Summary of Consolidated Financial Statements for the Year Ended December 31, 2018
(Japanese GAAP)
February 12, 2019
Company name

HORIBA, Ltd.

Listed stock exchanges: Tokyo

Listing code

6856

Representative

Atsushi Horiba, Chairman & Group CEO

URL: http://www.horiba.com
TEL: (81)75-313-8121

Contact
Junichi Tajika, Department Manager,General Administration Division, Accounting Dept.
Scheduled date of start of dividend payment: March 4, 2019
(Figures have been rounded down to the nearest million yen)

1. Consolidated Results for the Year Ended December 31, 2018 (January 1, 2018 - December 31, 2018)(Percentages represent changes from the previous year)(1) Consolidated Operating Results
Net Sales

Operating Income

Millions of yen

Net income attributableto Owners of Parent

Ordinary Income%

Millions of yen%

Year ended 12/31/18
210,570
28,83828,3167.8
7.5
6.4
Year ended 12/31/17
195,399
26,83426,608
14.9
45.1
45.6
(Note) Comprehensive Income: FY2018 16,364 million yen -24.2%, FY2017 21,589 million yen 144.6%

Millions of yen

22,313
16,281

37.0
25.6

%

Millions of yen%

Net Income attributable to Net Income attributable toOrdinary Income Operating Income
Owners of Parent
Owners of Parent per
Return on Equity
to Total Assets
to Net Sales
per Share
Share (Diluted)
Yen

Yen

Year ended 12/31/18
529.24526.98Year ended 12/31/17
386.30384.67(Reference) Equity in earnings of affiliates: FY2018 - million yen, FY2017 - million yen

%

%

%

14.3
11.5

10.4
10.5

13.7
13.7

(2) Consolidated Financial Position
Total Assets

Shareholders' Equity
Ratio

Net Assets

Millions of yen

Millions of yen

Net Assets
per Share%

Yen

As of 12/31/18
278,136
162,018
58.0
As of 12/31/17
265,920
150,866
56.5(Reference) Net assets excluding subscription rights to shares and non-controlling interests:
As of December 31, 2018: 161,362million yen; As of December 31, 2017: 150,282 million yen

3,826.44
3,565.00(3) Consolidated Cash Flows
Cash Flows fromOperating Activities

Cash Flows from
Investing Activities

Cash and Cash
Equivalents at endof period

Cash Flows from
Financing Activities

Millions of yen

Millions of yen

Millions of yen

Millions of yen

19,53628,287(11,029)(13,167)(3,240)(9,044)62,83758,333

Year ended 12/31/18
Year ended 12/31/17
2. Dividends

Dividend per shareFirst
quarter

SecondquarterYear ended 12/31/18
Year ending 12/31/19(Forecast)Year end

Total

Total Dividends(Annual)Payout Ratio(Consolidated)

Dividends to Net
Assets(Consolidated)

Yen

Yen

40.00

-

76.00

116.00Millions of yen
4,889

%
30.0

%
3.5

-

50.00

-

95.00

145.00

6,114

27.4

3.9

-

50.00

-

80.00

130.00

Yen
Year ended 12/31/17

Thirdquarter

-

Yen

Yen

27.4

(Note) Total Year-end dividend for fiscal year 2018 of 95 yen per share:
Year-end ordinary dividend of 75 yen and commemorative dividend for the 65th anniversary of the company foundation of 20 yen

3. Consolidated Forecast for the Year Ending December 31, 2019 (January 1, 2019 - December 31, 2019)(Percentages represent changes from the same period in the previous year)

Net SalesFirst half
Full year

Operating Income

Millions of yen%

96,000218,000-4.0
3.5

Millions of yen

Net Income attributable
Net Income attributableto Owners of Parent per
to Owners of Parent
Share

Ordinary Income%

Millions of yen%

Millions of yen%

Yen

10,500 -25.3
29,0000.6

10,30028,500

-25.0
0.6

7,000
20,000

-33.4
-10.4

165.99474.27

1

HORIBA, Ltd. (Consolidated)

Notes(1) Changes in significant subsidiaries during the period(Changes in specified subsidiaries that caused a change in the scope of consolidation): None
(2) Changes in accounting policies, accounting estimates and retrospective restatement① Changes in accounting policies associated with revision of accounting standards: None
② Changes in accounting policies arising from other than the above: None
③ Changes in accounting estimates: None
④ Retrospective restatement: None
(3) Number of shares outstanding (common stock)① Shares issued (including treasury stock)② Treasury stock

December 31, 2018
42,532,752
362,304

December 31, 2017
42,532,752
377,723③ The average number of outstanding sharesJan. - Dec. 2018
42,162,564

Jan. - Dec. 2017
42,149,032

Note 1. This consolidated financial report is not subject to audit by certified public accountants or accounting firms.
Note 2. Appropriate use of business forecasts and other important information

The forecasts of dividend amount and business performance contained in this report have been madebased on certain future assumptions, outlooks, and plans which are available at the HORIBA Group as
of February 12, 2019. However, due to risks and various uncertain factors such as future business
operation policies, changes in the economic environment in Japan and overseas, fluctuation of currency
rates, it is possible that actual performance would vary considerably from the forecasts.

