July 30, 2012

First Quarter Consolidated Earnings Report for Fiscal 2012, Ending March 31, 2013
[Japanese Standards] (Consolidated)
Company name:Securities code:
Representative:
Inquiries:

Ryosan Company, Limited
Stock listing: First Section, Tokyo Stock Exchange
8140(URL http://www.ryosan.co.jp)
Naoto Mimatsu, Representative Director and President
Hidekazu Sano
Director and General Manager
Financing and Accounting Headquarters
TEL: +81-3-3862-2591
Scheduled filing date of quarterly earnings reportAugust 10, 2012
Scheduled payment date of dividend:－
Supplementary materials for the quarterly financial results:
No
Investor conference for the quarterly financial results
No(Millions of yen rounded down)

1. Consolidated results for the first quarter of fiscal 2012 (April 1, 2012 to June 30, 2012)(1) Consolidated operating results (Cumulative)(% figures represent year-on-year increase or decrease)
Net sales

Operating income

Millions of yen% Millions of yen

Ordinary income% Millions of yen

Net income% Millions of yen%

First Quarter, Fiscal 2012
51,911
7.5
982
81.8
1,276
49.6
791
First Quarter, Fiscal 2011
48,306(4.5)
540(65.9)
852(55.1)
535(Note) Comprehensive income
First Quarter, Fiscal 2012: 132 million yen (5.3%) First Quarter, Fiscal 2011: 125 million yen ((76.3)%)
Net income
Net income perper shareshare after dilution
First Quarter, Fiscal 2012
First Quarter, Fiscal 2011

Yen

Yen

23.64
15.54

－
－

47.7
(57.7)(2) Consolidated financial position
Total assets

Net assets tototal assets

Net assets

Millions of yen

Millions of yen

Net assets
per share%

June 30, 2012
160,786
115,154
March 31, 2012
167,079
115,691(Reference) Shareholders equity: June 30, 2012: 115,154 million yen,March 31, 2012:

Yen

71.6
69.2
115,691 million yen

3,441.08
3,457.13

2. Dividends
Dividends per share (Yen)(Record date)

End of 1Q

Fiscal 2011
Fiscal 2012
Fiscal 2012 (Forecast)(Note) Revision of dividend forecasts: No

End of 2Q－－

End of 3Q

End of 4Q

Annual

20.00

－

20.00

40.00

30.00

－

30.00

60.00

3. Forecast of results for the fiscal year ending March 31, 2013 (April 1, 2012 to March 31, 2013)(% figures for the full fiscal year represent year-on-year increase or decrease,% figures for the interim period are the increase / (decrease) for the corresponding period of the previous fiscal year)
Net income per
Net sales
Operating income
Ordinary income
Net income
shareMillions of yen%

Millions of yen

Interim period
110,000
2.8 1,900
Full Fiscal Year
225,000
3.3 4,600(Note) Revision of financial results forecasts: No%

Millions of yen

20.7
31.0

2,300
5,400

%

Millions of yen

9.7
20.6

1,500
3,500

%

Yen

32.5
84.3

44.82
104.59※ Notes(1) Transfer of major subsidiaries during the scope of consolidation of this quarter (transfer of specified subsidiaries in line withchanges in the consolidated range): No(2) Applying accounting procedures specific to preparing quarterly financial statements: No(3) Changes in accounting principles, changes in accounting estimates and restatements
1. Changes in accordance with revisions to accounting standards and related practices of accounting principles: Yes
2. Changes in items of accounting principles other than 1. above: No
3. Changes in accounting estimate: No
4. Restatement of revisions: No(Note) For details, refer to page 3 in appendex"2. Items Regarding Summary Information (Notes) (3) Changes in Accounting
Principles, Changes in Accounting Estimates and Restatements”.
(4) Number of shares issued and outstanding (Common stock)
1. Total number of shares issued and outstanding (including treasury stock) as of the period-end:
June 30, 2012: 34,500,000 shares

