Translation

May 12, 2011

Consolidated Financial Results
for the Fiscal Year Ended March 31, 2011
Company name: CHIYODA CORPORATION
Listing:First Section of the Tokyo Stock Exchange
Stock code:
6366
URL:
http://www.chiyoda-corp.com/
Representative: Takashi Kubota, President & CEO
Inquiries:
Nobuo Sekita, General Manager, Accounting Department
TEL: +81-45-506-9410 (from overseas)(Millions of yen with fractional amounts discarded, unless otherwise noted)

1.

Consolidated performance for the fiscal year ended March 31, 2011
(from April 1, 2010 to March 31, 2011)(Percentages indicate year-on-yearchanges.)(1) Consolidated operating results (cumulative)
Net sales
Millions of yen

Operating income% Millions of yen

Ordinary income
Millions of% yen

Net income% Millions of yen%

Fiscal year ended
247,082 (21.1)
17,544 930.8
15,732 225.2
7,979 170.1
March 31, 2011
Fiscal year ended
312,985 (29.9)
1,702 (76.4)
4,837 (57.7)
2,953 (54.5)
March 31, 2010
Note: comprehensive income: Fiscal year ended March 31, 2011: 7,502 million yen (41.9% increase year on year)
Fiscal year ended March 31, 2010: 5,285 million yen (－)
Net income per Fully diluted net Return on Equity Ratio of Ordinary Ratio of Operating
Income to Total
Income toshare
income per share(ROE)
Assets
Revenue
Yen

Yen

%

%

Fiscal year ended
30.79
–
5.3
4.6
March 31, 2011
Fiscal year ended
11.39
11.39
2.0
1.4
March 31, 2010
Reference: Equity in earnings of associated companies: Fiscal year ended March 31, 2011: 104 million yen,
Fiscal year ended March 31, 2010: 144 million yen

%
7.1
0.5

(2) Consolidated financial position
Total assets

Net assets

Equity ratio

Net assets per share

Millions of yen

Millions of yen%

Yen

As of March 31, 2011

353,392

155,75843.9

599.15

As of March 31, 2010

328,174

149,25345.3

573.61

Reference: Equity

As of March 31, 2011: 155,242 million yen

1

As of March 31, 2010: 148,683 million yen

(3) Consolidated cash flows
Net cash provided byoperating activities

Net cash used ininvesting activities

Net cash used infinancing activities

Cash and cash
equivalents at end of
periodMillions of yen

Millions of yen

Millions of yen

Millions of yen(5,229)(2,577)(805)

130,618

8,613(2,722)(2,079)139,790

Fiscal year ended
March 31, 2011
Fiscal year ended
March 31, 2010

2.

Cash dividends
Cash dividends per share
Record dateFiscal year ended
March 31, 2010
Fiscal year ended
March 31, 2011
Fiscal year ending
March 31, 2012
(Forecast)

3.

Payment of
Cash
Dividends

Third
Fiscalquarter year-end Annual

PayoutDividend on
Equity Ratio
Ratio(Consolidated) (Consolidated)First
quarter

Secondquarter

Yen

Yen

Yen

Yen

Yen

Millions of
yen

%

%

–

–

–

3.50

3.50

907

30.7

0.6

–

–

–

11.00

11.00

2,850

35.7

1.9

–

–

–

10.00

10.00

32.4

Consolidated earnings forecasts for the fiscal year ending March 31, 2012
(from April 1, 2011 to March 31, 2012)(Percentages indicate year-on-year changes.)
Net sales

Operating income Ordinary income

Millions ofyen%

2Q ending
September 30, 2011

110,000(1.7)

6,500 22.0

Fiscal year ending
March 31, 2012

250,000

1.2

11,000 (37.3)

4.

