Consolidated Financial Results
for the Fiscal Year Ended March 31, 2017
[Japanese GAAP]May 12, 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 Annual General Meeting of Shareholders: June 29, 2017
Scheduled date of commencing dividend payments: June 30, 2017
Scheduled date of filing annual securities report: June 29, 2017
Preparation of supplementary briefing material on financial results: No
Holding of financial results briefing session: No(Amounts of less than one million yen are rounded down.)
1. Consolidated Financial Results for the Fiscal Year Ended March 31, 2017 (April 1, 2016 to March 31, 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%

Fiscal year ended
32,072
1,498 (20.9)
1,958 (15.8)(5.0)
March 31, 2017
Fiscal year ended
33,7501,894 (12.0)
2,326 (44.3)(6.3)
March 31, 2016
(Note) Comprehensive income: Fiscal year ended March 31, 2017: ¥2,099 million [138.1%]
Fiscal year ended March 31, 2016: ¥881 million [-72.4%]
Earnings per
share

Diluted earnings
per share

Yen

Fiscal year ended
54.54
March 31, 2017
Fiscal year ended
69.89
March 31, 2016
(Reference) Share of income (loss) of associates:(2) Consolidated Financial Position
Total assets
Million yen

Million yen

%

1,383

(23.2)

1,802(49.7)

Ordinary
incometo total assets

Return on
equityOperatingincome toturnover

Yen

%

%

%

―

4.8

4.3

4.7

―

6.5

5.2

5.6

Fiscal year ended March 31, 2017: ¥371 million
Fiscal year ended March 31, 2016: ¥431 million
Net assets
Million yen

As of March 31,
47,501
29,5582017
As of March 31,
43,85728,0732016(Reference) Equity: As of March 31, 2017: ¥29,353 million
As of March 31, 2016: ¥27,884 million

Equity ratio

Net assets per share
%

Yen

61.8

1,166.30

63.6

1,095.70

(3) Consolidated Cash FlowsNet cash provided by Net cash provided by Net cash provided by(used in) operating(used in) investing(used in) financing
activities
activities
activities
Fiscal year ended
March 31, 2017
Fiscal year ended
March 31, 2016

Cash and cash
equivalents at end of
periodMillion yen

Million yen

Million yen

Million yen

1,855

(699)

(607)

8,836

2,568

(628)

(1,148)8,287

2. Dividends
Annual dividends
1st
2nd
3rd
Year-endquarter-end quarter-end quarter-end
Fiscal year ended
March 31, 2016
Fiscal year ended
March 31, 2017
Fiscal year ending
March 31, 2018
(Forecast)Total
dividends

Total

Yen

Yen

Yen

Yen

―

―

―

16.00

16.00

―

―

―

16.00

16.00

―

―

―

16.00

16.00

Payoutratio(consolidated)

Yen Million yen

Dividends
to netassets(consolidated)

%

%

419

22.9

1.5

415

29.3

1.4

25.2

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
First half
Full year

Million yen%

Million yen%

Million yen%

Million yen%

Yen

16,00035,000

7.6
9.1

600
1,800

2.3
20.1

850
2,200

2.8
12.3

600
1,600

2.5
15.6

23.84
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) Changes in accounting policies, changes in accounting estimates and retrospective restatement
1) Changes in accounting policies due to the revision of accounting standards, etc.: Yes
2) Changes in accounting policies other than 1) above: No
3) Changes in accounting estimates: No4) Retrospective restatement: No(Note) For details, please refer to “3. Consolidated Financial Statements (5) Notes to the Consolidated
Financial Statements (Changes in accounting policies)” on page 13 of the attachment.
(3) Total number of issued shares (common stock)1) Total number of issued shares at the end of the period (including treasury shares)
As of March 31, 2017: 29,347,500 shares
As of March 31, 2016: 29,347,500 shares

2) Total number of treasury shares at the end of the period
As of March 31, 2017: 4,179,180 shares
As of March 31, 2016: 3,898,940 shares
3) Average number of shares during the period
Fiscal year ended March 31, 2017: 25,368,851 sharesFiscal year ended March 31, 2016: 25,783,634 shares(Reference) Summary of Non-consolidated Financial Results
Non-consolidated Financial Results for the Fiscal Year Ended March 31, 2017 (April 1, 2016 to March 31, 2017)(1) Non-consolidated Operating Results(% indicates changes from the previous corresponding period.)
TurnoverOperating income
Ordinary income
Net income
Fiscal year ended
March 31, 2017
Fiscal year ended
March 31, 2016

Fiscal year ended
March 31, 2017
Fiscal year ended
March 31, 2016

Million yen%

Million yen%

Million yen%

Million yen%

30,490

(3.9)

1,481

(19.4)

2,153

(8.1)

1,643

(8.8)

31,743

(2.0)

1,837

7.2

2,343

4.9

1,802

3.4

Earnings per share

Diluted earnings per
share

Yen

Yen

62.83

―

67.84

―

(2) Non-consolidated Financial Position
Total assets
Million yen

Net assets
Million yen

As of March 31,
39,66323,4512017
As of March 31,
36,10321,9292016(Reference) Equity: As of March 31, 2017: ¥23,451 million
As of March 31, 2016: ¥21,929 million

Equity ratio

Net assets per share
%

Yen

59.1

903.4460.7

835.77* The consolidated financial results are not subject to auditing.
* 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. Overview of Operating Results (4)Future Outlook” on page 3 of the attachment.

