CONSOLIDATED FINANCIAL REPORTFOR THE SECOND QUARTER OF FISCAL 2016
(The Fiscal Year Ending March 31, 2017 under Japanese GAAP)
November 8, 2016
Company Name:
Asahi Broadcasting Corporation*
Stock Exchange Listing:Tokyo Stock Exchange
Securities Code:9405
URL http://corp.asahi.co.jp/en/
Representative:
Satoshi Wakisaka, President and Chief Executive Officer
Inquiries:
Masato Kadota, Director, Financial Affairs Division
TEL: +81-6-6458-5321
Scheduled Date of Securities Report Filing: November 11, 2016
Scheduled Date of Dividend Payment Commencement: December 1, 2016
Preparation of Quarterly Supplementary Explanatory Materials: Yes
Quarterly Results Briefing Held: Yes (for institutional investors and analysts)* Asahi Broadcasting Corporation: ABC(Figures are rounded down to the nearest million yen unless otherwise stated.)
1. Consolidated Financial Results for the First Half of Fiscal 2016 (April 1, 2016 to September 30, 2016)(1) Consolidated Operating Results (Cumulative)(Percentage figures show the year-on-year increase (decrease) for each corresponding period.)
Profit Attributable toNet Sales
Operating Income
Ordinary Income
Owners of Parent¥ million%¥ million%¥ million%¥ million%
First Half of
40,867
3.7
1,072
0.9
1,260(3.0)
883
12.4
Fiscal 2016
First Half of
39,405(0.8)
1,063 (37.3)
1,300 (28.4)
786 (17.8)
Fiscal 2015
Note: Comprehensive Income
First half of fiscal 2016
¥800 million (5.8%)
First half of fiscal 2015¥756 million (-43.4%)
Basic Earnings per
Share

Diluted Earnings perShare¥First Half of
Fiscal 2016
First Half of
Fiscal 2015

¥

21.63

―

19.25

―

(2) Consolidated Financial Position
Total Assets
Net Assets
Equity-to-Asset Ratio¥ million¥ million%September 30,
98,38358,07654.5
2016
March 31, 2016
99,596
57,713
53.5(Reference) Shareholders’ Equity September 30, 2016: ¥53,608 million
March 31, 2016:¥53,279 million
2. Dividends
Annual Dividend per Share
1Q-End2Q-End¥¥Fiscal 2015―
9.00
Fiscal 2016―
9.00
Fiscal 2016 (Forecast)
Notes: Revisions from recently announced dividend forecast: None

3Q-EndPeriod-End¥

Total―¥
9.00¥18.00

―

9.00

18.00

3. Consolidated Financial Results Forecasts for Fiscal 2016 (April 1, 2016 to March 31, 2017)(Percentage figures show the year-on-year increase (decrease) for each corresponding period.)
Profit Attributable to Basic Earnings perNet Sales
Operating Income Ordinary IncomeOwners of ParentShare¥ million%¥ million%¥ million%¥ million%¥
Full Fiscal Year82,400 1.7
4,100 0.94,400 (0.2)
2,700 13.8
66.12
Note: Revisions from recently announced performance forecast: None
* Notes(1) Changes in the number of important subsidiaries during the period: None
(2) The application of special accounting treatment for the preparation of the quarterly consolidated financialstatements: None
(3) Changes in accounting policies, accounting estimates and restatements
1) Changes in accounting policies in accordance with changes in accounting standards, etc.: None
2) Changes in accounting policies other than 1): None
3) Changes in accounting estimates: None
4) Restatements: None
(4) Number of shares issued and outstanding (common shares)
1) Number of shares issued and outstanding as of September 30,
the period-end (including treasury shares)
20162) Number of treasury shares as of the period-end September 30,
20163) Average number of shares issued and
September 30,
outstanding for the period
201641,833,000
shares996,087
shares40,836,913
sharesMarch 31,2016
March 31,2016
September 30,
2015