Millions ofyenMillions of
yen

%

%

Net income pershare

Net income
Millions of
yen

%

Yen

6,000 98.4

4,000 38.6

15.44

12,000 (23.7)

8,000

30.88

0.3

Others(1) Significant changes in subsidiaries during the period (changes in specified subsidiaries
resulting in the change in scope of consolidation): None
(2) Changes in accounting policies, procedures, and methods of presentation for preparing thequarterly consolidated financial statements (changes described in the section of “Changes insignificant matters forming the basis of preparing the quarterly consolidated financial
statements”)
a. Changes due to revisions to accounting standards: Yes
b. Changes due to other reasons: None

2

(3)

Number of issued shares (common stock)a. Total number of issued shares at the end of the period (including treasury stock)
As of March 31, 2011
260,324,529 shares
As of March 31, 2010
260,324,529 sharesb. Number of treasury stock at the end of the period
As of March 31, 2011
1,222,540 shares
As of March 31, 2010
1,117,239 shares* Proper use of earnings forecasts, and other special directions
The forward-looking statements, including earnings forecasts, contained in thesematerials are based on information currently available to the Company and on certain
assumptions deemed to be reasonable. Actual business and other results may differ
substantially due to a number of factors.

35. Results of Operations(1) Analysis of Results
While emerging economies in Asia enjoyed strong growth during the fiscal year, the financial crisis
in Europe and the unstable political situation in the Middle East and Africa have caused worries
about the future direction of the global economy. Companies in certain sectors in Japan showed
improved earnings, but the devastation of the March 11 earthquake and the impact of electricity
shortages cause concern as limiting factors on corporate activities.
Major energy projects are taking shape around the world to meet growing demand for oil and gas,
and we are finding competition with major international contractors to be even tougher, particularly
with the yen at such strong valuations against other currencies.
Faced with these conditions, we placed particular focus on bidding activities, making the most of
our technological superiority in the market. We won bids for the construction of a polycrystalline
silicon plant in Malaysia, for an LNG (liquefied natural gas) plant in Australia, and for LNG receiving
terminal construction in Fukuoka Prefecture here in Japan. At the same time, we are moving
forward in existing construction projects, including an LNG plant project in Papua New Guinea. We
also completed construction for LNG plant Trains 6 and 7 to be operated by Qatargas.
As a result, consolidated new contracts for the fiscal year under review amounted to 235,267
million yen (45.2% decrease year on year). Consolidated contract backlog was 497,648 million yen(7.2% decrease). Consolidated revenues amounted to 247,082 million yen (21.1% decrease), while
operating income amounted to 17,544 million yen (930.8% increase), ordinary income amounted to
15,732 million yen (225.2% increase), and net income for the period amounted to 7,979 million yen(170.1% increase).
With the recovery of client facilities in mind in the wake of the March 11 earthquake, we set up a
Reconstruction Support Task Team for our clients to resume their operations.
Results by Business Segment
Natural Gas and Electric PowerWe are currently carrying out work on the LNG plant in Papua New Guinea, EPC(Engineering/Procurement/Construction) services for a gas processing plant in Qatar, and basic
design services for a floating LNG plant in Brazil, and we have completed EPC services in Qatar
and several basic design services for large-scale LNG plants. Moving forward, we continue to rollout new sales activities to win contracts for various types of basic design services; in Australia, werecently won a contract to provide basic design services for an LNG plant. Under a long-term
service contract, the Group’s subsidiary in Qatar is undertaking renovation and repair work for the
LNG/gas processing plants that were originally built by the Chiyoda Group. The subsidiary is also
moving forward with EPCm (Engineering/Procurement/Construction management) services forhelium extraction facilities. We are also involved in other sales activities to perform similar services
for other LNG and gas processing plants in Qatar.
In Japan, we won a contract to provide EPC services for a CO2 capture facility incorporating newtechnologies to reduce future CO2 emission. In addition to a new contract for LNG receiving
terminal in Fukuoka Prefecture, we made progress in construction at three similar projects in
Niigata and Okayama Prefectures. We completed one of those projects, the expansion project at
the Mizushima LNG receiving terminal.
Petroleum, Petrochemicals and Gas Chemicals
Overseas, the Group brought resources to bear on planned investment projects in oil refineries andother ventures in the Middle East and Southeast Asia. We continue to move forward in Saudi
Arabia by providing EPC services for a heavy oil cracking unit and, in Singapore, we completed
EPC services for a tank terminal and EPCm services for an existing FCC (Fluid Catalytic Cracking)unit expansion project. Successful engagements at these and other overseas locations havehelped us become stronger as a Group of companies, by increasing the scope of our global
operations.