NIPPON HUME CORPORATION (5262), Consolidated Financial Results for the Fiscal Year Ended March 31, 2017

Table of Contents
1. Overview of Operating Results ...................................................................................................................... 2(1) Overview of Operating Results for the Fiscal year under Review ............................................................. 2(2) Overview of Financial Position in the Fiscal Year under Review .............................................................. 3(3) Overview of Cash Flows in the Fiscal Year under Review ........................................................................ 3(4) Future Outlook ........................................................................................................................................... 3
2. Basic Approach to Selection of Accounting Standards .................................................................................. 4
3. Consolidated Financial Statements ................................................................................................................. 5(1) Consolidated Balance Sheets ..................................................................................................................... 5(2) Consolidated Statements of Income and Comprehensive Income ............................................................. 7(3) Consolidated Statements of Changes in Net Assets ................................................................................... 9(4) Consolidated Statements of Cash Flows .................................................................................................. 11(5) Notes to the Consolidated Financial Statements ...................................................................................... 13(Notes on going concern assumption) ...................................................................................................... 13(Changes in accounting policies) ............................................................................................................. 13(Segment information, etc.) ..................................................................................................................... 13(Per share information) ............................................................................................................................ 16(Significant subsequent events) ................................................................................................................ 16
4. Non-consolidated Financial Statements ....................................................................................................... 17(1) Non-consolidated Balance Sheets ............................................................................................................ 17(2) Non-consolidated Statements of Income .................................................................................................. 19(3) Non-consolidated Statements of Changes in Net Assets .......................................................................... 20

1

NIPPON HUME CORPORATION (5262), Consolidated Financial Results for the Fiscal Year Ended March 31, 2017

1. Overview of Operating Results(1) Overview of Operating Results for the Fiscal year under Review
In the consolidated fiscal year under review, the Japanese economy stayed on a modest recovery trend.
Nonetheless, despite domestic capital expenditure showing signs of recovery, due to growing uncertainties
about overseas economies, including the economic prospects particularly for emerging Asian nations, including
China, and the issue of the United Kingdom’s withdrawal from the European Union, the future prospects for the
economy remained uncertain.
In the concrete products industry in which the Company operates, there were expectations of a recovery indemand arising from an expansion in domestic capital expenditure, but demand for both Hume pipes and pile
products remained below the levels of the previous fiscal year.
Under these circumstances, by striving to enter segment products businesses in which future demand growthis anticipated and to develop high value-added products, and also by working to reduce costs, the Grouppursued stable profits and sustainable growth, which are the key objectives of the basic policy in “Evolution All
Japan,” the medium-term management plan that began in the 2015 fiscal year.
Furthermore, at the Board of Directors Meeting that was held on August 25, 2016, to improve the Group’s
capital efficiency and make a greater return of profits to shareholders, the Company resolved to purchasetreasury stock, and it later purchased a total of 190 million yen in such stock.
In the fiscal year ended March 31, 2017, orders received for products and construction, etc., were ¥30,722
million (down 2.5% year on year), and turnover , including revenue from products, construction, and real estate,
was ¥32,072 million (down 5.0% year on year).
As for profit and loss, with the Group focusing on research and development in the fiscal year under review
as well, operating income was ¥1,498 million (down 20.9% year on year); ordinary income was ¥1,958 million(down 15.8% year on year), mainly because of equity in earnings of affiliates, dividend income, and foreignexchange; and profit attributable to owners of parent was ¥1,383 million (down 23.2% year on year).
Segment results are indicated as follows.
1) Concrete Products
Orders received were ¥16,804 million (down 9.7% year on year). In addition, turnover was ¥16,859 million(down 15.5% year on year), mainly because sales of Hume pipes and precast products decreased and pricecompetition for pile products intensified. Finally, segment income was ¥482 million (down 36.6% year onyear).
The total sales composition ratio was 52.6%.
2) Construction
Orders received were ¥13,719 million (up 7.9% year on year). In addition, due to increases in sales of pilingwork and sewage line-related work, turnover was ¥13,644 million (up 11.7% year on year). Finally, segment
income was ¥458 million (down 15.5% year on year), mainly because price competition in pile work
intensified.
The total sales composition ratio was 42.5%.
3) Real Estate Development
Turnover was roughly on par with that in the previous fiscal year, increasing 0.2% year on year to ¥977
million. Segment income, meanwhile, decreased 4.1% year on year to ¥410 million, mainly because renovation
work was conducted on real estate property for rent.
The total sales composition ratio was 3.0%.
4) Others
Orders received increased 0.9% year on year to ¥198 million, but turnover decreased 2.3% year on year to2

NIPPON HUME CORPORATION (5262), Consolidated Financial Results for the Fiscal Year Ended March 31, 2017¥590 million, and segment income fell 9.1% year on year to ¥148 million.
The total sales composition ratio was 1.9%.