2

HORIBA, Ltd. (Consolidated)1. Qualitative Information Concerning Consolidated Results(1) Information Concerning Consolidated Operating Results(For details, see page 14, “4. Supplemental Information - HORIBA, Ltd. Financial Highlights for the Year Ended December
31, 2018”)
With regard to the measurement and analysis equipment industry in the fiscal year ended December 31, 2018, in theautomotive industry, demand for emission measurement systems expanded in an environment marked by China and India
implementing new emission gas regulations in the future, on top of the new regulations introduced in Europe in 2017 andin Japan in 2018. In addition, there were rising expectations for next-generation mobility incorporating vehicle
electrification, as exemplified by hybrid and electric vehicles, and autonomous driving technology. This has led automakers
and related institutions to be more aggressive in their capital expenditure and R&D investment.
In the semiconductor field, demand for semiconductors, such as memory stemming from the increasing data processed indata center and the spread of AI and IoT, increased significantly. This had led investment by semiconductor manufacturers
to remain at a high level in 2017 as well as in the first half of 2018. However, starting in the second half of 2018,
investment for memory fell into a temporary correction phase.
In the environmental field, demand for process & environmental instruments and systems was robust on the back of tighter
environmental regulations in China, India, and Southeast Asia.
The annual average exchange rates for 2018 were 110.44 yen against the U.S. dollar and 130.35 yen against the euro,
representing year-on-year appreciation of 1.6% against the U.S. dollar and depreciation of 2.8% against the euro.
Under such business environment, HORIBA, Ltd. (“the Company”) and its consolidated subsidiaries (together “theHORIBA Group” or “HORIBA” as a consolidated group) implemented the following measures to strengthen each segment
in fiscal 2018.
In the Automotive Test Systems segment, we acquired FuelCon AG (Germany), a German developer of fuel cell andbattery test systems for electric vehicles, and expanded business domains related to next-generation mobility
technologies. In addition, HORIBA BIWAKO E-HARBOR, the Biwako factory in Japan which began full operation in 2016,
strived to further raise its productive efficiency and addressed the growing demand driven by new emission gas
regulations.
In the Process & Environmental Instruments & Systems segment, we worked on strengthening local capability in China
and India with the aim of enhancing competitiveness in the rapidly growing Asian market. We also launched “HAKARU(Measuring) EXpress,” a new business in water quality management, and worked on expanding the business domain to
include sales of data, in addition to existing sales of hardware.
In the Medical-Diagnostic Instruments & Systems segment, we acquired a micro-blood analysis system business from
ROHM Co., Ltd. and expanded the product line-up.
In the Semiconductor Instruments & Systems segment, HORIBA STEC, Co., Ltd.’s Aso Factory went into full-scale
operation after capacity expansion aimed at responding to an increase in demand for semiconductor production
equipment, and enhanced the stable supply system for mass flow controllers, one of the segment’s major products. In
addition, global R&D network has been enhanced by the opening of HORIBA Reno Technology Center, an R&D site forthe semiconductor field of HORIBA Instruments Incorporated (U.S.).
In the Scientific Instruments & Systems segment, HORIBA Instruments Incorporated (U.S.) opened HORIBA New Jersey
Optical Spectroscopy Center, which will be a new key location for its spectroscopy technologies, in order to enhance