4Domestically, we completed construction for an RFCC (Resid Fluid Catalytic Cracking) unit and an
HS-FCC (High-Severity Fluid Catalytic Cracking) semi-commercial unit (fiscal 2010 portion). We
also tailored our sales activities to securing contracts related to oil refinery efficiency improvements,
competitiveness, and energy savings. We won a bid for a benzene extraction unit construction
project as a result.
General Chemicals, Industrial Machinery, Environment and Others
The Chiyoda Group is moving ahead in new fields of business with a polycrystalline silicon(components for photovoltaic cells) plant project in Malaysia and a nickel refining plant in thePhilippines. At the same time, we are also providing EPC services in Japan for projects related tosolar cells and lithium ion batteries. We won contracts in Saudi Arabia for survey and researchservices related to industrial waste water recycle at large industrial complex. The strength of theJapanese yen has encouraged Japanese companies to expand overseas, investing in solar
power/solar heat and other projects driven by low-carbon technologies. Accordingly, we haveidentified these projects as targets of our sales efforts.
Our experience in providing basic design services for high-bioactive drug production facilities—
notably producing bioactive drugs (antibodies/vaccines) and cancer medicines—has led to newopportunities for related EPC contracts.

(Major contracts included in the consolidated results for the period)(“*”: projects completed during the period.)
Overseas

・LNG plant Trains 6 & 7 for Qatar Liquefied Gas Co., Ltd. (3) and (4)*・LNG plant construction in Papua New Guinea

Domestic

・Solar Frontier K.K., CIS Solar Cell Factory No. 3 (construction)
・Chubu Electric Power Co. Inc, Joetsu Thermal Power Station LNG Terminal
Facilities (construction)
・JX Nippon Oil & Energy Corporation HS-FCC Semi-Commercial Unit
(construction; 2010 portion)*・Taiyo Oil Co., Ltd. RFCC Complex Unit (construction)*

Outlook for the Next Fiscal Year
Chiyoda will continue to promote its sales activities and win contracts in the areas where Chiyoda
can best leverage its technological advantages while continuing to work diligently on the executionof existing projects including the large project in Papua New Guinea and other projects overseas
and domestic.
In consideration of these circumstances, and assuming an exchange rate of ¥80/dollar, ourforecasts for the fiscal year ending March 31, 2012 include 550.0 billion yen in new consolidated
contracts and 250.0 billion yen in revenues. Our forecast for the consolidated operating profit is11.0 billion yen, consolidated ordinary income is 12.0 billion yen, and the consolidated net income
is 8.0 billion yen.

5(2) Analysis of Financial Condition
1) Assets, Liabilities and Net Assets
AssetsTotal assets increased by 25,218 million yen from the previous fiscal year. Although cash savings
decreased by 9,146million yen, current assets increased by 25,476 million yen, due to the 18,744
million yen increase in jointly controlled assets of joint venture through the progress of large scale
joint venture projects in Papua New Guinea and the Philippines.
Liabilities
While there was an increase of 14,402 million yen in advances received on uncompleted
construction contracts and 7,893 million yen in notes payable and accounts payable forconstruction contracts, the balance of the provision for loss on construction contracts decreased by
3,369 million yen.
These resulted in an increase in total liabilities of 18,712 million yen compared to the previous fiscal
year.
Net Assets
Net assets were 155,758 million yen as a result of the 7,072 million yen year-on year increase inretained earnings due to booking net income. The equity ratio decreased 1.4 points year-on-year to43.9%.
2) Cash Flow
Cash flow from operating activities
Net cash from operating activities was a negative 5,229 million yen despite a 12,109 million yen
increase in working capital (total in notes and accounts receivable-trade, costs on uncompleted
construction contracts, notes and accounts payable-trade and advances received on uncompleted
construction contracts). This was due to the jointly controlled assets of joint venture increasing by
18,744 million yen according to the progress of large scale JV projects in Papua New Guinea andthe Philippines.
The jointly controlled assets of joint ventures are shown on the JV balance sheet as the assets
controlled by Chiyoda. In real terms, it is equivalent to the portion of the current deposit balance
under the JV names that is allocated to Chiyoda.
Cash flow from investing activities
Net cash from investing activities was a negative 2,577million yen due to 974million yen
expenditure by investing in securities i.e. acquisition of stock of Toyo-Thai Corporation PublicCompany Limited.
Cash flow from financing activities
Net cash from financing activities was a negative 805 million yen due to 906 million yen paid in
dividends and other factors.
As the result of the above factors, the account balance for the fiscal year for cash and cash
equivalent was 130,618 million yen which was a year-on- year decrease of 9,172 million yen.