(2) Overview of Financial Position in the Fiscal Year under Review(Assets)
Total assets as of March 31, 2017, had increased ¥3,644 million from the end of the previous fiscal
year, reaching ¥47,501 million. Current assets increased ¥2,832 million from the end of the previous fiscal
year, reaching ¥25,382 million. This is mainly due to an increase of ¥1,903 million in notes and accounts
receivable – trade and an increase of 446 million in merchandise and finished goods. Non-current assets
increased ¥811 million from the end of the previous fiscal year to ¥22,118 million. This is mainly because,
while property, plant and equipment decreased ¥171 million as a result of depreciation, investment
securities increased ¥991 million in line with rising stock prices for the Company’s stock holdings.
In addition, under liabilities, total liabilities increased ¥2,159 million from the end of the previous
fiscal year to ¥17,942 million. Current liabilities increased ¥1,918 million from the end of the previous
fiscal year, reaching ¥14,111 million. This is mainly because notes and accounts payable – trade increased¥1,735 million. Non-current liabilities increased ¥240 million from the end of the previous fiscal year to¥3,831 million. This is mainly because deferred tax liabilities related to valuation difference on availablefor-sale securities increased ¥199 million.
Under net assets, total net assets increased ¥1,485 million to ¥29,558 million. This is mainly because,
in retained earnings, while profit attributable to owners of parent increased ¥1,383 million, there was adecrease of ¥419 million for cash dividends paid, and valuation difference on available-for-sale securities
increased ¥515 million.
(3) Overview of Cash Flows in the Fiscal Year under Review
Cash and cash equivalents (hereinafter, “funds,” referring to cash and deposits minus time deposits withdeposit terms of over three months) as of March 31, 2017, grew ¥549 million from the end of the previous
fiscal year to ¥8,836 million.
(Cash flows from operating activities)
Funds provided by operating activities during the fiscal year ended March 31, 2017, declined by ¥712
million year on year to ¥1,855 million. The primary factors included a ¥1,978 million increase in profit before
income taxes and minority interests, a ¥1,909 million increase in notes and accounts receivable – trade and a¥1,886 million increase in notes and accounts payable - trade.
(Cash flows from investing activities)
Funds used in investing activities during the fiscal year ended March 31, 2017, increased by ¥71 million
year on year to ¥699 million. The primary factors included a ¥657 million outflow due to the purchase of fixed
assets, including manufacturing equipment.
(Cash flows from financing activities)
Funds used in financing activities during the fiscal year ended March 31, 2017, declined by ¥541 million
year on year to ¥607 million. The primary factors included ¥419 million in cash dividend payments and an
outflow of ¥194 million due to the purchase of treasury shares.

(4) Future Outlook
Challenging conditions are expected to persist in the business environment surrounding the Company as we
continue to face fierce competition on orders and prices, among other factors. However, we believe that ourconcrete precast products and construction technologies enable us to offer optimal solutions to problems in thedomestic construction market, such as labor shortages, as well as for the creation of a safe and secure social
infrastructure. We will actively tackle these issues in line with the basic strategy set out in our medium-term
3

NIPPON HUME CORPORATION (5262), Consolidated Financial Results for the Fiscal Year Ended March 31, 2017

management plan, “Evolution All Japan.”With regard to our financial results for the fiscal year ending March 31, 2018, the Company expects aturnover of ¥35,000 million, operating income of ¥1,800 million, ordinary income of ¥2,200 million, and profit
attributable to owners of parent of ¥1,600 million.

2. Basic Approach Concerning Selection of Accounting Standards
The Group’s policy is to prepare its consolidated financial statements based on Japanese-GAAP for the time
being, considering comparability with other companies in the same industry in Japan.
Our policy for the future is to review the application of International Accounting Standards in light offactors including application trends by companies Japan.

4

NIPPON HUME CORPORATION (5262), Consolidated Financial Results for the Fiscal Year Ended March 31, 2017

3. Consolidated Financial Statements(1) Consolidated Balance Sheets(Thousand yen)
As of March 31, 2016
AssetsCurrent assets
Cash and deposits
Notes and accounts receivable - trade
Merchandise and finished goods
Raw materials and supplies
Deferred tax assets
Other
Provision for doubtful accounts
Total current assets
Non-current assets
Property, plant and equipment
Buildings and structures
Accumulated depreciation
Buildings and structures, net
Machinery, equipment and vehicles
Accumulated depreciation
Machinery, equipment and vehicles, net
LandConstruction in progress
Other
Accumulated depreciation
Other, net
Total property, plant and equipment
Intangible assets
Other
Total intangible assets
Investments and other assets
Investment securities
Long-term accounts receivable - other
Deferred tax assets
Other
Provision for doubtful accounts
Total investments and other assets
Total non-current assets
Total assets

5

As of March 31, 2017

8,343,375
11,807,820
1,579,806
411,776
76,552
344,707(13,903)
22,550,135

8,892,925
13,711,307
2,026,699
476,714103,102
186,557(14,662)
25,382,645

11,678,504(8,579,721)
3,098,782
14,411,651(12,418,260)
1,993,390
3,697,405
302,748
678,964(611,701)
67,262
9,159,590

11,882,764(8,786,142)
3,096,622
14,849,178(12,789,991)
2,059,187
3,692,743
54,397712,192(627,276)
84,916
8,987,867

141,008
141,008

137,543
137,543

11,759,521
243,134
6,406
277,642(280,165)
12,006,540
21,307,138
43,857,273

12,750,556
193,108
6,276
272,887(229,530)
12,993,299
22,118,709
47,501,354

NIPPON HUME CORPORATION (5262), Consolidated Financial Results for the Fiscal Year Ended March 31, 2017

