Consolidated Quarterly Financial Results
for the Six Months Ended September 30, 2017
[Japanese GAAP]
November 14, 2017
Company name: NIPPON HUME CORPORATION
Stock exchange listing: Tokyo Stock Exchange
Securities code: 5262
URL: http://www.nipponhume.co.jp
Representative: Minoru Okawauchi, President and Representative Director
Contact: Takamasa Ishii, Executive Officer and General Manager of Accounting Division
Phone: +81-3-3433-4111
Scheduled date of filing quarterly securities report: November 14, 2017
Scheduled date of commencing dividend payments: ―Preparation of supplementary briefing material on quarterly financial results: No
Holding of quarterly financial results briefing session: No(Amounts of less than one million yen are rounded down.)
1. Consolidated Financial Results for the Six Months Ended September 30, 2017
(April 1, 2017 to September 30, 2017)(1) Consolidated Operating Results(% indicates changes from the previous corresponding period.)
Profit attributable toTurnoverOperating income
Ordinary income
owners of parent
company
Million yen%

Million yen%

Million yen%

Million yen

%

860

47.0

585

(48.5)

Six months ended
17,750
19.4
709
21.0
1,117
35.1
September 30, 2017
Six months ended
14,866(12.0)
586 (44.5)
826 (46.1)
September 30, 2016
(Note) Comprehensive income: Six months ended September 30, 2017: ¥1,143 million [28.2%]
Six months ended September 30, 2016: ¥891 million [(14.8)%]

Six months ended
September 30, 2017
Six months ended
September 30, 2016

Earnings per share

Diluted earnings per
share

Yen

Yen

34.29

―

23.01

―

(2) Consolidated Financial Position
Total assets
Million yen

Net assets
Million yen

As of September 30,
46,50930,1502017
As of March 31,
47,501
29,5582017(Reference) Equity: As of September 30, 2017: ¥29,943 million
As of March 31, 2017: ¥29,353 million

Equity ratio
%

64.4
61.8

2. Dividends
Annual dividends
3rdYear-endquarter-end

1stquarter-end

2ndquarter-end

Yen

Yen

Yen

Yen

Yen

―
―

―
―

―

16.00

16.00

―

16.00

16.00

Fiscal year ended March 31, 2017
Fiscal year ending March 31, 2018
Fiscal year ending March 31, 2018
(Forecast)

Total(Note) Revision to the dividend forecast announced most recently: No
3. Consolidated Financial Results Forecast for the Fiscal Year Ending March 31, 2018
(April 1, 2017 to March 31, 2018)(% indicates changes from the previous corresponding period.)
Profit attributable
Earnings
TurnoverOperating income Ordinary income
to owners ofper share
parent company
Million yen%

Million yen%

Million yen%

35,0009.1
1,800 20.1
2,200 12.3
Full year(Note) Revision to the financial results forecast announced most recently: No

Million yen

%

Yen

1,600

15.6

63.57

* Notes(1) Changes in significant subsidiaries during the period under review (changes in specified subsidiaries resulting inchanges in scope of consolidation): No
Newly included: ― (Company name)
Excluded: ― (Company name)(2) Application of accounting procedures specific to preparation of consolidated quarterly financial statements: No(3) Changes in accounting policies, changes in accounting estimates and retrospective restatement
1) Changes in accounting policies due to the revision of accounting standards, etc.: No
2) Changes in accounting policies other than 1) above: No
3) Changes in accounting estimates: No4) Retrospective restatement: No(4) Total number of issued shares (common stock)1) Total number of issued shares at the end of the period (including treasury shares)
As of September 30, 2017: 29,347,500 shares
As of March 31, 2017: 29,347,500 shares2) Total number of treasury shares at the end of the period
As of September 30, 2017: 4,380,165 shares
As of March 31, 2017: 4,179,180 shares
3) Average number of shares during the period
Six months ended September 30, 2017: 25,087,178 shares
Six months ended September 30, 2016: 25,440,899 shares* These quarterly financial results are not subject to quarterly review procedures.
* Explanation of the proper use of financial results forecast and other notes
The financial results forecast and other forward-looking statements contained in these materials are based on
information available to the Company and on certain assumptions deemed to be reasonable as of the date of
publication of this document. They are not intended as a commitment by the Company that these results will beachieved. Actual results may differ considerably as a result of numerous factors. For the assumptions used in thefinancial results forecast and precautionary notes on its use, please refer to “1. Qualitative Information on Quarterly
Financial Results for the Period under Review (3) Explanation of Consolidated Financial Results Forecast and Other
Forward-looking Information” on page 3 of the attachment.