6Cash Flow IndicesFiscal years ended
March 31

Equity ratio(%)

Debt repayment
period (Years)

2007
2008
2009
2010

17.4
21.4
40.7
45.3%

0.3
0.7
1.1
1.2

Interest coverage
ratio(Times)
114.4
35.3
26.3
34.5

2011

43.9%

–

–

(Shareholders’ equity Interest-bearing
Net cash provided by– minority
debt/Net cash
operatingNotes
interests)/Total
provided by
activities/Interest
assetsoperating activities
expenseNote: The debt repayment period and interest coverage ratio for the period ended March 31, 2011
are omitted due to there being a negative cash flow from operating activities.
(3) Dividend Policy and Current/Next-Period Dividend Payments
Our basic policy for dividends is set to meet a payout ratio of 30% of consolidated net income. This
policy supports our desire to return profits to our shareholders, while building a stronger financialbase by which we can finance our business growth.

In compliance with this policy, dividends were initially projected at 5 yen per share for the fiscal
year ended March 31, 2011. Having considered extraordinary losses incurred regarding the officeintegration in accordance with the mid-term management plan announced on May 13, 2009, thecompany revises the full-year dividend upward to 11 yen per share with its higher net income.
Expected dividend payout ratio is about 35% of consolidated net income.
Next period, we plan a year-end dividend per share of 10 yen.
(4) Business Risks
The following are significant risks that could affect Chiyoda Group finances, earnings, or cash flows,
and our responses to such. These risks may have a material impact on investor decisions related
to investment risk. Recognizing these risks, the Chiyoda Group has set risk reduction measures inplace, as well as measures to minimize the impact, should such events occur.
The risks discussed below are those we believe pose the most significant threats to our businessas of the date of the filing of this document.
(a) Changes in the Business Environment
Global economics and the March 11 earthquake in Japan could lead to the suspension, delay, or
modification of some client investment plans. These changes may have an impact on Chiyoda
Group earnings. Circumstances at the facilities of subcontractors, equipment and materials
suppliers, and other service providers could affect our project execution plans, profitability, andability to collect payments.
We always closely monitor global economic trends and their potential impact on our business. We
make it a point to know the status of service providers to avoid/minimize risk, confirming thefeasibility of projects, checking conditions on the ground, and identifying alternate service providers
if such becomes necessary.
(b) Earthquakes and natural disasters, terrorism, wars and other force majeure events
Country risk (earthquakes and natural disasters, terrorism, wars) and/or other force majeure events
could result in owners’ delaying final investment decisions, direct or indirect damages to work sites

7

or business locations, delayed delivery of equipment and materials to work sites, construction force
safety issues, and/or suspension of field work, etc.
We do all we can to prevent human suffering or harm. We have put a crisis management system inplace to respond to emergencies, and this system allows us to quickly react to situations. Under
this system, we can negotiate with clients or other related parties and secure contract terms thatprovide a rational division of liability for damages or added costs. In this way, we can avoid or
minimize risks from force majeure events.
(c)Cost of Equipment and Materials
The price of equipment and materials may increase suddenly beyond all expectations because of
the time lag between quotation at proposal and actual purchase order in plant construction.
Specifically, the price of steel products may increase due to the rising price of steel raw materials.
Similarly, it is difficult to anticipate the future market prices for copper, nickel, aluminum and zinc,etc.
We avoid these risks (or minimize the impact) by diversifying the supply source from all over theworld, placing orders as early as possible and maintaining alliances with major vendors/suppliers.
(d) Construction Workers/Equipment and Materials
Projects may experience delays if we cannot secure sufficient workers (construction workers),
equipment and materials, or other necessary project infrastructure. Recovering from such delays
may involve cost overruns.
We avoid this risk (or minimize the impact) by establishing a foundation of cooperation with capable
subcontractors, venders and suppliers.
(e) Plant Accidents
There are always risks of a major accident occurring in a plant that we have built or which is underconstruction. If an accident occurs, and the Chiyoda Group is determined to be at fault, the liability
for damages could have a material impact on our earnings.
Naturally, we exercise all due care to prevent any unexpected situations by pursuing peerless
quality and safety management. We also avoid/minimize risks by including a rational division of
liabilities in contract terms with our clients.
(f) Exchange Rate Fluctuations
Some construction projects may involve payment settlements (subcontractors, venders andsuppliers) in a currency not designated in our construction contracts. In such cases, exchange rate
fluctuations can have an impact on earnings. The Chiyoda Group avoids/minimizes exchange raterisk by reserving against construction payments in multiple foreign currencies and by entering into
exchange rate forward contracts.