(Thousand yen)
As of March 31, 2016
Liabilities
Current liabilities
Notes and accounts payable - trade
Short-term loans
Income taxes payable
Provision for bonuses
Provision for loss on construction contracts
Provision for environmental measures
Other
Total current liabilities
Non-current liabilities
Deferred tax liabilities
Provision for directors’ retirement benefits
Provision for environmental measures
Net defined benefit liability
Long-term lease and guarantee deposited
Other
Total non-current liabilities
Total liabilities
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

6

As of March 31, 2017

9,612,889
1,214,430
181,150
187,230―
1,334
996,282
12,193,318

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

363,487
36,017
21,584
2,547,786
620,236
1,098
3,590,210
15,783,528

562,518
36,017
17,0142,612,372
599,580
3,681
3,831,184
17,942,569

5,251,400
4,736,508
19,309,786(1,317,293)
27,980,401

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

241,061
77,730(415,129)(96,337)
189,681
28,073,745
43,857,273

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

NIPPON HUME CORPORATION (5262), Consolidated Financial Results for the Fiscal Year Ended March 31, 2017(2) Consolidated Statements of Income and Comprehensive Income
Consolidated Statements of Income(Thousand yen)
For the fiscal year ended
March 31, 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
Technical support fee
OtherTotal non-operating income
Non-operating expenses
Interest expenses
Foreign exchange losses
Other
Total non-operating expenses
Ordinary income
Extraordinary income
Gain on sales of fixed assets
State subsidy
Insurance income
Total extraordinary income
Extraordinary losses
Loss on disposal of fixed assets
Structural reform expenses
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

7

For the fiscal year ended
March 31, 201733,750,621
27,950,357
5,800,264
3,906,184
1,894,080

32,072,030
26,609,258
5,462,772
3,963,819
1,498,952

971
82,445431,027
81,04785,427680,920352
92,612
371,772
84,29978,480627,51730,642
181,234
36,952
248,829
2,326,170

23,398112,694
31,653
167,747
1,958,722

5,381
66,179―71,560383
1,424
18,12819,9362,680
86,22488,9042,308,826
509,322(16,624)492,698
1,816,128
14,044
1,802,083

0－01,978,659
650,295(70,424)
579,870
1,398,788
15,256
1,383,531

NIPPON HUME CORPORATION (5262), Consolidated Financial Results for the Fiscal Year Ended March 31, 2017

Consolidated Statements of Comprehensive Income(Thousand yen)
For the fiscal year ended
March 31, 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

8

For the fiscal year ended
March 31, 2017

1,816,128

1,398,788(637,178)
62,297(267,879)(91,650)(934,411)
881,717492,782
142,577
57,2928,251
700,9032,099,692

867,672

2,084,435

14,044

15,256NIPPON HUME CORPORATION (5262), Consolidated Financial Results for the Fiscal Year Ended March 31, 2017(3) Consolidated Statements of Changes in Net Assets
For the fiscal year ended March 31, 2016
(Thousand yen)
Shareholders’ equity
Share capital
Balance at beginning of current
periodCumulative effects of changes
in accounting policies
Restated balance

Share premium

5,251,400

Retained earnings

4,739,426

Treasury shares

17,955,480

Total shareholders’ equity(912,998)(45,184)
5,251,400

4,739,426

27,033,308(45,184)

17,910,296(912,998)

26,988,124

Changes of items during period
Dividends of surplus(402,594)(402,594)

Profit attributable to owners ofparent company

1,802,083

1,802,083

Purchase of treasury shares
Disposal of treasury shares

52

Increase of treasury shares ofassociate company
Purchase of shares of
consolidated subsidiaries
Other changes of shareholders’equityTotal changes during current
periodBalance at end of current period(404,318)(404,318)

23

75

(0)

(0)

(2,969)5,251,400(2,969)(2,917)

1,399,489(404,295)

992,276

4,736,508

19,309,786(1,317,293)

27,980,401

Accumulated other comprehensive income

Balance at beginning of current
periodCumulative effects of changes
in accounting policies
Restated balance

Valuationdifference on
available-for-salesecurities

Difference inforeign exchange

Remeasurementsof defined benefit

Total accumulated
othercomprehensive
incomeNon-controllinginterests

Total net assets

940,031

15,434(117,392)

838,073

175,637

28,047,019(45,184)

940,031

15,434(117,392)

838,073

175,637

28,001,835

Changes of items during period
Dividends of surplus(402,594)

Profit attributable to owners ofparent company

1,802,083

Purchase of treasury shares(404,318)

Disposal of treasury shares

75

Increase of treasury shares ofassociate company(0)

Purchase of shares of
consolidated subsidiaries(2,969)Other changes of shareholders’equity(698,969)

62,295(297,737)(934,411)

14,044(920,366)

Total changes during current
period(698,969)

62,295(297,737)(934,411)

14,044

71,910

Balance at end of current period

241,061

77,730(415,129)(96,337)

189,681

28,073,745

9

NIPPON HUME CORPORATION (5262), Consolidated Financial Results for the Fiscal Year Ended March 31, 2017

For the fiscal year ended March 31, 2017
(Thousand yen)
Shareholders’ equity
Share capital
Balance at beginning of current
periodCumulative effects of changes
in accounting policies
Restated balance

Share premium

Retained earnings

Treasury shares

Total shareholders’ equity

5,251,400

4,736,508

19,309,786(1,317,293)

27,980,401

5,251,400

4,736,508

19,309,786(1,317,293)

27,980,401

Changes of items during period
Dividends of surplus(419,820)(419,820)

