3. Consolidated Financial Statements(1) Consolidated Balance Sheets
As of December 31, 2012 and 2013( ) represents negative figures.
Millions of yen

As of December 31, 2012ASSETS
Current assets:
Cash and deposits
Notes and accounts receivable-trade
Merchandise and finished goods
Work-in-process
Raw materials and supplies
Deferred tax assets
Other
Allowance for doubtful accounts
Total current assets
Non-current assets:
Property, plant and equipment
Buildings and structures, net
Machinery, equipment and vehicles, netLand
Construction in progress
Other, net
Total property, plant and equipment
Intangible assets
Investments and other assets:
Investment securities
Long-term loans receivable
Deferred tax assets
Other
Allowance for doubtful accounts
Total investments and other assets
Total non-current assets
Total assets

15

As of December 31, 2013

106,462
192,143
153,10940,43839,8801,843
59,995(7,074)
586,797

119,859
238,102
177,796
45,531
48,217
14,04369,475(9,512)
703,51477,07678,851
78,613
21,44916,951
272,942

88,742
86,41382,51922,77020,663
301,109

3,940

6,791

41,01040,560
6,608
11,923(1,454)
98,64867,00743,788
11,622
14,268(1,510)135,176375,531
962,329

443,077
1,146,591

( ) represents negative figures.
Millions of yen

As of December 31, 2012

As of December 31, 2013

LIABILITIESCurrent liabilities:
Notes and accounts payable-trade
Short-term loans payable
Current portion of long-term loans payable
Income taxes payable
Provision for bonuses
Provision for product warranties
Other provision
Other
Total current liabilities

114,344
102,476
58,1583,236
9,230
19,952
1,102
82,651
391,153

141,710
170,328
73,2305,467
10,277
18,292
1,609
94,309515,226

Non-current liabilities:
Long-term loans payable
Deferred tax liabilities for land revaluation
Provision for retirement benefits
Provision for product liabilities
Other provisions
Other
Total non-current liabilities

166,340
6,107
44,098
3,539
315
9,212
229,614

139,370
6,105
45,321
1,102
255
16,416
208,572

620,767

723,799

85,666
74,582249,724(686)
409,287

85,70374,619288,548(691)
448,179

1,843
10,982(114,255)(101,429)
109
33,595341,561
962,329

12,11010,978(87,277)(64,188)91
38,709422,792
1,146,591

Total liabilities
NET ASSETS
Shareholders’ equity:
Capital stock
Capital surplus
Retained earnings
Treasury stock
Total shareholders’ equity
Other accumulated comprehensive income:
Valuation difference on available-for-sale securities
Revaluation reserve for land
Foreign currency translation adjustment
Total other accumulated comprehensive income
Subscription rights to shares
Minority interests
Total net assets
Total liabilities and net assets

16

(2) Consolidated Statements of Income andConsolidated Statements of Comprehensive Income
Fiscal years ended December 31, 2012 and 2013

(Consolidated Statements of Income)( ) represents negative figures.
Millions of yen

Fiscal year ended
December 31, 2012
(January 1―December 31, 2012)
1,207,675

Net sales

Fiscal year ended
December 31, 2013
(January 1―
December 31, 2013)
1,410,472

Cost of sales

972,607

1,091,706

Gross profit

235,068

318,765

Selling, general and administrative expenses

216,470

263,628

Operating income

18,59855,137

Interest income

5,935

6,725

Dividends income

433

551

1,598

3,526574—

Sales finance-related income

3,120

1,919

Other

8,470

13,497

20,133

26,220Interest expenses

6,687

6,739

Foreign exchange losses

1,304

7,310

—

1,883

3,471

5,332

11,464

21,26627,26760,092Gain on sales of non-current assets

244

292

Gain on change in equity

460—

Other—

8705

301

Loss on sales of non-current assets

192

372

Loss on disposal of non-current assets

811

1,113

1,127

1,110

9142

2,141

2,739

Non-operating income:Equity in earnings of affiliates
Gain on revaluation of sales finance assets

Total non-operating income
Non-operating expenses:

Loss on revaluation of sales finance assets
Other
Total non-operating expenses
Ordinary income
Extraordinary income:

Total extraordinary income
Extraordinary loss:

Impairment loss
Loss on sales of investment securities
Total extraordinary losses

17( ) represents negative figures.
Millions of yen

Fiscal year ended
December 31, 2012
(January 1―December 31, 2012)

Fiscal year ended
December 31, 2013
(January 1―
December 31, 2013)

Income before income taxes

25,831

57,654

Income taxes ― current15,986

20,447

Income taxes ― deferred(1,971)(12,265)

Total income taxes

14,015

8,182

Income before minority interests

11,81549,472

Minority interests in income

4,326

5,414

Net income

7,489

44,05718

(Consolidated Statements of Comprehensive Income)( ) represents negative figures.
Millions of yen

Fiscal year ended
December 31, 2012
(January 1―December 31, 2012)
Income before minority interests

Fiscal year ended
December 31, 2013
(January 1―
December 31, 2013)

11,81549,472

3,311

10,208—(0)Foreign currency translation adjustment

26,12227,544

Share of other comprehensive income of associates
accounted for using equity method

1,480

3,341

30,91341,09342,72990,566Comprehensive income attributable to owners of the parent

34,47081,255Comprehensive income attributable to minority interests

8,259

9,310

Other comprehensive income
Valuation difference on available-for-sale securities
Revaluation reserve for land

Total other comprehensive income
Comprehensive income
Comprehensive income attributable to19

(3) Consolidated Statements of Changes in Net Assets
Fiscal year ended December 31, 2012 (January 1―December 31, 2012)( ) represents negative figures.
Millions of yen
Shareholders’ equity
Capital stock
Balance at the beginning ofcurrent period

Capital surplus

Retained earnings

74,582

249,478

85,666

Total shareholders’equity

Treasury stock(683)

409,044

Changes of items during the period
Reversal of revaluation reserve
for land

67

67

Dividends from surplus(7,157)(7,157)

Net income

7,489

7,489

Increase in consolidated subsidiaries

100100Decrease in affiliates accounted forby the equity method

(255)

(255)

Purchase of treasury stock(0)

Disposal of treasury stock(2)

(2)

00

Net changes of items other thanshareholders’ equity—(0)

245

(2)

242

85,666

74,582249,724(686)

409,287

Total changes of items during the period
Balance at the end of current period

Millions of yen
Other accumulated comprehensive income

Balance at the beginning ofcurrent period

Valuationdifference on
available-forsale securities

Revaluation
reserve forland

Foreigncurrencytranslation
adjustment

Other total
accumulatedcomprehensive
incomeSubscription
rights toshares

Minority
interests

Total net
assets(1,470)11,050(137,860)(128,280)

109

29,042309,914

Changes of items during the period
Reversal of revaluation reserve
for land

67

Dividends from surplus(7,157)

Net income

7,489

Increase in consolidated subsidiaries

100

Decrease in affiliates accounted forby the equity method(255)

Purchase of treasury stock(2)

Disposal of treasury stock0

Net changes of items other thanshareholders’ equity

3,313

(67)

23,60526,851—

4,552

31,404

Total changes of items during the period

3,313

(67)

23,60526,851—

4,552

31,647

Balance at the end of current period

1,843

10,982(114,255)(101,429)

109

33,595341,56120

Fiscal year ended December 31, 2013 (January 1―December 31, 2013)( ) represents negative figures.
Millions of yen
Shareholders’ equity
Capital stock
Balance at the beginning ofcurrent period

Capital surplus

Retained earnings

85,666

74,582249,724

36

36

Total shareholders’equityTreasury stock(686)

409,287

Changes of items during the period
Issuance of new shares

73

Reversal of revaluation reserve
for land3

3

Dividends from surplus(5,237)(5,237)

Net income

44,05744,057Purchase of treasury stock0

Disposal of treasury stock

(5)

(5)

00

Net changes of items other thanshareholders’ equity
36

36

38,824(5)

38,89285,70374,619288,548(691)