6. Corporate GroupAs there have been no material changes in our corporate organization (business) or status ofaffiliates since our latest securities report (filed June 28, 2010), we have omitted disclosure here.

87．Management Policies(1) Basic Management Policies
The shared corporate philosophy of the Chiyoda Group is to “enhance our business in aiming forharmony between energy and the environment and contribute to the sustainable development of asociety as an integrated engineering company through the use of our collective wisdom andpainstakingly developed technology.” We use every effort to conduct business that inspires trustand empathy from our shareholders, our clients, our subcontractors and vendors, our employees,society, and all of our stakeholders.
(2)Management Indices Measuring Progress in our Medium-Term Business Plan and Targets
To improve our value as a corporate group, we created the "Engineering Excellence, Value
Creation 2012" four-year business plan. This plan began fiscal 2009 and will run through March2013 (fiscal 2012). We officially announced this plan on May 13, 2009.
(See http://www.chiyoda-corp.com/ir/en for our four-year plan and financial report)
With two of the four years of this business plan having passed, we reviewed our progress,
recognizing changes in external factors. In conducting our review, we took a pragmatic view of thefact that consolidated new contracts for the fiscal year 2010 underperformed our original
projections by a significant margin. We made a careful and thorough study as to whether ourcurrent business plan policies and strategies were realistic. We also looked at the likelihood ofreaching our quantitative targets.
As a result of this review, we identified the following (3., below) as important policies and issues
which we will address over the next two years, in light of the fact that there have been no majorchanges in our basic approach to the targets we set in our original business plan ( management
vision and strategies). Our efforts will extend throughout the whole Chiyoda Group as we pursue
these policies and issues to create concrete results.
Our medium-term business plan stated a target of 23 billion yen in consolidated net income for the
fiscal year 2012 (ending March 2013), the final year of our current plan. However, looking at neworders in the prior fiscal year, we now consider this target to be very difficult to achieve. We intend
to execute on these policies and improve the profit and loss to the greatest extent possible, given
the current circumstances.
(3) Issues
While the ultimate impact of the March 11 earthquake is unclear, the worldwide demand for LNG
and other energy resources remains strong. We have noted a rise in orders for large-scale energy
facilities, driven by clients who are actively pursuing growth-oriented investments. Meanwhile, we
envisage encountering stiffer competition from companies that do business in our major businesssegments, particularly while the yen continues to be strong compared to other world currencies.
Given this business environment, we have identified the following policies and issues as importantfactors for fiscal 2011 (ending March 2012) that will drive our growth strategy and businessfundamentals. These factors reflect our review of our "Engineering Excellence, Value Creation2012" business plan mentioned above. We will come together as a unified group in pursuit of these
initiatives.
Going forward strategies for growth(a) Win more LNG contracts/Further strengthen core businesses
First, we will offer support and propose projects to our existing clients, leading to a steady flow ofcontracts in our core LNG/gas plant business. We will build stronger business fundamentals toward
greater operational capacity, reducing costs across the board to bolster our competitive position
and inspire even greater trust from our clients.
(b) Expansion into new business fields
The hydrocarbon field is likely to become even more competitive. This has been a field of emphasis