Profit attributable to owners ofparent company

1,383,531

1,383,531

Purchase of treasury shares(194,159)(194,159)

(0)

(0)

Disposal of treasury shares
Increase of treasury shares ofassociate company
Purchase of shares of
consolidated subsidiaries
Change of scope of equity
methodOther changes of shareholders’equityTotal changes during current
periodBalance at end of current period(671)

5,251,400

4,736,508(671)

963,039(194,159)

768,879

20,272,825(1,511,453)

28,749,280

Accumulated other comprehensive income

Balance at beginning of current
periodCumulative effects of changes
in accounting policies
Restated balance

Valuationdifference on
available-for-salesecurities

Difference inforeign exchange

Remeasurementsof defined benefit

Total accumulated
othercomprehensive
incomeNon-controllinginterests

Total net assets

241,061

77,730(415,129)(96,337)

189,681

28,073,745

241,061

77,730(415,129)(96,337)

189,681

28,073,745

Changes of items during period
Dividends of surplus(419,820)

Profit attributable to owners ofparent company

1,383,531

Purchase of treasury shares(194,159)

Disposal of treasury shares
Increase of treasury shares ofassociate company(0)

Purchase of shares of
consolidated subsidiaries
Change of scope of equity
methodOther changes of shareholders’equity(671)
515,032

142,577

43,293700,903

15,256716,160

Total changes during current
period515,032

142,577

43,293700,903

15,256

1,485,040

Balance at end of current period

756,093

220,308(371,835)

604,565

204,938

29,558,785

10

NIPPON HUME CORPORATION (5262), Consolidated Financial Results for the Fiscal Year Ended March 31, 2017(4) Consolidated Statements of Cash Flows(Thousand yen)
For the fiscal year ended
March 31, 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 directors’
retirement benefits
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

11

For the fiscal year ended
March 31, 2017

2,308,826
699,884(51,589)(5,052)
168,413

1,978,659
689,322(49,671)(1,672)135,020(14,750)――

30,223―(5,904)(83,417)30,642
12,736(431,027)(5,381)
2,680(66,179)―(92,964)
23,398145,478(371,772)(383)
0(1,424)(18,128)

1,156,940(1,909,852)

750,408
68,511(513,974)
156,669(1,414,112)

1,886,944

273,210(314,300)(3,590)3,082,854
286,247(31,277)―(768,981)
2,568,843(222,581)
81,466(18,088)
1,920,764
295,895(23,482)
18,128(355,396)
1,855,909

NIPPON HUME CORPORATION (5262), Consolidated Financial Results for the Fiscal Year Ended March 31, 2017

(Thousand yen)
For the fiscal year ended
March 31, 2016
Cash flows from investing activities
Payments into time deposits
Purchase of fixed assets
Proceeds from sales of fixed assets
Payments for disposal of fixed assets
Proceeds from state subsidy
Purchase of shares of associated companies
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
Proceeds from sales of treasury shares
Payments from changes in ownership interests in
subsidiaries that do not result in change in scope of
consolidation
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

12

For the fiscal year ended
March 31, 2017

(2,923)(717,719)
6,154(37,726)
66,179―58,000(628,036)(423)(657,941)
2,508
―
1,424
(99,777)
54,589(699,620)(339,323)(404,318)
75

6,289(194,159)―(2,969)―(402,412)(1,148,948)(639)
791,219
7,496,372
8,287,591(419,757)(607,626)
465
549,126
8,287,591
8,836,718

NIPPON HUME CORPORATION (5262), Consolidated Financial Results for the Fiscal Year Ended March 31, 2017(5) Notes to the Consolidated Financial Statements(Notes on going concern assumption)
No relevant items.
(Changes in accounting policies)
Following a revision of the Corporation Tax Act, the Company has applied “Practical Solution on a Change
in Depreciation Method due to Tax Reform 2016” (ASBJ Practical Issues Task Force No. 32, June 17, 2016) to
the fiscal year ending March 31, 2017. Accordingly, the depreciation method for building-attached facilities
and structures acquired on and after April 1, 2016, was changed from the declining-balance method to thestraight-line method.
Please note that, for the fiscal year under review, the effect on the consolidated financial statements is
minimal.
(Segment information, etc.)(Segment information)
1. Description of reportable segments
The Company’s reportable segments represent units for which discrete financial information is available.
Regular reviews are also carried out by the Board of Directors for the purpose of determining the allocation ofmanagement resources and evaluating business performance.
The Company has business divisions by type of business established in the head office. Each business division
formulates comprehensive strategies for its domestic and overseas operations, thereby deploying its businessactivities.
Accordingly, the Company comprises segments by type of business, with three reportable segments, namely
Concrete Products, Construction and Real Estate Development.
The Concrete Products segment engages in manufacturing and sales of concrete products, manufacturing of
formwork, sales of accessories, etc. The Construction segment engages in the undertaking of various contracted
construction. The Real Estate Development segment engages in leasing, management and development of realestate.
2. Method for calculating turnover, income (loss), assets, liabilities and other items by reportable segment
The accounting methods for reported business segments are generally the same as those stated in “Basicsignificant matters for the preparation of consolidated financial statements.”
The reportable segment income is based on operating income. Inter-segment turnover and transfers are basedon current market prices.
Effective from the fiscal year ended March 31, 2017, in order to assess the results of each segment more
appropriately, the method of proportionally allocating selling, general and administrative expenses has beenchanged.
For segment information of the previous fiscal year, the results calculated using the method before change isdisclosed.