NIPPON HUME CORPORATION (5262), Consolidated Quarterly Financial Results for the Six Months Ended September 30, 2017

Table of Contents
1. Qualitative Information on Quarterly Financial Results for the Period under Review .................................. 2(1) Explanation of Operating Results ............................................................................................................... 2(2) Explanation of Financial Position .............................................................................................................. 3(3) Explanation of Consolidated Financial Results Forecast and Other Forward-looking Information .......... 3
2. Consolidated Quarterly Financial Statements and Important Notes ........................... ....................................4(1) Consolidated Quarterly Balance Sheets ..................................................................................................... 4(2) Consolidated Quarterly Statements of Income and Comprehensive Income ............................................. 6(3) Consolidated Quarterly Statements of Cash Flows ...................................................................................... 8(4) Notes to the Consolidated Quarterly Financial Statements ........................................................................ 9(Notes on going concern assumption) ........................................................................................................ 9(Notes in the case of significant changes in shareholders’ equity) ............................................................. 9(Segment information, etc.) ....................................................................................................................... 91

NIPPON HUME CORPORATION (5262), Consolidated Quarterly Financial Results for the Six Months Ended September 30, 2017

1. Qualitative Information on Quarterly Financial Results for the Period under Review(1) Explanation of Operating Results
During the six months ended September 30, 2017, the Japanese economy remained on a modest recovery
trend. Nonetheless, although signs of recovery have appeared mainly in the economies of some of the emerging
Asian nations, especially China, the sense of uncertainty over the future prospects for the economy cannot be
dispelled.
In the concrete products industry in which the Company operates, demand for Hume pipes and pile productsslightly exceeded the level of demand for them in the same period of the previous fiscal year.
Under these circumstances, the Group has been working diligently to pursue stable profits and sustainablegrowth, which are the key objectives of the basic policy in “Evolution All Japan,” the Group’s medium-term
management plan, which is now in its final fiscal year.
In the six months ended September 30, 2017, orders received for piles, Hume pipes, and other concrete
products, including precast products, and for construction were ¥16,593 million (up 23.0% year on year).
Turnover, including revenue from concrete products, construction, and real estate, was ¥17,750 million (up19.4% year on year).
As for profit and loss, operating income was ¥709 million (up 21.0% year on year), ordinary income was¥1,117 million (up 35.1% year on year), mainly because of equity in earnings of affiliates and dividend income,and profit attributable to owners of parent was ¥860 million (up 47.0% year on year).
Segment results are as follows.
1) Concrete Products
Orders received were ¥8,517 million (up 14.5% year on year). Turnover was ¥9,499 million (up 21.3% year
on year), mainly because of an increase in sales of precast products. Segment income was ¥34 million (down
81.8% year on year), mainly because cost of sales increased.
The total sales composition ratio was 53.5%.
2) Construction
Orders received were ¥7,984 million (up 34.1% year on year) and turnover was ¥7,450 million (up 19.2%
year on year), mainly because of increases in sales of piling work and sewage line-related work, and segment
income was ¥359 million (up 187.2% year on year), mainly because of cost reductions.
The total sales composition ratio was 42.0%.
3) Real Estate Development
Turnover was ¥496 million (up 3.0% year on year), and segment income was ¥228 million (up 20.5% year
on year). This was mainly because renovation work was conducted on real estate property for rent in the same
period of the previous fiscal year.
The total sales composition ratio was 2.8%.
4) Others
Orders received were ¥92 million (down 6.7% year on year), turnover, mainly for the solar power
generation business and the sport facility management business, was ¥303 million (down 0.2% year on year),and segment income was ¥86 million (up 7.4% year on year). Thus, the results for the Others segment wereroughly the same as those last year.
The total sales composition ratio was 1.7%.