3

HORIBA, Ltd. (Consolidated)development and production capacity.
Furthermore, on January 1, 2018, we start the new management team, intending to strengthen group management, clarify
the group management structure and further enhance HORIBA’s technology and development capabilities. Specifically, we
made personnel changes to the representative directors, with Atsushi Horiba as Chairman & Group CEO, Juichi Saito as
Executive Vice Chairman & Group COO and Dr. Masayuki Adachi as President & COO.
Also, in order to strengthen the water measurement business, which has been promoted as one of the priority initiatives in
the Company’s Mid-Long Term Management Plan “MLMAP2020,” HORIBA Advanced Techno, Co., Ltd., which integrated
HORIBA’s dispersed development and production resources of the water measurement business in 2017, strived to growits business and to globally strengthen its brand power.
In addition, with the aim at accelerating business growth and improving asset efficiency at the same time, HORIBA’s
management indices to measure asset efficiency named “HORIBA Premium Value” were fully introduced and have been
implemented by all Group companies.
Due to those measures and as a result of sales efforts, HORIBA increased net sales of 210,570 (up 7.8% y-o-y), operating
income of 28,838 million yen (up 7.5%), ordinary income of 28,316 million yen (up 6.4%) and net income attributable toowners of parent of 22,313 million yen (up 37.0%).
The operating results of each business segment are summarized as follows.
(Automotive Test Systems)
Sales of emission measurement systems increased mainly in Asia while sales in the ECT (Engineering Consultancy &Testing business), which we acquired from MIRA Ltd. (U.K.) in 2015, was also favorable. As a result, segment sales
increased by 8.6% y-o-y to 79,656 million yen. Operating income increased by 0.3% to 7,702 million yen covering one-off
expenses in the U.S. and the cost of acquiring FuelCon AG (Germany).
(Process & Environmental Instruments & Systems)
Sales of water quality analyzers and air pollution analyzers increased in Asia while sales of process measurement
equipment were robust in the Americas. As a result, segment sales increased by 11.1% y-o-y to 19,361 million yen.
Operating income surged by 85.3% to 2,027 million yen mainly due to improvement in profitability in Asia.
(Medical-Diagnostic Instruments & Systems)
Segment sales increased by 3.3% y-o-y to 26,012 million yen as sales of blood cell testing instrument increased in Asia.
Operating income however decreased by 4.9% to 1,823 million yen, partly due to an increase in R&D expenses.
(Semiconductor Instruments & Systems)
Sales to semiconductor production equipment manufactures increased compared to fiscal 2017, while demand appeared
to be slower recently. As a result, segment sales increased by 8.4% y-o-y to 57,785 million yen and operating income
increased by 9.1% to 17,063 million yen.
(Scientific Instruments & Systems)
Segment sales increased by 6.3% y-o-y to 27,754 million yen as high-level corporate R&D spending and other factors
contributed to sales growth. Operating income however decreased by 55.6% to 221 million yen, mainly due to expenses
associated with the enhancement of the business base in the Americas and other factors.

4

HORIBA, Ltd. (Consolidated)(2) Information Concerning Consolidated Earnings Forecasts for FY2019
Our assumed foreign exchange rates are 110 yen against the U.S. dollar (vs. 110.44 yen in fiscal 2018) and 125 yen
against the euro (vs. 130.35 yen in fiscal 2018).

Net sales of 218,000 million yen (up 3.5% y-o-y)In the Automotive Test Systems segment, sales of emission measurement systems are expected to be firm along withtighter emission gas regulations, and the acquired business of FuelCon AG (Germany) will make a full-year contribution.
The Semiconductor Instruments & Systems segment is projecting a decline in sales, as investment for memories is
expected to remain in a correction phase until the first half of fiscal 2019.
Sales are expected to increase in the Process & Environmental Instruments & Systems segment, the Medical-Diagnostic
Instruments & Systems segment, and the Scientific Instruments & Systems segment, due to a recovery in demand mainly
in Japan for the first two segments and in the Americas for the latter segment.
As a result, net sales is expected to increase by 7,429 million yen from fiscal 2018 to 218,000 million yen.

Operating income of 29,000 million yen (up 0.6% y-o-y)
The Automotive Test Systems segment is expected to increase operating income, due to the absence of one-off expenses
in the U.S. and the cost of acquiring FuelCon AG (Germany), which were generated in fiscal 2018, despite an expected
increase in R&D expenditures aimed at enhancing competitiveness.
The Semiconductor Instruments & Systems segment is expected to decrease operating income, caused by a decline insales of mass flow controllers for semiconductor production equipment.
As a result, operating income is expected to increase by 161 million yen from fiscal 2018 to 29,000 million yen.
Ordinary income of 28,500 million yen (up 0.6% y-o-y)Ordinary income is expected to incorporate a net non-operating loss of 500 million yen (compared to a net non-operating
loss of 522 million yen in fiscal 2018), assuming interest expenses and some uncertain non-operating expenses.
As a result, ordinary income is expected to increase by 183 million yen from fiscal 2018 to 28,500 million yen.
Net income attributable to owners of parent of 20,000 million yen (down 10.4% y-o-y)
Net extraordinary loss of 400 million yen (compared to a net extraordinary gain of 601 million yen in fiscal 2018) is
expected, assuming the generation of some extraordinary losses.
Due to the deterioration of net extraordinary gains or losses and other factors, net income attributable to owners of parent
is expected to decrease by 2,313 million yen from fiscal 2018 to 20,000 million yen.