13

NIPPON HUME CORPORATION (5262), Consolidated Financial Results for the Fiscal Year Ended March 31, 2017

3. Information on calculating turnover, income (loss), assets, liabilities and other items by reportable segment
For the fiscal year ended March 31, 2016 (April 1, 2014 to March 31, 2015)(Thousand yen)
Reportable segment

TurnoverTurnover toexternal customers
Inter-segment
turnover ortransfers
Total
Segment income
Segment assets
Other items
Depreciation
Increase inproperty, plant andequipment andintangible assets

Others(Note 1)

Total

Amountrecorded ontheAdjustments
consolidated(Note 2)
financialstatements(Note 3)Concrete
Products

Construction

Real Estate
Development

19,957,280

12,213,038

975,885

33,146,204

604,41733,750,621―

33,750,621

13,596―42,80456,401

10,491

66,892(66,892)―

19,970,877
760,438
19,016,772

12,213,038
542,279
7,880,404

1,018,690
427,768
2,278,731

33,202,606
1,730,486
29,175,908

614,908
163,593
1,746,038

33,817,514
1,894,080
30,921,947(66,892)―
12,935,325

33,750,621
1,894,080
43,857,273

402,632

63,678100,912567,224

109,918

677,142

41,833718,975

710,135

115,416

30,479856,0311,196

857,227

10,095867,322

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 solar power
generation business.
2. Adjustments are as follows:(1) An adjustment to turnover of ¥(66,892) thousand is the elimination of inter-segment transactions.
(2) An adjustment to segment assets of ¥12,935,325 thousand is corporate assets not allocated to reportablesegments, comprising investment securities of ¥11,759,521 thousand and assets associated withadministration divisions, etc. of ¥1,175,804 thousand.
(3) The adjustment to the increase in property, plant and equipment and intangible assets of ¥10,095 thousandaccounts for capital expenditure for the head office building, etc.
3. Total segment income corresponds to operating income on the Consolidated Statements of Income.
4. Depreciation and increase in property, plant and equipment and intangible assets include long-term prepaid
expenses and the related amortization.

14

NIPPON HUME CORPORATION (5262), Consolidated Financial Results for the Fiscal Year Ended March 31, 2017

For the fiscal year ended March 31, 2017 (April 1, 2016 to March 31, 2017)(Thousand yen)
Reportable segment

TurnoverTurnover toexternal customers
Inter-segment
turnover ortransfers
Total
Segment income
Segment assets
Other items
Depreciation
Increase inproperty, plant andequipment andintangible assets

Others(Note 1)

Total

Amountrecorded ontheAdjustments
consolidated(Note 2)
financialstatements(Note 3)Concrete
Products

Construction

Real Estate
Development

16,859,590

13,644,157

977,81131,481,559

590,471

32,072,030―

32,072,030

15,304―42,652

57,956381

58,337(58,337)―

16,874,894
482,019
19,384,714

13,644,157
458,099
10,203,114

1,020,463
410,083
2,540,541

31,539,515
1,350,202
32,128,369

590,852
148,749
1,651,622

32,130,368
1,498,952
33,779,991(58,337)―
13,721,362

32,072,030
1,498,952
47,501,354

397,822

67,381

102,976

568,180

103,899

672,080

36,737

708,818

589,756

97,310132,163819,230

1,837

821,068

46,775

867,844

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 solar power
generation business.
2. Adjustments are as follows:(1) An adjustment to turnover of ¥(58,337) thousand is the elimination of inter-segment transactions.
(2) An adjustment to segment assets of ¥13,721,362 thousand is corporate assets not allocated to reportablesegments, comprising investment securities of ¥12,750,556 thousand and assets associated withadministration divisions, etc. of ¥970,805 thousand.
(3) The adjustment to the increase in property, plant and equipment and intangible assets of ¥46,775 thousandaccounts for capital expenditure for the head office building, etc.
3. Total segment income corresponds to operating income on the Consolidated Statements of Income.
4. Depreciation and increase in property, plant and equipment and intangible assets include long-term prepaid
expenses and the related amortization.

15

NIPPON HUME CORPORATION (5262), Consolidated Financial Results for the Fiscal Year Ended March 31, 2017

(Per share information)
For the fiscal year ended
March 31, 2016

For the fiscal year ended
March 31, 2017

Net assets per share¥1,095.70¥1,166.30

Earnings per share¥69.89¥54.54(Notes) 1. Diluted earnings per share is not presented due to the absence of residual shares.
2. Basis for calculating earnings per share is as follows.
Items

For the fiscal year ended
March 31, 2016

For the fiscal year ended
March 31, 2017

1,802,083

1,383,531――

1,802,083

1,383,531

25,783,634

25,368,851

As of March 31, 2016

As of March 31, 2017

28,073,745

29,558,785

189,681204,938[189,681][204,938]

27,884,063

29,353,846

25,448,560

25,168,320

Profit attributable to owners of parent company(Thousand yen)Amount not attributable to common shareholders(Thousand yen)
Profit attributable to owners of parent company
relating to common stock (Thousand yen)
Average number of common stock during theperiod (Shares)
3. Basis for calculating net assets per share is as follows.
Items
Total net assets (Thousand yen)Amount to be subtracted from the total net assets(Thousand yen)[Non-controlling interest of the above (Thousandyen)]
Net assets at year-end relating to common stock(Thousand yen)
Number of common stock at year-end used for
calculating earnings per share (Shares)(Significant subsequent events)
No relevant items.