2

NIPPON HUME CORPORATION (5262), Consolidated Quarterly Financial Results for the Six Months Ended September 30, 2017(2) Explanation of Financial Position
1) Assets, Liabilities and Net Assets
Total assets as of September 30, 2017, decreased by ¥991 million from the end of the previous fiscal year, to¥46,509 million. This was mainly because, while cash and deposits decreased ¥1,343 million under current
assets, investment securities increased ¥576 million under non-current assets.
In addition, under liabilities, total liabilities decreased ¥1,583 million from the end of the previous fiscal
year, to ¥16,359 million. This was mainly because, under current liabilities, notes and accounts payable - tradedecreased ¥1,269 million.
Under net assets, total net assets increased ¥591 million from the end of the previous fiscal year, to ¥30,150
million. This was mainly because, under retained earnings, while profit attributable to owners of parent
company increased ¥860 million, there was a decrease of ¥415 million for cash dividends paid.
2) Cash Flows
Cash and cash equivalents (hereinafter, “funds,” referring to cash and deposits minus time deposits withdeposit terms of over three months) in the six months ended September 30, 2017 decreased ¥1,348 million fromthe end of the previous fiscal year, to ¥7,488 million.
(Cash flows from operating activities)
Funds used in operating activities during the six months ended September 30, 2017 were ¥573 million(funds provided by operating activities were ¥556 million in the previous fiscal year). This was mainly because
there were not only decrease factors, such as a decrease of ¥1,255 million in notes and accounts payable - tradeand income taxes paid of ¥462 million, but also increase factors, including profit before income taxes andminority interests of ¥1,126 million.
(Cash flows from investing activities)
Funds used in investing activities during the six months ended September 30, 2017 decreased ¥120 million
year on year to ¥239 million. This was mainly because of ¥184 million in purchase of fixed assets.
(Cash flows from financing activities)
Funds used in financing activities during the six months ended September 30, 2017 increased ¥70 million
year on year to ¥533 million. This was mainly because of a cash outflow of ¥413 million for dividends paid.

(3) Explanation of Consolidated Financial Results Forecast and Other Forward-looking Information
Regarding the results forecast pertaining to the fiscal year ending March 31, 2018, there has been no change
to the full-year results forecast published in the “Consolidated Financial Results for the Fiscal Year Ended
March 31, 2017 [Japanese GAAP]” dated May 12, 2017.

3

NIPPON HUME CORPORATION (5262), Consolidated Quarterly Financial Results for the Six Months Ended September 30, 2017

2. Consolidated Quarterly Financial Statements and Important Notes(1) Consolidated Quarterly Balance Sheets(Thousand yen)
As of March 31, 2017
AssetsCurrent assets
Cash and deposits
Notes and accounts receivable - trade
Merchandise and finished goods
Raw materials and supplies
Other
Provision for doubtful accounts
Total current assets
Non-current assets
Property, plant and equipment
Buildings and structures, net
Land
Other, net
Total property, plant and equipment
Intangible assets
Investments and other assets
Investment securities
Other
Provision for doubtful accounts
Total investments and other assets
Total non-current assets
Total assets
Liabilities
Current liabilities
Notes and accounts payable - trade
Short-term loans
Income taxes payable
Provision for bonuses
Provision for loss on construction contracts
Other
Total current liabilities
Non-current liabilities
Provision for directors’ retirement benefits
Provision for environmental measures
Net defined benefit liability
Other
Total non-current liabilities
Total liabilities

4

As of September 30, 2017

8,892,925
13,711,307
2,026,699
476,714289,660(14,662)
25,382,645

7,549,082
13,687,064
2,094,012
385,294288,244(21,449)
23,982,249

3,096,622
3,692,743
2,198,501
8,987,867
137,543

3,011,809
3,693,848
2,049,442
8,755,100
124,250

12,750,556
472,273(229,530)
12,993,299
22,118,709
47,501,354

13,326,810
526,648(205,522)
13,647,937
22,527,288
46,509,537

11,348,157
1,212,269
476,049
185,557
30,223
859,127
14,111,384

10,078,867
1,218,984
290,689
188,506
17,660599,145
12,393,854

36,017
17,0142,612,372
1,165,780
3,831,184
17,942,569

36,017
17,014
2,648,335
1,263,838
3,965,205
16,359,060

NIPPON HUME CORPORATION (5262), Consolidated Quarterly Financial Results for the Six Months Ended September 30, 2017