5

HORIBA, Ltd. (Consolidated)

(3) Basic Policy for Profit Distribution and Dividends for the Year Ended December 31, 2018 and the Year Ending
December 31, 2019
HORIBA’s shareholder return policy is to set the total returns to shareholders (the combined amount of dividend payments
and share buybacks) at approximately 30% of consolidated net income attributable to owners of parent.
With regard to the dividends for the year ended December 31, 2018, we have decided to pay a year-end dividend of 95
yen per share, including commemorative dividend for the 65th anniversary of the company foundation of 20 yen.
Combined with the interim dividend that has been paid out, the annual dividend will be 145 yen (compared to 116 yen in
fiscal 2018).
As regards the dividend forecast for the fiscal year ending December 31, 2019, we expect to pay an annual dividend of
130 yen per share (interim dividend is 50 yen).
The Company will continue to focus on improving corporate value through profit growth by investing internal reserves ingrowth areas in an effective manner, and it will make profit returns to shareholders that are linked to consolidated
earnings.
(Disclaimer regarding business forecasts)
The forecasts of dividend amount and business performance contained in this report have been made based on certain
future assumptions, outlooks, and plans which are available at the HORIBA Group as of February 12, 2019. However, due
to risks and various uncertain factors such as future business operation policies, changes in the economic environment inJapan and overseas, fluctuation of currency rates, it is possible that actual performance would vary considerably from theforecasts.

2. Basic policy on selection of accounting standard
The HORIBA Group prepares its consolidated financial statements in accordance with General Accepted Accounting
Principles in Japan (“JGAAP”), as it allows comparison between different periods and companies. Concerning adoption of
the International Financial Reporting Standards (IFRS), HORIBA intends to appropriately respond with due consideration
to various circumstances in Japan and abroad and expected clerical costs.

6

HORIBA, Ltd. (Consolidated)3. Consolidated Financial Statements and Notes(1) Consolidated Balance Sheets
Amount: millions of yen
FY2017(As of December 31,
2017)

FY2018(As of December 31,
2018)

Cash and bank deposits

58,99563,632

Trade notes and accounts receivable

60,152

59,111Marketable securities

1,902

2,399

Merchandise and finished goods

16,51220,018Work in process

16,396

19,843

Raw materials and supplies

12,665

15,276

Deferred tax assets

4,331

4,312

Other current assets

7,321

8,290

Allowance for doubtful accounts

(788)

(682)

177,487

192,203

Buildings and structures, net

36,90037,207

Machinery, equipment and vehicles, net

10,776

10,244Land

13,736

13,692

Construction in progress

3,468

3,018

Other property, plant and equipment, net

3,818

4,576

Total Property, Plant and Equipment

68,70168,739Goodwill

194

901

Software

3,298

2,907

Other intangibles

904

1,092

Total Intangibles

4,397

4,901

Investment securities

11,0008,359

Deferred tax assets

1,549

1,092

Other investments and other assets

2,861

2,917

(77)

(76)

15,334

12,29288,43285,933265,920

278,136

AssetsCurrent Assets:

Total Current Assets
Fixed Assets:
Property, Plant and Equipment:

Intangibles:

Investments and Other Non-Current Assets:

Allowance for doubtful accounts
Total Investments and Other Non-Current Assets
Total Fixed Assets
Total Assets

7

HORIBA, Ltd. (Consolidated)Amount: millions of yen
FY2017(As of December 31,
2017)

FY2018(As of December 31,
2018)

Trade notes and accounts payable

23,272

21,933

Short-term loans payable

8,352

12,044

Accounts payable - other

14,88815,920Accrued income taxes

6,277

3,514

Advances Received

13,51917,475

61

1

1,464

1,265

63

-

Reserve for product warranty

1,932

2,012

Provision for loss on disaster49-

Other current liabilities

4,496

3,830

Total Current Liabilities

74,37877,999Corporate bonds

15,00015,000Long-term loans payable

18,704

17,028Deferred tax liabilities

2,036

950

Net defined benefit liability

2,145

1,946

640

640

Other non-current liabilities

2,149

2,552

Total Non-Current Liabilities

40,675

38,118115,054

116,117

Common stock

12,011

12,011

Capital surplus

18,717

18,717Retained earnings

115,345

132,329(1,488)(1,428)144,585

161,630

4,636

2,788
-

(2)

Foreign currency translation adjustments

1,151(2,829)Remeasurements of defined benefit plans

(90)

(224)

5,697

(267)

Subscription Rights to Shares

492

549

Non-controlling Interests

90

106

150,866

162,018

265,920

278,136

Liabilities
Current Liabilities:

Deferred tax liabilities
Accrued bonuses to employees
Accrued bonuses to directors and corporate auditors

Non-Current Liabilities:

Provision for loss on dissolution of the employees’
pension fundTotal Liabilities
Net Assets
Shareholders' Equity

Treasury stock
Total Shareholders' Equity
Accumulated Other Comprehensive Income
Net unrealized holding gains or losses on securities
Deferred gains or losses on hedges

Total Accumulated Other Comprehensive Income

Total Net Assets
Total Liabilities and Net Assets

8

HORIBA, Ltd. (Consolidated)(2) Consolidated Statements of Income and Consolidated Comprehensive Income Statements(Consolidated Statements of Income)Amount: millions of yen
FY2018(For the year ended
December 31, 2018)

FY2017(For the year ended
December 31, 2017)
Net Sales

195,399

210,570

Cost of Sales

112,107

120,630

Gross Income

83,29189,939Selling, General and Administrative Expenses

56,457

61,100Operating Income

26,834

28,838Interest income

104

144

Dividend income

176

178

Non-Operating Income

Subsidy income

81

11

Other

242

218

Total non-operating income

604

552

428

440

Non-Operating Expense
Interest expense
Foreign exchange losses

296

473

Other

104

161

Total non-operating expense

829

1,075

26,60828,316

Gain on sales of fixed assets

58

537

Gain on sales of investment securities

0

Ordinary Income
Extraordinary Gain

0Gain on transfer of business-

115

Gain on bargain purchase-48

Reversal of provision for loss on dissolution of theemployees'pension fund455

Total extraordinary gain

514

701

Extraordinary Loss
Loss on sales of fixed assets

2

22

Loss on disposal of fixed assets

199

76

Impairment loss
Loss on valuation of investment securities

2,526

-

9

-

Total extraordinary loss

2,738

99

Income before Income Taxes

24,38528,917

Income taxes (current)

7,647

6,375

Income taxes (deferred)

439

203

8,086

6,579

16,29822,338

Profit attributable to non-controlling interests

16

24

Net Income attributable to Owners of Parent

16,281

22,313

Total income taxes
Net Income

9

HORIBA, Ltd. (Consolidated)

(Consolidated Statements of Comprehensive Income)Amount: millions of yen
FY2018(For the year ended
December 31, 2018)

FY2017(For the year ended
December 31, 2017)
Net Income

16,29822,338

1,708(1,848)Other Comprehensive Income
Net unrealized holding gains or losses on securities
Deferred gains or losses on hedges-(2)

Foreign currency translation adjustments

3,452(3,989)Remeasurements of defined benefit plans

130

(133)

Total other comprehensive income
Comprehensive Income

5,291(5,973)

21,58916,364

21,57016,34819

16(Breakdown of comprehensive income)Comprehensive income attributable to owners of parent
Comprehensive income attributable to non-controlling interests

10

HORIBA, Ltd. (Consolidated)

(3)Consolidated Statements of Changes in Net Assets
FY2017 (For the year ended December 31, 2017)
Amount: Millions of yen
Shareholders' Equity
Common stock
Beginning balance

Capital surplus
12,011Retained earnings
18,717

Treasury stock

103,104

Total Shareholders' Equity(1,588)132,244

Changes during the period
Dividend from earnings(4,003)(4,003)Net Income attributable to
Owners of Parent

16,281

16,281
(0)

(0)

(37)

99

62

12,24099

12,340115,345(1,488)144,585

Purchase of treasury stock
Disposal of treasury stock
OthersTotal changes during the period-Ending balance-

12,011

18,717

Accumulated Other Comprehensive Income
Net unrealized holding
Foreign currency
Remeasurements ofgains or losses ontranslation adjustments defined benefit planssecurities
Beginning balance

2,928(2,297)(221)

Total Accumulated
Other
Comprehensive
IncomeSubscription
Rights to Shares

409

466

Non-controlling
Interests

Total Net Assets

71

133,191

Changes during the period
Dividend from earnings(4,003)Net Income attributable to
Owners of Parent

16,281

Purchase of treasury stock(0)

Disposal of treasury stock

62

Others

1,708

3,449

130

5,288

26

19

5,334

Total changes during the period

1,708

3,449

130

5,288

26

19

17,674Ending balance

4,636

1,151

(90)

5,697

492

90

150,866

11

HORIBA, Ltd. (Consolidated)

FY2018 (For the year ended December 31, 2018)
Amount: Millions of yen
Shareholders' Equity
Common stock
Beginning balance

Capital surplus
12,011Retained earnings
18,717

Treasury stock

115,345

Total Shareholders' Equity(1,488)144,585

Changes during the period
Dividend from earnings(5,311)(5,311)Net Income attributable to
Owners of Parent

22,31322,313
(0)

(0)

(17)