16

NIPPON HUME CORPORATION (5262), Consolidated Financial Results for the Fiscal Year Ended March 31, 2017

4. Non-consolidated Financial Statements(1) Non-consolidated Balance Sheets(Thousand yen)
As of March 31, 2016
AssetsCurrent assets
Cash and deposits
Notes receivable - trade
Accounts receivable - trade
Lease receivables
Merchandise and finished goods
Raw materials and supplies
Prepaid expenses
Deferred tax assets
Accounts receivable - other
Other
Provision for doubtful accounts
Total current assets
Non-current assets
Property, plant and equipment
Buildings
Structures
Machinery and equipment
VehiclesTools, furniture and fixtures
Land
Construction in progress
Total property, plant and equipment
Intangible assets
SoftwareTelephone subscription right
Software in progress
Total intangible assets
Investments and other assets
Investment securities
Shares of subsidiaries and associates
Long-term loans receivable from subsidiaries
and associates
Long-term accounts receivable from subsidiaries
and associates
Claims provable in bankruptcy, claims provablein rehabilitation and other
Long-term prepaid expenses
Long-term accounts receivable - other
Other
Provision for doubtful accounts
Total investments and other assets
Total non-current assets
Total assets

17

As of March 31, 2017

7,663,878
3,453,088
7,815,883
11,722
1,476,574
292,545
24,971
70,655
117,096
123,182(11,116)
21,038,483

8,056,663
4,792,736
8,365,013
5,780
1,869,812
341,868
20,907
99,542
99,86918,366(12,631)
23,657,928

2,918,615
151,067
1,856,216
5,670
42,6093,681,909
300,995
8,957,083

2,860,053
210,977
1,927,160
14,41066,995
3,681,909
51,147
8,812,654

24,4537,701
106,800
138,954

122,311
7,701
5,100
135,1132,844,766
2,748,412

3,658,722
3,049,046

400,000－

789,779

197,262

2,431

1,823

13,434
237,032
258,972(1,326,160)
5,968,669
15,064,707
36,103,190

6,277
189,032
262,743(306,726)
7,058,182
16,005,950
39,663,878

NIPPON HUME CORPORATION (5262), Consolidated Financial Results for the Fiscal Year Ended March 31, 2017

(Thousand yen)
As of March 31, 2016
Liabilities
Current liabilities
Notes payable - trade
Accounts payable - trade
Short-term loans
Accounts payable - otherAccrued expenses
Income taxes payable
Advance payments - other
Deposits received
Provision for bonuses
Provision for loss on construction contracts
Provision for environmental measures
Other
Total current liabilities
Non-current liabilities
Deferred tax liabilities
Provision for retirement benefits
Provision for directors’ retirement benefits
Provision for loss on guarantees
Provision for environmental measures
Long-term lease and guarantee deposited
Other
Total non-current liabilities
Total liabilities
Net assets
Shareholders’ equity
Share capital
Share premium
Legal capital surplus
Other capital surplus
Total share premium
Retained earnings
Other retained earnings
Reserve for advanced depreciation of fixed
assetsReserve for reduction entry of gain on
insurance adjustment
General reserve
Retained earnings brought forward
Other retained earnings
Total retained earnings
Treasury shares
Total shareholders’ equity
Valuation and translation adjustments
Valuation difference on available-for-sale securities
Total valuation and translation adjustments
Total net assets
Total liabilities and net assets

18

As of March 31, 2017

5,558,875
3,725,493
500,000
450,804
48,243
155,291
161,80964,901
179,684
－
1,334
1,317
10,847,758

6,710,450
4,188,060
500,000
283,025
51,695463,396
136,858
67,201
177,586
30,223－
1,096
12,609,595

496,610
1,939,411
32,710224,564
20,968611,478－
3,325,742
14,173,500

658,245
2,066,397
32,710233,985
16,398590,892
3,681
3,602,310
16,211,906

5,251,400

5,251,400

1,312,850
3,430,218
4,743,068

1,312,850
3,430,218
4,743,068

2,076,035

2,028,949

5,865

5,417

6,000,000
4,635,336
12,717,237
12,717,237(1,054,407)
21,657,298

6,500,000
5,406,530
13,940,897
13,940,897(1,248,566)
22,686,799

272,390272,390
21,929,689
36,103,190

765,173765,173
23,451,972
39,663,878

NIPPON HUME CORPORATION (5262), Consolidated Financial Results for the Fiscal Year Ended March 31, 2017

(2) Non-consolidated Statements of Income(Thousand yen)
For the fiscal year ended
March 31, 2016
TurnoverCost of sales
Gross profit
Selling, general and administrative expenses
Operating income
Non-operating income
Interest income
Dividend income
Reversal of provision for doubtful accounts
Technical support fee
OtherTotal non-operating income
Non-operating expenses
Interest expenses
Foreign exchange losses
Provision for loss on guarantees
Real estate development maintenance and management
expenses
Contribution
Other
Total non-operating expenses
Ordinary income
Extraordinary income
Gain on sales of fixed assets
State subsidy
Insurance income
Total extraordinary income
Extraordinary losses
Loss on disposal of fixed assets
Structural reform expenses
Total extraordinary losses
Profit before income taxes
Income taxes - current
Income taxes - deferred
Total income taxes
Profit after income taxes