(Thousand yen)
As of March 31, 2017
Net assets
Shareholders’ equity
Share capital
Share premium
Retained earnings
Treasury shares
Total shareholders’ equity
Accumulated other comprehensive income
Valuation difference on available-for-sale securities
Difference in foreign exchange
Remeasurements of defined benefit
Total accumulated other comprehensive income
Non-controlling interests
Total net assets
Total liabilities and net assets

5

As of September 30, 2017

5,251,400
4,736,508
20,272,825(1,511,453)
28,749,280

5,251,400
4,736,508
20,717,846(1,647,450)
29,058,305

756,093
220,308(371,835)
604,565
204,938
29,558,785
47,501,354

1,017,581
214,187(346,449)
885,319
206,852
30,150,477
46,509,537

NIPPON HUME CORPORATION (5262), Consolidated Quarterly Financial Results for the Six Months Ended September 30, 2017(2) Consolidated Quarterly Statements of Income and Comprehensive Income
Consolidated Quarterly Statements of Income
Six Months Ended September 30(Thousand yen)
For the six months ended
September 30, 2016
TurnoverCost of sales
Gross profit
Selling, general and administrative expenses
Operating income
Non-operating income
Interest income
Dividend income
Share of income of associates
Foreign exchange gains
Other
Total non-operating income
Non-operating expenses
Interest expenses
Foreign exchange losses
Settlement package
Other
Total non-operating expenses
Ordinary income
Extraordinary income
Gain on sales of fixed assets
Insurance income
State subsidy
Total extraordinary income
Extraordinary losses
Loss on disposal of fixed assets
Total extraordinary losses
Profit before income taxes and minority interests
Income taxes - current
Income taxes - deferred
Total income taxes
Profit after income taxes
Profit attributable to non-controlling interests
Profit attributable to owners of parent company

6

For the six months ended
September 30, 2017

14,866,509
12,318,299
2,548,209
1,961,652
586,557

17,750,162
15,075,898
2,674,264
1,964,801
709,462

192
47,161
312,404―
87,088446,847595
52,759325,557
5,160
63,847447,920

9,729
186,579―
10,248
206,557
826,847

11,758―12,00016,37340,131
1,117,250

―
―
1,424
1,424

2,323
5,167
1,440
8,930

0
0
828,271
272,864(35,802)
237,061591,209
5,904
585,304――
1,126,181
276,909(12,999)
263,909862,271
1,913
860,357

NIPPON HUME CORPORATION (5262), Consolidated Quarterly Financial Results for the Six Months Ended September 30, 2017

Consolidated Quarterly Statements of Comprehensive Income
Six Months Ended September 30(Thousand yen)
For the six months ended
September 30, 2016
Profit after income taxes
Other comprehensive income
Valuation difference on available-for-sale securities
Difference in foreign exchange
Remeasurements of defined benefit
Share of other comprehensive income of associates
Total other comprehensive income
Comprehensive income
Comprehensive income attributable toComprehensive income attributable to owners of parent
company
Comprehensive income attributable to non-controllinginterests

7

For the six months ended
September 30, 2017591,209862,271

139,232
144,505
30,334(13,984)
300,088891,297

242,016(6,120)23,65821,198
280,754
1,143,025

885,392

1,141,112

5,904

1,913

NIPPON HUME CORPORATION (5262), Consolidated Quarterly Financial Results for the Six Months Ended September 30, 2017(3) Consolidated Quarterly Statements of Cash Flows(Thousand yen)
For the six months ended
September 30, 2016
Cash flows from operating activities
Profit before income taxes and minority interests
Depreciation
Increase (decrease) in provision for doubtful accounts
Increase (decrease) in provision for bonuses
Increase (decrease) in net defined benefit liability
Increase (decrease) in provision for loss on construction
contracts
Increase (decrease) in provision for environmental
measuresInterest and dividend income
Interest expenses
Foreign exchange losses (gains)Share of (income) loss of associates
Loss (gain) on sales of fixed assets
Loss on disposal of fixed assets
State subsidy
Insurance income
Decrease (increase) in notes and accounts receivable trade
Decrease (increase) in inventories
Decrease (increase) in other current assets
Increase (decrease) in notes and accounts payable trade
Increase (decrease) in accrued consumption taxes
Increase (decrease) in other current liabilities
Increase (decrease) in other non-current liabilities
SubtotalInterest and dividend income received
Interest expenses paid
Proceeds from insurance income
Income taxes paid
Net cash provided by (used in) operating activities
Cash flows from investing activities
Payments into time deposits
Purchase of fixed assets
Proceeds from sales of fixed assets
Proceeds from state subsidy
Decrease (increase) in other investments
Net cash provided by (used in) investing activities
Cash flows from financing activities
Net increase (decrease) in short-term loans
Purchase of treasury shares
Cash dividends paid
Net cash provided by (used in) financing activities
Net foreign exchange on cash and cash equivalents
Net increase (decrease) in cash and cash equivalents
Cash and cash equivalents at the beginning of the period
Cash and cash equivalents at the end of the period