9for our company, and we will continue to upgrade our ability to compete. We will also spend timeand resources in making specific inroads into new fields (infrastructure businesses/ solar heat /water recycle, etc) in which engineering firms have a responsibility to meet the changing needs ofsociety. At the same time, we will create stronger partnerships with our major clients, building a
deeper foundation of businesses in the non-hydrocarbon fields.
(c) Strengthen global operations
We intend to move away from a centrally managed structure to one in which local Groupsubsidiaries can take the lead in their local projects. We will set up new locations overseas, provide
more support to existing subsidiaries, and create greater coordination and staff flexibility among
Group companies. This new structure will lead to a growth in our global operations that involves all
Chiyoda Group companies.
(d) Investments
We will make strategic investment for growth, infrastructure investment for a stronger management,
and investments in research and development. As for the strategic investment for growth, we will
invest in stronger global operations and strategic fields which are infrastructure/ solar heat / water
recycle, etc., businesses.
As an infrastructure investment for a stronger management, we intend to make the continual
investment in IT systems and the implementation of office integration. We will continue strategic
R&D investment and accelerate commercialization.
Upgrading the business foundation(e) Better competitive posture/ execution capacity
We will enhance the data management to strengthen the projects and corporate management.
(f) Human resource development and optimum assignment
We will enhance the human resource development system and global resource management.

10

8. Consolidated financial statements(1) Consolidated balance sheets (1/2)(Millions of yen)

AssetsCurrent assets
Cash and deposits
Notes receivable, accounts receivable from completed
construction contracts
Short-term investment securities
Costs on uncompleted construction contracts
Deferred tax assets
Jointly controlled assets of joint venture
Other
Allowance for doubtful accounts
Total current assets
Noncurrent assets
Property, plant and equipment
Buildings and structures
Accumulated depreciation
Buildings and structures, net
Machinery and vehicles
Accumulated depreciation
Machinery and vehicles, net
Tools, furniture and fixtures
Accumulated depreciation
Tools, furniture and fixtures, net
LandConstruction in progress
Total property, plant and equipment
Intangible assets
Investments and other assets
Investment securities
Deferred tax assets
Other
Allowance for doubtful accounts
Total investments and other assets
Total noncurrent assets
Total assets

11

As of March 31,
2011

As of March 31,
2010

33,85543,00256,03351,31896,841
12,64818,644
88,6629,514(3)316,196

96,841
7,283
15,523
69,9176,834(2)
290,719

15,926(10,711)
5,215
1,270
(277)
993
5,358
(4,491)867

15,193(7,151)
8,042
592
(266)
326
5,157
(4,063)
1,093

11,938
5

11,93848

19,021
4,733

21,450
5,142

8,505
3,948
1,074
(87)
13,441

7,855
1,745
1,594
(333)
10,86137,196353,392

37,454
328,174

Consolidated balance sheets (2/2)(Millions of yen)
As of March 31,
2011

As of March 31,
2010

97,41789,523Liabilities
Current liabilities
Notes payable, accounts payable for construction
contracts
Current portion of long-term loans payable
Income taxes payable
Advances received on uncompleted construction
contracts
Provision for warranties for completed construction
Provision for loss on construction contracts
Provision for bonuses
Other
Total current liabilities
Noncurrent liabilities
Long-term loans payable
Provision for retirement benefits
Provision for treatment of PCB waste
Provision for directors' retirement benefits
Other
Total noncurrent liabilities
Total liabilities

5,986
62,571

4
4,675
48,168

1,190
1,057
3,944
9,720
181,887

4,486
4,427
3,252
11,421
165,960

10,208
2,809
131
2,598
15,746
197,633

10,000
2,105
123
200
532
12,960178,921

Net assets
Shareholders' equity
Capital stock
Capital surplus
Retained earnings
Treasury stock
Total shareholders' equity

43,396
37,112
77,832

43,396
37,11270,759(1,295)
157,046(1,215)150,053

Valuation and translation adjustments
Valuation difference on available-for-sale securities
Deferred gains or losses on hedges
Foreign currency translation adjustment
Total valuation and translation adjustments
Minority interests
Total net assets
Total liabilities and net assets