41,833,000
shares996,087
shares40,836,913
shares* Disclosure concerning the implementation status of quarterly review proceduresThis financial report is exempt from the quarterly review procedure provisions stipulated under the Financial
Instruments and Exchange Act of Japan. As of the date of disclosure, review procedures in connection withconsolidated financial statements were in progress.
* Explanation concerning the appropriate use of forecasts and other special instructions(Caution regarding forward-looking statements, etc.)
Results forecasts and other forward-looking statements contained in this report are based on the assumptions, beliefs,
and uncertainties in light of information available to the Company’s management as of the publication date and do not
represent promises by the Company or its management that these performance figures will be attained. Actual results
may differ materially from forecasts due to a variety of factors. Please refer to “1. Analysis of Operating Results andFinancial Position (3) Explanation of Forward-Looking Statements, including the Outlook for ConsolidatedPerformance” on page 3 of the attached supplementary materials for information regarding the underlying assumptions
for financial results forecasts, as well as explanatory and other notes regarding the use of financial results forecasts.
The Company will hold a briefing for institutional investors and analysts, scheduled for Friday, November 18, 2016.
A summary of the presentation materials to be distributed at this briefing shall be published on the Company’s website
after the event.

Supplementary Materials: Table of Contents
1.

2.

Analysis of Operating Results and Financial Position

2(1) Analysis of Operating Results2(2) Analysis of Financial Position

3(3) Explanation of Forward-Looking Statements, including the Outlook for Consolidated Performance

3Supplementary Information (Notes)

4(1) Changes in the Number of Important Subsidiaries during the Period

4(2) Application of Special Accounting Treatment for the Preparation of the Quarterly Consolidated
Financial Statements

3.

(3) Changes in Accounting Policies, Accounting Estimates and Restatements

4(4) Additional Information

4Quarterly Consolidated Financial Statements

5(1) Quarterly Consolidated Balance Sheet

5(2) Quarterly Consolidated Statement of Income and Quarterly Consolidated Statement ofComprehensive Income

4.

47

Quarterly Consolidated Statement of Income

7

Quarterly Consolidated Statement of Comprehensive Income

8(3) Notes regarding Quarterly Consolidated Financial Statements

9(Going Concern Assumptions)9(Any Major Change in the Amount of Consolidated Shareholders’ Equity)

9(Segment Information, etc.)