61

43

16,98460

17,045

132,329(1,428)

161,630

Purchase of treasury stock
Disposal of treasury stock
OthersTotal changes during the period-Ending balance-

12,011

18,717

Accumulated Other Comprehensive Income
Net unrealized
holding gains orlosses on
securities
Beginning balance

4,636

Deferred gains orlosses on hedges-

Foreign currencytranslation
adjustments

Remeasurementsof defined benefit
plans

1,151

(90)

Subscription
Total Accumulated
Rights to Shares
Other
Comprehensive
Income(5,697)492

Non-controlling
Interests

Total Net Assets

90

150,866

Changes during the period
Dividend from earnings(5,311)Net Income attributable to
Owners of Parent

22,313Purchase of treasury stock(0)

Disposal of treasury stock

43

Others(1,848)(2)(3,980)(133)(5,965)56

16(5,892)

Total changes during the period(1,848)(2)(3,980)(133)(5,965)56

16

11,152Ending balance

2,788

(2)

(2,829)

(224)

(267)

549

106

162,018

12

HORIBA, Ltd. (Consolidated)

(4) Consolidated Statements of Cash FlowsFY2017(For the year ended
December 31, 2017)
Cash Flows from Operating Activities:
Income before income taxes
Depreciation expense
Loss on impairment of fixed assets
Amortization of goodwill
Increase (decrease) in allowance for doubtful accounts
Increase (decrease) in net defined benefit liability
Increase (decrease) in provision for loss on dissolution of the employees'
pension fundInterest and dividend income
Interest expense
Foreign exchange losses (gains)
Loss (gain) on sales of fixed assets
Loss on disposal of fixed assets
Loss (gain) on valuation of investment securities
Loss (gain) on sales of investment securities
Decrease (increase) in trade notes and accounts receivable
Decrease (increase) in inventories
Increase (decrease) in trade notes and accounts payable
Other, net
SubtotalInterest and dividends received
Interest paid
Income taxes (paid) refund
Net Cash Provided by (used in) Operating Activities

Amount: millions of yen
FY2018(For the year ended
December 31, 2018)

24,385
7,387
2,526
146
(75)
(190)

28,917
7,120
120
(69)
(83)

(607)

-

(280)
428
79
(56)
199
9
(0)
(4,514)(3,633)2,588
3,601
31,996279(466)(3,521)28,287

(323)
440
167
(514)
76
(0)
(862)
(10,368)
(596)
4,976
29,001305(439)(9,331)
19,536

Cash Flows from Investing Activities:
Increase in time deposits
Decrease in time deposits
Decrease in time deposits restricted for use
Payments for purchase of marketable securities
Proceeds from sales or redemption of marketable securities
Payments for purchase of property, plant and equipment
Proceeds from sales of property, plant and equipment
Payments for purchase of intangibles
Payments for purchase of investment securities
Proceeds from sales or redemption of investment securities
Payments of loans receivableCollection of loans receivable
Other, net
Net Cash Provided by (used in) Investing Activities(1,197)1,395
32(1,901)
701(11,664)
266
(354)
(22)
3
(60)
25
(393)
(13,167)(1,403)1,202
32(2,200)1,701(9,667)
1,420
(611)
(24)
0
(51)
35
(1,465)(11,029)

Cash Flows from Financing Activities:
Net increase (decrease) in short-term borrowings
Repayments of long-term debt
Repayments on finance lease obligations
Net decrease (increase) of treasury stock
Cash dividends paid
Net Cash Provided by (used in) Financing Activities
Effect of Exchange Rate Changes on Cash and Cash Equivalents
Net Increase (Decrease) in Cash and Cash Equivalents
Cash and Cash Equivalents at Beginning of Period
Cash and Cash Equivalents at End of Period(3,839)(1,039)(163)(0)(4,002)(9,044)317
6,393
51,94058,333

2,792
(541)
(181)
(0)
(5,309)(3,240)(762)
4,503
58,33362,837

13

HORIBA, Ltd. (Consolidated)4. Supplemental Information
HORIBA, Ltd. Financial Highlights for the Year Ended December 31, 2018
1. Consolidated Financial Results