(229)
345
(1,919)(1,804)516
155,758
353,392

102(156)(1,315)(1,369)569
149,253
328,17412

(2) Consolidated statement of income and comprehensive income(Consolidated statement of income)(Millions of yen)

Consolidated statements of income
Net sales of completed construction contracts
Cost of sales of completed construction contracts
Gross profit on completed construction contracts
Selling, general and administrative expenses
Operating income
Non-operating income
Interest income
Dividends income
Amortization of negative goodwill
Equity in earnings of affiliates
Foreign exchange gains
Real estate rent
Other
Total non-operating income
Non-operating expenses
Interest expenses
Foreign exchange losses
Rent expenses on real estates
Other
Total non-operating expenses
Ordinary income
Extraordinary income
Surrender value of insurance
Total extraordinary income
Extraordinary loss
Office integration expenses
Loss on adjustment for changes of accounting
standard for asset retirement obligations
Provision for treatment of PCB waste
Other
Total extraordinary losses
Income before income taxes and minority
interests
Income taxes-current
Income taxes-deferred
Total income taxes
Income before minority interests
Minority interests in income
Net income

13

Fiscal year ended March
31, 2011

Fiscal year ended March
31, 2010(From April 1, 2010
to March 31, 2011)(From April 1, 2009
to March 31, 2010)

247,082
215,563
31,51913,974
17,544

312,985
298,766
14,21912,517
1,702

696
381

1,044
972

104
128
285
1,596

144
1,214
140
199
3,716

256
2,882
68
202
3,409

249
93
237
581

15,732

4,837

109
109

–
–

4,218
146

–
–

–

123

–
4,364
11,476

–
123
4,714

9,194
(5,665)
3,529
7,947
(32)
7,979

8,532
(6,806)
1,726
–
34
2,953

(Consolidated statement of comprehensive income)(Millions of yen)

Consolidated statements of comprehensive income
Income before minority interests
Other comprehensive income
Valuation difference on available-for-salesecurities
Deferred gains or losses on hedges
Foreign currency translation adjustment
Share of other comprehensive income ofassociates accounted for using equity method
Total other comprehensive income
Comprehensive income
Comprehensive income attributable toComprehensive income attributable to ownersof the parent
Comprehensive income attributable to minority
interests

14

Fiscal year ended March
31, 2011

Fiscal year ended March
31, 2010(From April 1, 2010
to March 31, 2011)(From April 1, 2009
to March 31, 2010)

7,947

–

(332)

–

501
(511)

–
–

(103)

–

(445)
7,502

–
–

7,545

–

(42)

–

(3) Consolidated statement of cash flows (1/2)(Millions of yen)
Fiscal year ended March 31, Fiscal year ended March
31, 2010
2011

Net cash provided by (used in) operating activities
Income before income taxes and minority interests
Depreciation and amortization
Increase (decrease) in allowance for doubtful
accounts
Increase (decrease) in provision for warranties forcompleted construction
Increase (decrease) in provision for loss on
construction contracts
Increase (decrease) in provision for bonuses
Increase (decrease) in provision for retirement
benefits
Interest and dividends income
Interest expenses
Foreign exchange losses (gains)
Equity in (earnings) losses of affiliates
Office integration expenses
Decrease (increase) in notes and accounts
receivable-trade
Decrease (increase) in costs on uncompleted
construction contracts
Increase (decrease) in notes and accounts payabletrade
Increase (decrease) in advances received on
uncompleted construction contracts
Decrease (increase) in accounts receivable-other
Decrease (increase) in jointly controlled asset of joint
ventureIncrease (decrease) in accrued consumption taxes
Increase (decrease) in deposits received
Increase (decrease) in accrued liability of a defined
contribution pension plan
Other, net
SubtotalInterest and dividends income received
Interest expenses paid
Income taxes paid
Net cash provided by (used in) operating activities

15(From April 1, 2010
to March 31, 2011)(From April 1, 2009
to March 31, 2010)

11,476

4,714

2,566

2,059

(245)

(6)

(3,271)678(3,367)

125

700

(373)

706

865

(1,078)(2,017)

256

249

169

78

(104)

(144)

4,218

–

(4,821)

469(5,330)

9,692

8,035

12,031

14,225(43,592)(2,231)455(18,744)