9(Reference) Summary of Quarterly Non-Consolidated Financial Statements

10(1) Non-Consolidated Operating Results

10(2) Non-Consolidated Financial Position

10(3) Breakdown of Non-Consolidated Net Sales

101

1. Analysis of Operating Results and Financial Position(1) Analysis of Operating Results
Through the first half of fiscal 2016, which extended from April 1, 2016 to September 30, 2016, the Japanese economy
was on a moderate recovery trend due to signs of a bottoming out of personal consumption due to an improvement in
the employment situation and income conditions. However, in addition to the progress of yen appreciation, due tounstable factors in overseas economies such as an economic slowdown in emerging markets and the withdrawal of
the United Kingdom from the EU, the future outlook of the economy remained uncertain.
Under these circumstances, in the broadcasting field where the Asahi Broadcasting Group (the Group) conducts itscore business, increases in TV network time advertising revenue and TV spot sales revenue caused net sales to increase.
In the housing business, net sales were up due to factors such as an increase in sales at an exhibition of housing-related
facilities (HDC (Housing Design Center)). In the golf business, revenue increased due to factors such as an increasein the number of golf course visitors. As a result of these factors, the Group’s net sales for the first half of fiscal 2016
increased ¥1,462 million, or 3.7%, compared to the same period of the previous fiscal year and amounted to ¥40,867
million.
From the cost standpoint, cost of sales increased ¥1,229 million (4.6%) compared with the same period of the previous
fiscal year, to ¥28,235 million. Selling, general and administrative expenses increased ¥223 million (2.0%) comparedwith the same period of the previous fiscal year, to ¥11,559 million. As a result of the above, operating income for theperiod increased ¥9 million, or 0.9%, to ¥1,072 million, while ordinary income totaled ¥1,260 million, a decrease of¥39 million, or 3.0% due to a decrease in non-operating income of subsidiaries. Additionally, as extraordinary income,¥116 million in subsidy income related to development of FM relay stations to complement AM radio broadcastingand ¥66 million in gain on sales of non-current assets of subsidiaries were recorded. As a result, profit before income
taxes were ¥1,443 million, an increase of ¥5 million, or 0.4%, and profit attributable to owners of parent was ¥883million, an increase of ¥97 million, or 12.4%.
Results by business segment are as follows:
Broadcasting Business
During the first half of fiscal 2016, net sales in the broadcasting business totaled ¥35,014 million, up ¥1,106 million,or 3.3%, compared to the same period of the previous fiscal year. The principal factors accounting for this increase inrevenue included increases in mainstay TV spot advertising sales and event income, in addition to higher revenue forcontracted broadcasting of CS broadcasts and broadcasting revenue from commercial sales. On the other hand,operating expenses increased 3.0% overall from the same period of the previous fiscal year, owing to factors including
increases in network expenses and event costs. As a result, operating income amounted to ¥635 million, an increaseof ¥128 million, or 25.4%, from the same period of the previous fiscal year.
Housing BusinessIn the housing business, net sales amounted to ¥5,418 million, an increase of ¥350 million, or 6.9%, compared withthe same period of the previous fiscal year. Although sales of the housing business concerning housing exhibitions
decreased, overall sales increased due to factors such as higher sales at an exhibition for housing-related facilities(HDC Nagoya) opened this March, and the advertising business. Meanwhile, operating expenses rose 10.0% due tofactors such as higher HDC business expenses and advertising business expenses, in addition to higher housingbusiness expenses. As a result, operating income amounted to ¥461 million, a decrease of ¥106 million, or 18.8%,
from the same period of the previous fiscal year.
Golf BusinessNet sales in the golf business amounted to ¥435 million, an increase of ¥5 million, or 1.3%, compared with the same2

period of the previous fiscal year. On the other hand, operating expenses rose 3.7% due to factors such as higher
depreciation expenses and personnel expenses resulting from renovations to clubhouses. As a result, operating loss
amounted to ¥24 million, representing a loss ¥12 million wider than the same period of the previous fiscal year.
(2) Analysis of Financial Position(Assets)
Consolidated current assets as of the end of the second quarter of fiscal 2016 were ¥31,329 million, ¥778 million
lower than at the end of the previous fiscal year (March 31, 2016). Non-current assets amounted to ¥67,053 million,¥434 million lower than at the end of the previous fiscal year. Total assets decreased ¥1,213 million, to ¥98,383 million.
The decrease in total assets resulted mainly from the redemption of securities, decline in the market value ofinvestment securities, and depreciation of property, plant and equipment, despite the increase in cash and deposits.
(Liabilities)
Consolidated current liabilities stood at ¥11,163 million, ¥1,468 million lower than at the end of the previous fiscal
year, and non-current liabilities came to ¥29,143 million, ¥106 million below the level at the previous fiscal year-end.
Total liabilities decreased ¥1,575 million, to ¥40,307 million. The principle reasons for the decrease in liabilities were
the decrease in lease obligations following lease contract expirations and the decrease in notes payable - facilities, etc.
(Net Assets)
Consolidated total net assets came to ¥58,076 million, ¥362 million higher than at the end of the previous fiscal year.
Although profit attributable to owners of parent reported for the period under review was ¥883 million, the Grouppaid a total of ¥367 million in dividends from surplus. In addition, due to a decline in the market value of investment
securities held by the Company, valuation difference on available-for-sale securities decreased ¥462 million, andremeasurements of defined benefit plans increased ¥275 million.
(3) Explanation of Forward-Looking Statements, including the Outlook for Consolidated Performance
As consolidated financial results during the first half of fiscal 2016 are trending within expected ranges, regarding
financial results forecasts of the full fiscal year, net sales, operating income, ordinary income, and profit attributableto owners of parent remain unchanged from the previous announcement.

