FOR IMMEDIATE RELEASE
April 26, 2018
Fiscal Year 2017 Consolidated Operating Results(April 1, 2017 to March 31, 2018)
FDK CORPORATION
Listing Code No. 6955 (Listing Stock Exchange: 2nd Section of Tokyo Stock Exchange)
Address: Shinagawa Crystal Square Bldg., 1-6-41 Konan, Minato-ku, Tokyo 108-8212 Japan
Contact: CSR & Compliance Div.
E-mail: hirano@fdk.co.jp
Date of general shareholders' meeting (as planned): June 27, 2018
Annual securities report filing date (as planned): June 27, 2018
The Consolidated Financial Results is unaudited/U.S. GAPP is not applied

1. Consolidated Operating Results for FY2017 ended March 31, 2018a. Consolidated Income statements
Yen(millions)
FY2016FY2017(4/1/16-3/31/17)(4/1/17-3/31/18)
73,682
73,129Net Sales(330)
666
Operating Profit (Loss)(697)
78
Ordinary Profit (Loss)(3,166)(630)
Profit (Loss) attributable to ownerof parent
Amounts Per Share of Common Stock:
Basic Earnings (Loss) per share
Diluted Earnings per share
Rate of Return on Equity
Orginary Profit to Total Assets
Ratio
Operating Profit to Net Sales
Ratio(11.30) yen- yen(57.6) %(1.4) %

(2.25) yen- yen(15.4) %0.2 %(0.4) %

0.9 %(URL: http://www.fdk.com)

Change (%)-0.7 %-

U.S.Dollars(millions)
FY2017(4/1/17-3/31/18)$688.14$6.27$0.73($5.93)(2.12 cent)-b. Consolidated Financial Positions

Total Assets
Net Assets
Owner's Equity
Capital Adequacy Ratio
Net Assets Per ShareYen(millions)
As of Mar. 31,
As of Mar. 31,
2017
2018
49,13251,054
4,638
4,293
3,922
4,289
8.0 %
8.4 %
14.00 yen
15.31 yenc. Consolidated Cash FlowsYen(millions)

Cash Flows fromOperating Activites
Cash Flows from
Investing Activites
Cash Flows from
Financing Activites
Cash and Cash Equivalents
at End of Period

FY2016(4/1/16-3/31/17)
327

FY2017(4/1/17-3/31/18)
567(3,252)(1,959)

733

1,559

3,538

3,720

Yen
(millions)
FY2016(4/1/16-3/31/17)
49,40824,27373,682

Yen(millions)
FY2017(4/1/17-3/31/18)
48,536
24,592
73,129d. Net Sales by Business Segment

Batteries
Electronic Devices
Total(Notes for the Consolidated Operating Results (from 1.a to 1.d))
1. All amounts less than one million yen have been disregarded.
2. U.S. dollar amounts are translated from yen, for convenience only, at the rate of $1=106.27 yen.
3. The percentage in this statement presents rate of change compared with the previous fiscal year.

U.S.Dollars(millions)
FY2017(4/1/17-3/31/18)$456.72$231.41$688.14

2. Consolidated Forecast for the year ending March 31, 2019
(Million of yen, except per share data)

Net Sales
Operating Profit
Ordinary Profit
Profit attributable to owners of parent
Basic Earnings Per ShareFY2018Change from FY2017
74,000
1.2 %
700
5.0 %
200
156.1 %
100-%
0.36 yen- yen

FY2017
73,129666
78(630)-2.25 yen

3. Others(1) Material changes in significant subsidiaries during the period: Yes.
Consolidated Subsidiaries
12 companies
Unconsolidated Subsidiaries (equity method applied)
3 companies
Affiliates (equity method applied only)
1 companies(2) Changes in accounting policies, changes in accounting estimates, and retrospective restatements
1) Changes in accounting policies based on revisions of accounting standards: No
2) Changes in accounting policies other than ones based on revisions of accounting standard: No
3) Changes in accounting estimates: No4) Retrospective restatement: No(3) Number of issued and outstanding shares (common stock)1) Number of issued and outstanding shares at the end of fiscal year. (including treasury stock)
March 31, 2018: 280,363,026 shares
March 31, 2017: 280,363,026 shares
2) Number of treasury stock at the end of fiscal year
March 31, 2018: 271,437 shares
March 31, 2017: 266,012 shares
3) Average number of shares
March 31, 2018: 280,094,513 shares
March 31, 2017: 280,099,987 shares
Note: This information is a summary of the earnings report. It does not contain all details included in the earnings report disclosed inJapanese.