30,508

624

200

45

1

–

(800)

(1,496)

(119)

2,334

15,078

515

1,323

(191)

(257)

(7,887)(7,531)(5,229)8,613

Consolidated statement of cash flows (2/2)(Millions of yen)
Fiscal year ended March 31, Fiscal year ended March
31, 2010
2011

Net cash provided by (used in) investing activities
Payments into time deposits
Proceeds from withdrawal of time deposits
Purchase of property, plant and equipment
Proceeds from sales of property, plant andequipment
Purchase of intangible assets
Purchase of investment securities
Purchase of investments in subsidiaries resulting inchange in scope of consolidation
Payments of long-term loans receivableCollection of long-term loans receivable
Other, net
Net cash provided by (used in) investing activities
Net cash provided by (used in) financing activities
Proceeds from long-term loans payable
Repayment of long-term loans payable
Proceeds from issuance of common stock
Cash dividends paid
Cash dividends paid to minority shareholders
Repayments of finance lease obligations
Other, net
Net cash provided by (used in) financing activities
Effect of exchange rate change on cash and cash
equivalents(From April 1, 2010
to March 31, 2011)(From April 1, 2009
to March 31, 2010)

(62)

(539)

35

539

(930)

(922)

4

3

(713)

(942)

(974)

(535)

–

(388)

(24)

–

81

51

7

10

(2,577)(2,722)

10,208–(10,004)

(18)

–

7

(906)

(1,940)

(9)

(7)

(13)

(11)

(79)

(109)

(805)

(2,079)

(647)

152

Net increase (decrease) in cash and cash equivalents(9,260)3,963

Cash and cash equivalents at beginning of period
Increase in cash and cash equivalents from newly
consolidated subsidiary
Cash and cash equivalents at end of period

139,790

135,53687

290

130,618

139,79016

9.

Production, Contracts and Sales (Consolidated)
Millions of Yen
FY2011
Apr. 1, 2010 —March. 31, 2011
Net salesAmt%

New contracts
Amt%

Backlog of contracts
Amt%

Business Segment
Engineering
LNG plants .................................
Gas and power utilities ...............
Gas chemicals ............................
Petroleum and petrochemicals ...
General chemicals ........................
Industrial machinery......................
Environment and other ...............
Total Engineering

40,315
48,156
131
40,22077,144
8,775
13,618228,361

17.1
20.5
0.1
17.1
32.8
3.7
5.8
97.1

89,02843,714716
53,50922,57322,481
9,372
241,395

36.0
17.7
0.3
21.7
9.1
9.1
3.8
97.7

225,598
126,981
39,12170,2808,144
25,863495,989

45.3
25.5
7.9
14.1
1.7
5.2
99.7

Other ..........................................

6,906

2.9

5,687

2.3

1,659

0.3

Domestic ....................................
Overseas ....................................
Total ...........................................

106,625
128,642
235,267

45.3
54.7
100.0

120,990
126,091
247,082

49.0
51.0
100.0

154,385
343,263497,648

31.0
69.0
100.0

Millions of Yen
FY2010
Apr. 1, 2009 —March. 31, 2010
Net salesAmt%

New contracts
Amt%

Backlog of contracts
Amt%

Business Segment
Engineering
LNG plants .................................
Gas and power utilities ...............
Gas chemicals ............................
Petroleum and petrochemicals ...
General chemicals ........................
Industrial machinery......................
Environment and other ...............
Total Engineering

267,970
30,403
167
56,14021,68024,16923,812424,344

62.4
7.1
0.0
13.1
5.1
5.6
5.5
98.8

105,424
74,457428
83,87926,061
4,055
13,251
307,558

33.7
23.8
0.2
26.8
8.3
1.3
4.2
98.3

296,265
123,075
584
55,703
16,551
21,85021,624535,655

55.3
22.9
0.1
10.4
3.1
4.1
4.0
99.9

Other ..........................................

5,048

1.2

5,427

1.7

494

0.1

Domestic ....................................
Overseas ....................................
Total ...........................................

97,815331,577
429,393

22.8
77.2
100.0

143,878
169,107
312,985

46.0
54.0
100.0

169,232
366,918
536,150

31.6
68.4
100.0

17