3

2. Supplementary Information (Notes)(1) Changes in the Number of Important Subsidiaries during the Period
Not applicable.
(2) Application of Special Accounting Treatment for the Preparation of the Quarterly Consolidated FinancialStatements
Not applicable.
(3) Changes in Accounting Policies, Accounting Estimates and Restatements
Not applicable.
(4) Additional Information(Application of Implementation Guidance on Recoverability of Deferred Tax Assets)
The “Implementation Guidance on Recoverability of Deferred Tax Assets” (Accounting Standards Board of Japan
Guidance No. 26, March 28, 2016) has been applied from the first quarter of fiscal 2016.

4

3. Quarterly Consolidated Financial Statements(1) Quarterly Consolidated Balance Sheet(Millions of Yen)
March 31, 2016
AssetsCurrent assets
Cash and deposits
Notes and accounts receivable - trade
Securities
Inventories
Other
Allowance for doubtful accounts
Total current assets
Non-current assets
Property, plant and equipment
Buildings and structures
Land
Other, net
Total property, plant and equipment
Intangible assets
Software
Software in progress
Other
Total intangible assets
Investments and other assets
Investment securities
Other
Allowance for doubtful accounts
Total investments and other assets
Total non-current assets
Total assets

5

September 30, 2016

11,857
12,9044,397
850
2,108(9)32,10813,651
12,5942,301
616
2,173(8)31,32921,077
11,2396,084
38,401

20,511
11,412
6,082
38,006145－137
282

125
255
128
509

18,101
10,946(244)
28,80367,487
99,596

17,589
11,193(245)
28,53767,053
98,383

(Millions of Yen)
March 31, 2016
Liabilities
Current liabilities
Short-term loans payable
Accounts payable - other
Income taxes payable
Provision
Other
Total current liabilities
Non-current liabilities
Net defined benefit liability
Other
Total non-current liabilities
Total liabilities
Net assets
Shareholders’ equity
Capital stock
Capital surplus
Retained earnings
Treasury shares
Total shareholders’ equity
Accumulated other comprehensive income
Valuation difference on available-for-salesecurities
Remeasurements of defined benefit plans
Total accumulated other comprehensive
incomeNon-controlling interests
Total net assets
Total liabilities and net assets

6

September 30, 2016

100
5,981
693
113
5,743
12,632

100
6,377
602
49
4,034
11,163

20,486
8,763
29,25041,882

20,092
9,051
29,14340,3075,299
3,610
45,510(500)
53,9195,299
3,610
46,026(500)
54,435

2,722

2,259

(3,362)(3,086)

(639)

(827)

4,433
57,71399,596

4,467
58,076
98,383

(2) Quarterly Consolidated Statement of Income and Quarterly Consolidated Statement of Comprehensive
IncomeQuarterly Consolidated Statement of Income
For the First Half of Fiscal 2015 and 2016
(Millions of Yen)First Half of Fiscal 2015
First Half of Fiscal 2016
(April 1, 2015
(April 1, 2016
to September 30, 2015)
to September 30, 2016)
Net sales
Cost of sales
Gross profit
Selling, general and administrative expenses
Operating income
Non-operating income
Interest income
Dividend income
OtherTotal non-operating income
Non-operating expenses
Interest expenses
Loss on disposal of non-current assets
Business commencement expenses
Other
Total non-operating expenses
Ordinary income
Extraordinary income
Gain on sales of non-current assets
Subsidy income
Total extraordinary income
Profit before income taxes
Income taxes
ProfitProfit attributable to non-controlling interests
Profit attributable to owners of parent

