery Components

27,43929,452

2,013

7.3

Precision Machinery

65,84763,752(2,096)(3.2)

Construction Machinery

26,14026,19050

0.2

Industrial Machinery

71,90367,485(4,418)

(6.1)

Ships

44,63829,400(15,238)(34.1)

Environmental Facilities & Plants

74,44972,246(2,203)(3.0)

Others

1,632

1,908

276

16.9

Total

312,048

290,433(21,616)(6.9)

The Group’s operating segments are categorized as follows:Businesses

Main Products

Machinery Components

Power transmission and control equipment

Precision Machinery

Plastic injection molding machines, film forming machines, semiconductor
production equipment, laser processing systems, cryocoolers, precision
positioning equipment, ion accelerators, medical machines and equipment,
plasma coating systems for FPDs, precision forgings, control components,
defense equipment, machining tools

Construction Machinery

Hydraulic excavators, mobile cranes, road machinery

Industrial Machinery

Forging machines, material handling systems, logistics systems, automatedparking systems, turbines, pumps

Ships

Ships

Environmental Facilities & Plants

Private power generation facilities, boilers, industrial waste treatment facilities,
air pollution control equipment, water and sewage treatment systems, processequipment, pressure vessels, mixing vessels, air-conditioning equipment, foodprocessing machinery

15

Consolidated Results for the First Quarter
Ended June 30, 2012(2) (Summary) Consolidated Cash Flows Statement(Units: millions of yen)Previous First Quarter
April 1, 2011, to June30, 2011

Present First Quarter
April 1, 2012, to June30, 2012

Y/Y Change

Income before income taxes

7,220

8,640

1,420

Depreciation

4,246

4,160

(86)

(Increase) decrease in notes andaccounts receivable

17,301

11,273(6,028)(Increase) decrease in inventories(5,715)(4,098)

1,617

Increase (decrease) in notes andaccounts payable

2,022(8,720)(10,742)

Payments for income taxes(11,117)(10,673)

444

Other

(2,408)(1,725)683

Net cash provided by operating activities

11,549(1,143)(12,692)

Payments for purchases of property,
plant, and equipment(4,132)(4,666)(534)

Proceeds from sale of securities

38

281

243

Other

485

567

82

(3,609)(3,818)

(210)

352

(10,724)(11,076)(4,336)(3,266)

1,070

(344)

(968)

(625)

Net cash used in financing activities(4,328)(14,959)(10,631)

Other

1,154

1,549

725

Cash and cash equivalents at beginning of
period51,70072,376

20,676

Cash and cash equivalents at end of period

56,46754,004(2,463)

Net cash used in investing activities
Net increase (decrease) in short-term
loans
Cash dividends paid
Other

16