March 31, 2012: 34,500,000 shares

2. Total number of treasury stock as of the period-end:
June 30, 2012: 1,035,486 shares

March 31, 2012: 1,035,425 shares

3. Average number of shares outstanding during the period (Cumulative total for the quarterly consolidated period)First quarter fiscal 2012: 34,464,525 sharesFirst quarter fiscal 2011: 34,465,253 shares

Indication regarding the implementation status of the quarterly review procedure
This first quarter consolidated earnings report is not subject to the quarterly review process based on the Financial Instruments andExchange Act, and the quarterly review process for quarterly consolidated financial statements is ongoing at the time of the disclosure ofthis first quarter consolidated earnings report.
Caution with respect to forward-looking statements:
The estimates referred in this report were made based on the information available as of the date of this release. The Company does notpromise the realization of the estimates in this report. The Actual results could significantly differ from the estimates due to a variety offactors. For details on the conditions that form the assumptions used for earnings forecasts and notes on using earnings forecasts, pleaserefer to appendix page 2, “1. Qualitative Information Regarding this Quarterly Statement (3) Qualitative Information and Other Matters
Concerning Consolidated Forecasts for the Fiscal Year Ending March 31, 2013”.

○Table of contents of the appendix
1. Qualitative Information Regarding this Quarterly Statement ........................................................................................................... 2(1) Qualitative Information and Other Matters Concerning Consolidated Operating Results for the First Quarter of
Fiscal 2012 ............................................................................................................................................................................. 2(2) Qualitative Information and Other Matters Concerning Consolidated Financial Position for the End of the First
Quarter of Fiscal 2012 ............................................................................................................................................................ 2(3) Qualitative Information and Other Matters Concerning Consolidated Forecasts for the Fiscal Year Ending
March 31, 2013 ...................................................................................................................................................................... 2
2. Items Regarding Summary Information (Notes) .............................................................................................................................. 3(1) Transfer of Major Subsidiaries during the Scope of Consolidation of this Quarter ............................................................. 3(2) Applying Accounting Procedures Specific to Preparing Quarterly Financial Statements...................................................... 3(3) Changes in Accounting Principles, Changes in Accounting Estimates and Restatements ..................................................... 3
3. Consolidated Quarterly Financial Statements .................................................................................................................................. 4(1) Consolidated Quarterly Balance Sheets ................................................................................................................................ 4(2) Consolidated Quarterly Statements of Income and Consolidated Quarterly Comprehensive Statements of Income
Consolidated Quarterly Statements of Income
Scope of Consolidation of this First Quarter ................................................................................................................. 6
Consolidated Quarterly Comprehensive Statements of Income
Scope of Consolidation of this First Quarter ................................................................................................................. 7(3) Notes Regarding Going Concern .......................................................................................................................................... 8(4) Notes Regarding Substantial Changes in Shareholders’ Equity ............................................................................................ 8(5) Segment Information............................................................................................................................................................. 8
4. Supplementary Information ............................................................................................................................................................. 9(1) Geographical Segment Information ...................................................................................................................................... 9(2) Overseas Sales ...................................................................................................................................................................... 10-1-