739,40527,006
12,398
11,335
1,063

40,86728,235
12,632
11,559
1,072

35
184
91
311

15
165
52
233

23
30－2074
1,300

71520
1
44
1,260－137
137
1,437
539
89811278666116
182
1,443
455988104883

Quarterly Consolidated Statement of Comprehensive Income
For the First Half of Fiscal 2015 and 2016
First Half of Fiscal 2015
(April 1, 2015
to September 30, 2015)
ProfitOther comprehensive income
Valuation difference on available-for-salesecurities
Remeasurements of defined benefit plans, net oftax
Total other comprehensive income
Comprehensive income
Comprehensive income attributable toComprehensive income attributable to owners ofparentComprehensive income attributable to noncontrolling interests

8(Millions of Yen)First Half of Fiscal 2016
(April 1, 2016
to September 30, 2016)

898

988

(194)

(462)

52275

(141)
756

(187)
800

645

695

111

105

(3) Notes regarding Quarterly Consolidated Financial Statements(Going Concern Assumptions)Not applicable.
(Any Major Change in the Amount of Consolidated Shareholders’ Equity)
Not applicable.
(Segment Information, etc.)
Explanation of Measurements of Sales, Profit and Loss for Each Reportable Segment
First Half of Fiscal 2015 (April 1, 2015 to September 30, 2015)
Reportable Segment
Broadcasting

Housing

Golf ClubTotal(Millions of Yen)
Amounts
Recorded onQuarterly
Adjustments Consolidated(Note 1)
Statement ofIncome(Note 2)

Sales
Revenues from externalcustomers
Transactions with othersegments
Total
Segment profit (loss)

33,9085,067

429

39,405―39,405204

1215233(233)―

34,113

5,080

444

39,638(233)

39,405

507

568

(11)

1,063

―

1,063

Notes:
1. The adjustment of negative ¥233 million represents the amount of intersegment transaction elimination.
2. Segment profit (loss) refers to operating income recorded on the quarterly consolidated statement of income.
First Half of Fiscal 2016 (April 1, 2016 to September 30, 2016)
Reportable Segment
Broadcasting

Housing

Golf Club

Total(Millions of Yen)
Amounts
Recorded on
Quarterly
Adjustments Consolidated(Note 1)
Statement ofIncome(Note 2)

Sales
Revenues from externalcustomers
Transactions with othersegments
Total
Segment profit (loss)

35,014

5,418

435

40,867―40,867220

914243(243)―

35,234

5,427

449

41,111(243)40,867

635

461

(24)

1,072

―

1,072

Notes:
1. The adjustment of negative ¥243 million represents the amount of intersegment transaction elimination.
2. Segment profit (loss) refers to operating income recorded on the quarterly consolidated statement of income.

94. (Reference) Summary of Quarterly Non-Consolidated Financial Statements
First Half of Fiscal 2016 (April 1, 2016 to September 30, 2016)(1) Non-Consolidated Operating Results(Percentage figures show the year-on-year increase (decrease) for each corresponding period.)
Net Sales
Operating Income
Ordinary IncomeProfit¥ million%¥ million%¥ million%¥ million%
First Half of
32,450
2.7
893
27.7
1,202
19.8
974
27.9
Fiscal 2016
First Half of
31,583 (2.6)
699 (52.1)
1,003 (40.3)
762 (29.4)
Fiscal 2015
(2) Non-Consolidated Financial Position
Total Assets¥ million
September 30, 2016
75,558March 31, 2016
76,924

Net Assets¥ million
51,28051,570(3) Breakdown of Non-Consolidated Net Sales

Television broadcasting
business revenue
TimeSpot
Program sales
Subtotal
Radio broadcasting
business revenue
Other

First Half of Fiscal 2015
(April 1, 2015
to September 30, 2015)

First Half of Fiscal 2016
(April 1, 2016
to September 30, 2016)¥ million¥ million

Increase /(Decrease)%
Change¥ million%

10,206
16,6491,133

10,381
16,9591,251175
309
118

1.7
1.9
10.4

27,98928,592

603

2.2

1,418

1,447

28

2.0

2,175

2,411

236

10.9

Total
31,58332,450867
2.7
Note: Figures in the summary of quarterly non-consolidated financial statements are not subject to review in legally
mandated disclosure.

10