Amount: millions of yen

12/2017
Result12/2018
ResultFull year

Full year

Net Sales

195,399

210,570 +15,170

Operating Income

26,834

28,838+2,004

13.7%

13.7%

-0.0P

26,60828,316+1,707

Ordinary Income Ratio

13.6%

13.4%

-0.2P

Net Income attributableto Owners of Parent

16,281

22,313+6,031Net Income Ratio

8.3%

10.6%

US$

112.16

Euro

126.70Operating Income Ratio

Ordinary Income

Changes

12/2019
Forecast

Changes

Full year

Amount

1st half

Amount+7.8%

218,000+7,42996,000-3,966+7.5%

29,000+161

10,500-3,557

13.3%

-0.4P

10.9%

-3.2P

28,500+183

10,300-3,431

13.1%

-0.3P

10.7%

-3.0P

20,000-2,3137,000-3,503

+2.3P

9.2%

-1.4P

7.3%

-3.2P

110.44-1.72

110.00-0.44

110.00+1.33

130.35+3.65

125.00-5.35

125.00-6.55

ChangesAmount

Ratio

+6.4%

+37.0%

12/2019
Forecast

2. Consolidated Segment Results
Net Sales

Amount: millions of yen

12/2017
Result12/2018
ResultFull year

Full year

ChangesAmountRatio

12/2019
Forecast

Changes

12/2019
Forecast

Changes

Full year

Amount

1st half

AmountAutomotive

73,36079,656+6,296+8.6%

85,000+5,34336,000+3,294

Process&Environmental

17,43319,361+1,927+11.1%

20,000+638

10,000+751

Medical25,18726,012

+825

+3.3%

28,000+1,987

14,000+865

Semiconductor

53,30057,785+4,485+8.4%

55,000-2,78523,000-9,343

Scientific26,11727,754+1,637+6.3%

30,000+2,24513,000

+464

Total

195,399

210,570 +15,170+7.8%

218,000+7,42996,000-3,966

12/2017
Result12/2018
Result12/2019
Forecast

Changes

12/2019
Forecast

Changes

Operating Income

Full year

Full year

Full year

Amount

1st half

AmountChangesAmount

Ratio

Automotive

7,680

7,702

+21

+0.3%

9,000

+1,297

3,000

+510

Process&Environmental

1,094

2,027

+933

+85.3%

2,000

-27

1,000

+131

Medical

1,918

1,823

-94

-4.9%

2,000

+176

1,000

-4

Semiconductor

15,642

17,063+1,421+9.1%

15,000-2,0635,500-4,740Scientific

498

221

-277

-55.6%

1,000

+778

-

+545

Total

26,834

28,838+2,004+7.5%

29,000+161

10,500-3,557

14

HORIBA, Ltd. (Consolidated)3. Consolidated Segment Sales by Destination

Amount: millions of yen

12/2017
Result12/2018
Result12/2019
Forecast

Changes

12/2019
Forecast

Changes

Full year

Full year

AmountRatio

Full year

Amount

1st half

Amount73,36079,656+6,296+8.6%

85,000+5,34336,000+3,295

Japan

24,561

23,075-1,485-6.0%

23,000-75

13,500+1,623

Asia

16,20921,672+5,463+33.7%

23,500+1,827

8,000

+485

Americas10,431

11,191

+760

+7.3%

10,500

-691

4,000

-267

Europe22,15823,716+1,558+7.0%

28,000+4,283

10,500+1,452

Process&Environmental

17,43319,361+1,927+11.1%

20,000+638

10,000

+751

Japan

9,387

9,538

+151

+1.6%

10,000

+461

5,000

+262

Asia

3,792

4,616

+823

+21.7%

4,500

-116

2,500

+396

Americas

2,058

2,677

+618

+30.1%

3,000

+322

1,500

+212

Europe

2,194

2,528

+333

+15.2%

2,500

-28

1,000

-119

25,18726,012

+825

+3.3%

28,000+1,987

14,000

+865

Japan

5,700

5,889

+188

+3.3%

7,000

+1,110

3,000

-150

Asia

4,891

5,607

+715

+14.6%

6,000

+392

3,000

+275

Americas

5,510

5,341

-169

-3.1%

5,500

+158

3,000

+311

Europe

9,084

9,174

+90

+1.0%

9,500

+325

5,000

+428

53,30057,785+4,485+8.4%

55,000-2,78523,000-9,343

Japan

18,95520,208+1,252+6.6%

20,000

-208

9,000

-1,531

Asia

24,786

26,788+2,001+8.1%

25,000-1,7889,500-6,527

Americas

6,896

6,956

+59

+0.9%

6,500

-456

3,000

-918

Europe

2,661

3,833

+1,171+44.0%

3,500

-333

1,500

-365

26,11727,754+1,637+6.3%

30,000+2,24513,000

+464

Japan

6,471

7,275

+803

+12.4%

8,000

+724

4,000

+454

Asia

7,312

7,609

+296

+4.1%

8,000

+390

3,000

+98

Americas

7,244

7,117

-127

-1.8%

8,000

+882

3,500

+173

Europe

5,088

5,753

+664

+13.1%

6,000

+246

2,500

-261

210,570 +15,170+7.8%

218,000+7,42996,000-3,966

Automotive

Medical

Semiconductor

ScientificTotal

195,399

ChangesJapan

65,07565,986

+910

+1.4%

68,000+2,01334,500+658

Asia

56,993

66,293+9,299+16.3%

67,000+706

26,000-5,270Americas32,14233,283+1,141+3.5%

33,500+216

15,000-488

Europe41,18745,006+3,819+9.3%

49,500+4,49320,500+1,133

15

HORIBA, Ltd. (Consolidated)5. Consolidated Financial Results (Quarterly Comparison)
1Q