1. Qualitative Information Regarding this Quarterly Statement(1) Qualitative Information and Other Matters Concerning Consolidated Operating Results for the First
Quarter of Fiscal 2012
1) Overview
In the global economy in the first quarter (April 1, 2012 -June 30, 2012), the murky outlook continues due to theprolonged European sovereign debt crisis in addition to a slowdown in the growth rate of emerging countries
including China. In addition, the electronics industry, in which we are engaged in, faced difficult tasks due to slow
rebound in demand overall even though some products such as smartphones and tablet terminals were strong.
Under these circumstances, the Ryosan Group has worked on “restructuring of the profit and financial structure”,“reform of the management system” and “Promotion of globalization” while setting“the Company addresses renovation of management structure to survive in a changing external environment as ourbasic stance of management for the fiscal year 2012.
As a result of the above, the Ryosan Group reported increases in net sales of 51,911 million yen (up 7.5% from thesame period the previous year),operating income of 982 million yen (up 81.8%), ordinary income of 1,276 million
yen (up 49.6%), and net income of 791 million yen (up 47.7%) for results of the first quarter under review.
2) Business Segment Informationa. Semiconductors
We sell memories, system LSIs and discrete semiconductors, and develop system LSIs. In this consolidated firstquarter, sales of system LSIs for in-vehicle electrical components and smartphones, etc. increased, with net salesof 32,330 million yen (up 11.2% from the same period previous year) and operating income of 815 million yen(up 79.9%).
b. Electronic Components
We sell display devices, power supplies and electromechanical components. In this consolidated first quarter,
sales of display devices for digital cameras, etc. increased, with net sales of 13,347 million yen (up 2.9% from thesame period previous year), but operating income came to 446 million yen (down 1.4%).
c. Electronic Equipment
We sell systems equipment and facilities equipment. In this consolidated first quarter, sales of semiconductor
manufacturing equipment,etc. increased, with net sales of 4,864 million yen (up 2.8% from the same periodprevious year) and operating income of 182 million yen (up 100.0%).
d. Ryosan Products
We produce and sell heat sinks (devices that dissipate the heat generated by semiconductors). In this consolidated
first quarter, sales of heat sinks for FA equipment, etc. decreased, with net sales of 1,369 million yen (down
10.0% from the same period previous year) and operating income of 85 million yen (down 35.2%).
(2) Qualitative Information and Other Matters Concerning Consolidated Financial Position for the End of theFirst Quarter of Fiscal 2012
At the end of this first quarter, total assets had decreased by 6,292 million yen, as compared with the level at the endof the previous fiscal year, and came to 160,786 million yen.
Also, net assets decreased by 537 million yen, as compared with the level at the end of the previous fiscal year, andcame to 115,154 million yen, with the ratio of net assets to total assets being 71.6%.
(3) Qualitative Information and Other Matters Concerning Consolidated Forecasts for the Fiscal Year Ending
March 31, 2013
There is no change in forecasts for the first half and full-year fiscal 2012 ending March 31, 2013. (Those forecasts
were announced on May 11, 2012.).
-2-

2. Items Regarding Summary Information (Notes)(1) Transfer of major subsidiaries during the scope of consolidation of this quarter
None(2) Applying accounting procedures specific to preparing quarterly financial statements
None(3) Changes in accounting principles, changes in accounting estimates and restatements(Change in depreciation method)
The Company changed to the depreciation method based on the amended Corporation Tax Act due toamendments to the Corporation Tax Act for tangible noncurrent assets acquired on and after April 1, 2012.
The influences of this change on profit and loss are minimal.

-3-3. Consolidated Quarterly Financial Statements(1) Consolidated Quarterly Balance Sheets(Millions of yen)
Fiscal Year Ended
March 31, 2012
(As of March 31, 2012)

First Quarter of the Fiscal
Year Ending March 31, 2013
(As of June 30, 2012)ASSETS
Current assets
Cash and deposits

34,11430,543

Trade notes and accounts receivable

81,12375,125－5,999

Inventories

24,63323,435

Accrued income

2,989

2,438

Deferred tax assets

276

208

Other current assets

1,109

471

Allowance for doubtful accounts

(93)

(74)

144,153

138,147

Buildings and structures (net)

4,461

4,379

Land

8,121

8,113

Lease assets (net)

221

245

Other fixed assets (net)

520

478

13,325

13,216930

893

Investment securities

3,084

2,859

Long-term deposits

3,000

3,000

Deferred tax assets

958

1,044

Other

2,719

2,683

Allowance for doubtful accounts

(957)

(926)

Allowance for loss on investments

(136)

(130)

Total Investments and other assets

8,669

8,529

22,925

22,639167,079

160,786

Marketable securities

Total current assets
Fixed assets
Property, plant and equipment

Total property, plant and equipment
Intangible fixed assets
Investments and other assets

Total fixed assets
Total assets-4-

(Millions of yen)
Fiscal Year Ended
March 31, 2012
(As of March 31, 2012)

First Quarter of the Fiscal
Year Ending March 31, 2013
(As of June 30, 2012)