19

For the fiscal year ended
March 31, 2017

31,743,410
26,364,567
5,378,842
3,540,939
1,837,903

30,490,824
25,474,739
5,016,084
3,534,218
1,481,865

6,594
285,276
39,28581,047
152,540
564,7432,648
295,542
284,193
88,45974,231
745,076

4,020
25,946
－
8,726

2,779
31,989
9,421
7,908

7,249
13,44559,3882,343,259

6,119
14,91373,1302,153,811

5,381
66,179－71,560383
1,424
18,12819,936

2,680
171,892
174,572
2,240,246
469,553(31,951)437,602
1,802,6440－02,173,747
618,914(88,646)
530,267
1,643,479

NIPPON HUME CORPORATION (5262), Consolidated Financial Results for the Fiscal Year Ended March 31, 2017(3) Non-consolidated Statements of Changes in Net Assets
For the fiscal year ended March 31, 2016
(Thousand yen)
Shareholders’ equity
Share premium
Share capital Legal capital Other capitalsurplussurplus
Balance at beginning of current
period5,251,400

1,312,850

3,430,166

Total sharepremium

4,743,016

Reserve foradvanceddepreciationof fixed
assetsRetained earnings
Other retained earnings
Reserve for
Retained
reduction
Generalearnings
entry of gain
reservebrought
on insurance
forwardadjustment

2,094,154

6,216

5,500,000

Total retained
earnings

3,716,815

11,317,187

18,118―350―(500,000)―

Dividends of surplus(402,594)(402,594)

Profit after income taxes

1,802,644

1,802,644

Changes of items during period
Reversal of reserve foradvanced depreciation of
fixed assets
Reversal of reserve for
reduction entry of gain on
insurance adjustment(18,118)(350)

Provision of general reserve

500,000

Purchase of treasury shares
Disposal of treasury shares

51

51

51

51

(18,118)(350)

500,000

918,520

1,400,050

3,430,218

4,743,068

2,076,035

5,865

6,000,000

4,635,336

12,717,237

Other changes of shareholders’equityTotal changes during current
periodBalance at end of current period

5,251,400

1,312,850

Shareholders’ equity
Total shareholders’equityTreasury shares
Balance at beginning of current
period(650,113)

20,661,490

Valuation and translation adjustments
Valuation difference
Total valuation andon available-for-saletranslation adjustments
securities
909,568

909,568

Total net assets

21,571,059

Changes of items during period
Reversal of reserve foradvanced depreciation of
fixed assets
Reversal of reserve for
reduction entry of gain on
insurance adjustment
Provision of general reserve
Dividends of surplus(402,594)(402,594)

Profit after income taxes

1,802,644

1,802,644

Purchase of treasury shares(404,318)(404,318)(404,318)

Disposal of treasury shares

24

75

75

Other changes ofshareholders’ equity
Total changes during current
periodBalance at end of current period(637,177)(637,177)(637,177)(404,294)

995,807(637,177)(637,177)

358,630(1,054,407)

21,657,298

272,390272,390

21,929,689

20

NIPPON HUME CORPORATION (5262), Consolidated Financial Results for the Fiscal Year Ended March 31, 2017

For the fiscal year ended March 31, 2017
(Thousand yen)
Shareholders’ equity
Share premium
Share capital Legal capital Other capitalsurplussurplus
Balance at beginning of current
period5,251,400

1,312,850

3,430,218

Total sharepremium

4,743,068

Reserve foradvanceddepreciationof fixed
assetsRetained earnings
Other retained earnings
Reserve for
Retained
reduction
Generalearnings
entry of gain
reservebrought
on insurance
forwardadjustment

2,076,035

5,865

6,000,000

Total retained
earnings

4,635,336

12,717,237

47,086―448―(500,000)―

Dividends of surplus(419,820)(419,820)

Profit after income taxes

1,643,479

1,643,479

Changes of items during period
Reversal of reserve foradvanced depreciation of
fixed assets
Reversal of reserve for
reduction entry of gain on
insurance adjustment(47,086)(448)

Provision of general reserve

500,000

Purchase of treasury shares
Disposal of treasury shares
Other changes of shareholders’equityTotal changes during current
periodBalance at end of current period

5,251,400

1,312,850

3,430,218

4,743,068

Shareholders’ equity
Treasury shares
Balance at beginning of current
period

(1,054,407)

Total shareholders’equity21,657,298(47,086)(448)

500,000

771,194

1,223,659

2,028,949

5,417

6,500,000

5,406,530

13,940,897

Valuation and translation adjustments
Valuation difference
Total valuation andon available-for-saletranslation adjustments
securities
272,390272,390

Total net assets

21,929,689

Changes of items during period
Reversal of reserve foradvanced depreciation of
fixed assets
Reversal of reserve for
reduction entry of gain on
insurance adjustment
Provision of general reserve
Dividends of surplus(419,820)(419,820)

Profit after income taxes

1,643,479

1,643,479(194,159)(194,159)

Purchase of treasury shares(194,159)

Disposal of treasury shares
Other changes ofshareholders’ equity
Total changes during current
periodBalance at end of current period

492,782

492,782

492,782(194,159)

1,029,500

492,782

492,782

1,522,283(1,248,566)

22,686,799

765,173765,173

23,451,972

21