Net Sales
Operating Income
Operating Income Ratio

Ordinary Income

12/2017 Result
2Q
3Q

Amount: millions of yen
4Q

1Q

12/2018 Result
2Q
3Q

4Q

45,6686,185

41,6603,516

44,961
4,911

63,10912,221

52,696
9,199

47,2704,857

46,0633,819

64,53910,961

13.5%

8.4%

10.9%

19.4%

17.5%

10.3%

8.3%

17.0%

6,041

3,528

4,780

12,258

8,968

4,763

3,786

10,798

Ordinary Income Ratio

13.2%

8.5%

10.6%

19.4%

17.0%

10.1%

8.2%

16.7%

Net Income attributableto Owners of Parent

3,778

2,681

4,325

5,496

6,114

4,388

2,970

8,840

Net Income Ratio

8.3%

6.4%

9.6%

8.7%

11.6%

9.3%

6.4%

13.7%

US$
Euro

113.60121.05111.08122.27110.99130.42112.97133.06108.22133.14109.12129.96111.46129.51112.96
128.79

6. Consolidated Segment Results (Quarterly Comparison)
Net Sales

Automotive
Process&Environmental

Medical
Semiconductor
Scientific
Total
Operating Income

Automotive
Process&Environmental

Medical
Semiconductor
Scientific
Total

1Q

17,317
4,194
6,049
12,261
5,845
45,668

12/2017 Result
2Q
3Q

13,3093,884
6,299
12,497
5,668
41,66014,736
3,955
6,170
13,837
6,260
44,961

1Q

12/2017 Result
2Q
3Q

2,103
173
469
3,499
(61)
6,185

65
147
383
3,299
(379)
3,516

114
100
383
4,364
(51)
4,911

4Q

1Q

27,996
5,398
6,666
14,703
8,343
63,10918,097
4,941
6,637
16,4686,551
52,696

4Q

1Q

12/2018 Result
2Q
3Q

2,610
681
552
5,453
(97)
9,199

(120)
187
452
4,786
(448)
4,857

Amount: millions of yen
12/2018 Result
2Q
3Q
4Q

5,396
672
682
4,479
991
12,221

7. Consolidated Orders and Backlog Information (Quarterly Comparison)
OrdersAutomotive
Process&Environmental

Medical
Semiconductor
Scientific
Total
Backlog

Automotive
Process&Environmental

Medical
Semiconductor
Scientific
Total

1Q

17,338
3,741
6,669
14,461
5,153
47,365

1Q

48,959
3,870
4,046
8,079
8,326
73,282

12/2017 Result
2Q
3Q

19,5894,505
6,284
12,755
6,023
49,15822,284
5,013
6,077
13,136
7,545
54,058

12/2017 Result
2Q
3Q

55,239
4,491
4,031
8,337
8,681
80,78162,787
5,549
3,938
7,636
9,966
89,878Amount: millions of yen
12/2018 Result
2Q
3Q
4Q

4Q

1Q

23,085
4,954
6,870
17,772
8,516
61,19918,8904,366
7,203
19,0486,540
56,0494Q

1Q

57,876
5,105
4,141
10,705
10,13987,96858,6694,530
4,707
13,285
10,12891,321

14,607
4,306
6,497
15,875
5,983
47,27022,952
4,775
6,095
12,4505,938
52,212

15,6404,250
6,106
13,0587,008
46,063

(745)
314
308
3,812
131
3,819

22,0174,856
6,208
11,044
7,635
51,76231,3105,861
6,771
12,384
8,210
64,539

4Q

5,958
844
511
3,011
635
10,961

20,842
5,756
6,302
11,532
7,157
51,59012/2018 Result
2Q
3Q

67,014
4,998
4,305
9,861
10,083
96,26373,391
5,604
4,408
7,847
10,709101,962

4Q

64,690
5,498
3,939
6,995
9,656
90,780

Contact
Investor Relations, Corporate Control Dept, General Administration Division, HORIBA, Ltd.
2, Miyanohigashi-cho, Kisshoin, Minami-ku, Kyoto 601-8510, Japan
E-mail: ir-info@horiba.com

16

HORIBA, Ltd. (Consolidated)