LIABILITIESCurrent liabilities
Trade accounts payable

33,54927,153

Short-term bank loans

11,85012,628112

118

Other payable

1,761

1,571

Accrued expenses

1,091

532

Accrued income taxes

338

432

Reserve for bonuses－

327

Other current liabilities

193

398

Total current liabilities

48,896

43,162

155

172

2,275

2,242

Other long-term liabilities

60

56

Total long-term liabilities

2,491

2,470

51,38845,632

Common stock

17,69017,690Additional paid-in capital

19,114

19,114Retained earnings

83,44983,570Treasury stock(1,806)(1,806)

Total shareholders’ equity

118,447

118,569

331

204

2

(0)

Foreign currency translation adjustments(3,090)(3,619)Total other accumulated comprehensive incomes(2,756)(3,415)

Total net assets

115,691

115,154

Total liabilities and net assets

167,079

160,786

Lease obligations

Long-term liabilities
Lease obligations
Employees’ retirement benefits

Total liabilities
NET ASSETS
Shareholder’s equity

Other accumulated comprehensive incomes
Net unrealized gain on other marketable securities
Gain (loss) on deferred hedges-5-(2) Consolidated Quarterly Statements of Income and Consolidated Quarterly Comprehensive Statements ofIncome(Consolidated Quarterly Statements of Income)(Scope of Consolidation of this First Quarter)(Millions of yen)First Quarter of the Fiscal Year
Ended March 31, 2012

First Quarter of the Fiscal YearEnding March 31, 2013

(Apr. 1, 2011 to Jun. 30, 2011)(Apr. 1, 2012 to Jun. 30, 2012)

Net sales
Cost of Sales
Gross Profit
Selling, general and administrative expenses
Operating income
Non-operating income
Interest income
Dividend income
Gain on foreign exchange
Commission fee
Miscellaneous income
Total non-operating income
Non-operating expenses
Interest expense
Miscellaneous expenses
Total non-operating expenses
Ordinary income
Extraordinary gains
Gain on sales of noncurrent assets
Gain on reversal of allowance for doubtful accounts
Total extraordinary gains
Extraordinary losses
Loss on sales and disposal of property, plant and equipment
Loss on valuation of investment securities
Total extraordinary losses
Income before income taxes and minority interests
Income taxes
Income before Minority interest in income
Minority interests in income
Net income-6-48,30644,378
3,927
3,387
540

51,91147,644
4,266
3,283
982

22
133
91
42
62
352

22
83
37
132
65
342

38
1
39
852

45
2
48
1,276

－
－
－

33
5
39

1
－
1
851
315
536
1
535

－
27
27
1,288
497
791
－
791

(Consolidated Quarterly Comprehensive Statements of Income)(Scope of Consolidation of this First Quarter)(Millions of yen)First Quarter of the Fiscal Year
Ended March 31, 2012

First Quarter of the Fiscal YearEnding March 31, 2013

(Apr. 1, 2011 to Jun. 30, 2011)(Apr. 1, 2012 to Jun. 30, 2012)

Income before Minority interest in income
Other comprehensive income
Net unrealized gain on other marketable securities
Gain (loss) on deferred hedges
Foreign currency translation adjustments
Total other comprehensive income
Comprehensive Incomes(Details)
Comprehensive incomes relating to shareholders ofparental company
Comprehensive incomes relating to minority shareholders

-7-

536

791

(46)
10
(375)

(127)
(2)
(528)

(411)
125

(658)
132

127

132

(2)

－

(3) Notes Regarding Going Concern
Not applicable.
(4) Notes Regarding Substantial Changes in Shareholders’ Equity
Not applicable.
(5) Segment Information
I. For the consolidated first quarter of the fiscal year ended March 31, 2012
(April 1, 2011 to June 30, 2011)
1. Overview of our Reporting Segments
Information Concerning Sales and Income or Loss Amount by Reporting Segment(Millions of yen)

Reportable Segment
Adjusted
amount(Note) 1

Consolidated
quarterly
incomestatement
amount (Note) 2

Semiconductors

Electronic
components

Electronicequipment

Ryosanproducts

Total

29,081

12,971

4,730

1,522

48,306―48,306

―

―

―

―

―

―

―

29,081453

12,971
453

4,730
91

1,522
131

48,306
1,128

―
(588)

48,306
540

Sales and operating income
Sales:
Sales to external
Customers
Internal sales between
segments, or exchange
Total
Segment income (loss)(Notes)1. The adjustment of -588 million yen to segment earnings represents corporate expenses that are not allocated to eachreportable segment.
2. Segment income has been adjusted with operating income in consolidated quarterly statements of income.