8

For the six months ended
September 30, 2017828,271
318,610(26,484)
1,288
56,083

1,126,181
325,217(17,037)
2,948
77,396―(12,562)(1,334)―(47,354)
9,729
123,250(312,404)―
0(1,424)―(53,354)
11,75817,132(325,557)(2,323)―(1,440)(5,167)

1,223,719

10,236(233,963)
81,242

18,823(13,070)(1,307,859)(1,255,429)(220,828)
85,328(17,241)
558,629
175,044(9,708)―(167,542)
556,423

57,456(245,556)
3,593(280,755)
174,605(10,025)
5,167(462,268)(573,277)(3)(388,824)―
1,424
26,555(360,848)(4,287)(184,794)
2,323
1,440
(54,539)(239,857)(15,692)(29,049)(418,827)(463,569)
4,692(263,302)
8,287,591
8,024,288

16,261(135,995)(413,848)(533,581)(1,413)(1,348,131)
8,836,718
7,488,587

NIPPON HUME CORPORATION (5262), Consolidated Quarterly Financial Results for the Six Months Ended September 30, 2017(4) Notes to the Consolidated Quarterly Financial Statements(Notes on going concern assumption)
No relevant items.
(Notes in the case of significant changes in shareholders’ equity)
No relevant items.
(Segment information, etc.)
I. For the six months ended September 30, 2016 (April 1, 2016 to September 30, 2016)
1. Information on turnover and income (loss) by reportable segment(Thousand yen)
Reportable segment

TurnoverTurnover toexternal customers
Inter-segment
turnover ortransfers
Total
Segment income

Others(Note 1)

Total

Amountrecorded ontheConsolidated
Adjustments
QuarterlyStatements ofIncome(Note 2)Concrete
Products

Construction

Real Estate
Development

7,831,352

6,249,583

481,696

14,562,631

303,877

14,866,509―

14,866,509

7,192

―

21,76528,958379

29,337(29,337)―

7,838,545
190,959

6,249,583
125,146

503,461
189,731

14,591,590
505,838

304,256
80,71914,895,846
586,557(29,337)―

14,866,509
586,557

Total(Notes) 1. The “Others” segment includes businesses not included in reportable segments, such as the environmental
equipment sales business, the sport facility management business, the rental business, and the solar power
generation business.
2. Total segment income corresponds to operating income on the Consolidated Quarterly Statements of Income.

2. Information concerning impairment loss on non-current assets, goodwill, etc., by reportable segment
No relevant items.

9

NIPPON HUME CORPORATION (5262), Consolidated Quarterly Financial Results for the Six Months Ended September 30, 2017

II. For the six months ended September 30, 2017 (April 1, 2017 to September 30, 2017)
1. Information on turnover and income (loss) by reportable segment(Thousand yen)
Reportable segment

TurnoverTurnover toexternal customers
Inter-segment
turnover ortransfers
Total
Segment income

Others(Note 1)

Total

Amountrecorded ontheConsolidated
Adjustments
QuarterlyStatements ofIncome(Note 2)Concrete
Products

Construction

Real Estate
Development

9,499,788

7,450,938

496,108

17,446,835

303,326

17,750,162―

17,750,162

7,643

―

21,25928,902

101

29,004(29,004)―

9,507,431
34,6887,450,938
359,433

517,368
228,678

17,475,738
622,801

303,428
86,661

17,779,166
709,462(29,004)―

17,750,162
709,462

Total(Notes) 1. The “Others” segment includes businesses not included in reportable segments, such as the environmental
equipment sales business, the sport facility management business, the rental business, and the solar power
generation business.
2. Total segment income corresponds to operating income on the Consolidated Quarterly Statements of Income.

2. Information concerning impairment loss on non-current assets, goodwill, etc., by reportable segment
No relevant items.

10