448,179

Total changes of items during the period
Balance at the end of current period

Millions of yen
Other accumulated comprehensive income
Other total
Foreign
Valuation
Revaluation
accumulated
currency
difference on
reserve forcomprehensive
translation
available-forland
incomeadjustment
sale securities
Balance at the beginning ofcurrent period

1,843

10,982(114,255)(101,429)

Subscription
rights toshares

Minority
interests

Total net
assets109

33,595341,561

Changes of items during the period
Issuance of new shares

73

Reversal of revaluation reserve
for land3

Dividends from surplus(5,237)

Net income

44,057Purchase of treasury stock(5)

Disposal of treasury stock0

Net changes of items other thanshareholders’ equity

10,267(3)

26,977

37,240

(17)

5,114

42,337

Total changes of items during the period

10,267(3)

26,977

37,240

(17)

5,114

81,230

Balance at the end of current period

12,11010,978(87,277)(64,188)91

38,709422,79221

(4) Consolidated Statements of Cash Flows
Fiscal years ended December 31, 2012 and 2013( ) represents negative figures.
Millions of yen

Fiscal year ended
December 31, 2012
(January 1―December 31, 2012)

Fiscal year ended
December 31, 2013
(January 1―December 31, 2013)

Net cash provided by (used in) operating activities:
Income before income taxes

25,831

57,654

Depreciation and amortization

34,27836,407

Impairment loss

1,127

1,110

Increase (decrease) in allowance for doubtful accounts(520)

1,430Increase (decrease) in provision for retirement benefits

3,277790

Increase (decrease) in provision for product liabilities(2,790)(2,490)Interest and dividends income(6,369)(7,277)

Interest expenses

6,687

6,739

Equity in (earnings) losses of affiliates(1,598)(3,526)

Loss (gain) on sales of property, plant and equipment andintangible assets

(51)

80

Loss (gain) on disposal of property, plant and equipment andintangible assets

811

1,113

9142(460)—

Decrease (increase) in notes and accounts receivable-trade(7,016)(14,400)

Decrease (increase) in inventories(1,135)(8,171)

Increase (decrease) in notes and accounts payable-trade(18,235)

16,212Other(12,840)(2,632)

Subtotal

21,002

83,182

Interest and dividends income received

7,995

8,639

Interest expenses paid

(6,999)(7,012)

Income taxes (paid) refund(24,383)(17,832)

Net cash provided by (used in) operating activities(2,385)66,976

Loss (gain) on sales of investment securities
Loss (gain) on change in equity

22

( ) represents negative figures.
Millions of yen

Fiscal year ended
December 31, 2012
(January 1―December 31, 2012)

Fiscal year ended
December 31, 2013
(January 1―
December 31, 2013)

Payments into time deposits

(351)

(375)

Proceeds from withdrawal of time deposits

508

428

Purchase of property, plant and equipment and intangible
assets(47,560)(53,447)

Proceeds from sales of property, plant and equipment andintangible assets

1,638

3,868

Purchase of investment securities(1,149)(6,482)

Payments for long-term loans receivable(10,302)(13,174)

Collections of long-term loans receivable

6,7417,608

Payments for sales of investments in subsidiaries resulting inchange in scope of consolidation(3,029)

—

Other

2,423

(1,105)(51,081)(62,679)

Increase (decrease) in short-term loans payable

52,46247,071

Proceeds from long-term loans payable

89,50532,447

Repayment of long-term loans payable(111,633)(66,401)

Cash dividends paid

(7,157)(5,237)

Cash dividends paid to minority shareholders(7,033)(4,035)Net decrease (increase) in treasury stock

(2)

(5)

Proceeds from exercise of stock option—55(379)(275)

Net cash provided by (used in) financing activities

15,761

3,620

Effect of exchange rate change on cash and cashequivalents

10,096

5,583

Net increase (decrease) in cash and cash equivalents(27,608)

13,500Cash and cash equivalents at beginning of period

133,593

106,532

Increase in cash and cash equivalents from newly
consolidated subsidiary548—

106,532

120,033

Net cash provided by (used in) investing activities:

Net cash provided by (used in) investing activities
Net cash provided by (used in) financing activities:

Other

Cash and cash equivalents at end of period23