II. For the consolidated first quarter of the fiscal year ending March 31, 2013
(April 1, 2012 to June 30, 2012)
Information Concerning Sales and Income or Loss Amount by Reporting Segment(Millions of yen)

Reportable Segment
Adjusted
amount(Note) 1

Consolidated
quarterly
incomestatement
amount (Note) 2

Semiconductors

Electronic
components

Electronicequipment

Ryosanproducts

Total

32,33013,347

4,864

1,369

51,911―

51,911

―

―

―

―

―

―

―

32,330815

13,347
446

4,864
182

1,369
85

51,911
1,529

―
(546)

51,911
982

Sales and operating income
Sales:
Sales to external
Customers
Internal sales between
segments, or exchange
Total
Segment income (loss)(Notes)1. The adjustment of -546 million yen to segment earnings represents corporate expenses that are not allocated to eachreportable segment.
2. Segment income has been adjusted with operating income in consolidated quarterly statements of income.

-8-

4. Supplementary Information(1) Geographical Segment Information
Fiscal 2011, first quarter of the fiscal year ended March 31, 2012
(April 1, 2011 to June 30, 2011)(Millions of yen)Japan
I Sales
Sales:(1) Sales to external
Customers(2)Internal sales between
segments, or exchange
Total
Operating income

Asia

Total

Eliminations
or corporate

Consolidated

32,522

15,78348,306―48,306

2,239

152

2,392

(2,392)―

34,762326

15,935
162

50,698488(2,392)52

48,306540

Notes:
1. Country and regional segments are classified on the basis of geographic proximity.
2. Principal countries and regions:
Asia:
Hong Kong, China, Taiwan, Thailand, Singapore and others

Fiscal 2012, First quarter of the fiscal year ending March 31, 2013
(April 1, 2012 to June 30, 2012)(Millions of yen)Japan
I Sales and operating income
Sales:(1) Sales to external
Customers(2)Internal sales between
segments, or exchange
Total
Operating income

Asia

Total

Eliminations
or corporate

Consolidated

35,303

16,60851,911―

51,911

1,384

131

1,515

(1,515)―36,687497

16,740504

53,427
1,002(1,515)(19)

51,911
982

Notes:
1. Country and regional segments are classified on the basis of geographic proximity.
2. Principal countries and regions:
Asia:
Hong Kong, China, Taiwan, Thailand, Singapore and others-9-(2) Overseas Sales
Fiscal 2011, first quarter of the fiscal year ended March 31, 2012
(April 1, 2011 to June 30, 2011)
Asia
16,691―
34.6

Overseas sales
Consolidated net sales
Ratio of overseas sales to consolidated net sales (%)(Millions of yen)Total
16,691
48,306
34.6

Notes:
1. Country and regional segments are classified on the basis of geographic proximity.
2. Principal countries and regions:Asia:
China, Hong Kong, Korea, and Thailand and others
3. Overseas sales represent the total of export sales of the parent company and sales of its consolidated subsidiaries outside Japan(excluding intra-group sales).

Fiscal 2012, first quarter of the fiscal year ending March 31, 2013
(April 1, 2012 to June 30, 2012)
Asia
18,032―
34.7

Overseas sales
Consolidated net sales
Ratio of overseas sales to consolidated net sales (%)(Millions of yen)
Total
18,032
51,911
34.7

Notes:
1. Country and regional segments are classified on the basis of geographic proximity.
2. Principal countries and regions:Asia:
China, Hong Kong, Korea, and Thailand and others
3. Overseas sales represent the total of export sales of the parent company and sales of its consolidated subsidiaries outside Japan(excluding intra-group sales).

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