Consolidated Balance Sheet
Millions of yen

AssetsCurrent assets
Cash and deposits
Notes and accounts receivable-trade
Merchandise and finished goods
Work in process
Raw materials and supplies
Deferred tax assets
Other
Allowance for doubtful accounts
Total current assets
Non-current assets
Property, plant and equipment
Buildings and structures, net
Machinery, equipment and vehicles, net
Tools, furniture and fixtures, net
Land
Leased assets, net
Construction in progress
Total property, plant and equipment
Intangible assets
Investments and other assets
Investment securities
Long-term loans receivable
Deferred tax assets
Other
Allowance for doubtful accounts
Total investments and other assets
Total non-current assets
Total assets
Liabilities
Current liabilities
Notes and accounts payable-trade
Short-term loans payable
Lease obligations
Accounts payable-other
Income taxes payable
Other
Total current liabilities
Non-current liabilities
Lease obligations
Deferred tax liabilities
Net defined benefit liability
Long-term accounts payable - other
Other
Total non-current liabilities
Total liabilities
Net assets
Shareholders' equity
Capital stock
Capital surplus
Retained earnings
Treasury shares
Total shareholders' equity
Accumulated other comprehensive income
Valuation difference on available-for-sale securities
Foreign currency translation adjustment
Remeasurements of defined benefit plans
Total accumulated other comprehensive income
Non-controlling interests
Total net assets
Total liabilities and net assets

FY2016FY2017

Mar 31, 2017

Mar 31, 2018

3,538
18,427
3,016
2,662
2,186
108
1,576
(40)
31,475

3,720
20,316
2,781
2,694
2,760
5
1,150
(105)
33,323

6,339
4,596
1,059
2,556
1,366
563
16,481
504

6,153
4,952
984
2,535
1,282
464
16,372
502

178
1
27
463
(0)
670
17,656

204
1
100
549
(0)
856
17,73049,13251,054

13,852
16,970
515
2,512
394
2,732
36,977

15,23019,455
468
2,018
336
3,055
40,564

809
227
4,291
1,817
369
7,515
44,493

553
194
3,847
1,216
383
6,196
46,76028,301
22,622(44,908)
(46)
5,969

28,301
22,968(45,539)
(47)
5,683

23
825
(2,896)(2,046)
716
4,638

38
948
(2,380)(1,393)
4
4,293

49,13251,054

Consolidated Statement of Income
Millions of yen
FY2016FY2017

Apr'16-Mar'17

Apr'17-Mar'18

Net sales

73,682

73,129

Cost of sales

62,602

61,152Gross profit

11,07911,977

Selling, general and administrative expenses

11,41011,311

Operating profit (loss)

(330)

666

Interest income

1818Gain on sales of non-current assets

3

136

Refunded gain of capital reduction with compensation

65-

Rent income

20

26

Other

98

82

Total non-operating income

206

263

Interest expenses

123

123

Foreign exchange losses

154

434

Share of loss of entities accounted for using equity method

141

85

Loss on retirement of non-current assets

81

50

Other

72

157

Total non-operating expenses

573

851

(697)

78

Subsidy income

477-

Total extraordinary income

477-

Impairment loss

2,403

527

Total extraordinary loss

2,403

527

(2,622)(449)

Income taxes-current

362

187

Income taxes-deferred

147

(6)

Total income taxes

510

181

(3,133)

(630)

32

0

(3,166)(630)

Non-operating income

Non-operating expenses

Ordinary profit (loss)
Extraordinary income

Extraordinary loss

Profit (loss) before income taxes

Loss
Profit attributable to non-controlling interests
Loss attributable to owners of parent

Consolidated Statement of Comprehensive Income
Millions of yen
FY2016FY2017

Apr'16-Mar'17

Apr'17-Mar'18(3,133)

(630)

3

15

(349)

97

Remeasurements of defined benefit plans, net of tax

394

516

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

(30)

24

18

653

(3,144)22(3,147)

22

33

0

Loss
Other comprehensive income
Valuation difference on available-for-sale securities
Foreign currency translation adjustment

Other comprehensive income
Comprehensive income(Comprehensive income attributable to)Comprehensive income attributable to owners of the parent
Comprehensive income attributable to non-controlling interests

Consolidated Statement of Changes in Equity
FY2016 (Apr'16-Mar'17)
Yen (millions)Shareholders' equity

Beginning balance
Changes of items during period
Loss attributable to owners of parent
Purchaes of treasury shares
Change in ownership interest of parent due
to transactions with non-controlling
Net changes of items other thanshareholders' equity
Total changes of items during periodEnding balance

Capital stock

Capital surplus

Retained earnings

Treasury shares

Total
shareholders'equity28,301

22,622(41,742)

(45)

9,135

(0)

(3,166)(0)(3,166)28,301

22,622(3,166)(44,908)(0)(46)(3,166)
5,969

Accumulated other comprehensive income
Foreign
Total
Valuation difference
Remeasurement
currency
Accumulated
on available-for-sales of definedtranslationothersecurities
benefit plansadjustment
comprehensive
19
1,205(3,290)(2,065)

Non-controllinginterests

Net assets

683

7,754
(3,166)
(0)

3

(379)

394

18

33

51

3
23

(379)
825

394
(2,896)18(2,046)33
716(3,115)
4,638

Consolidated Statement of Changes in Equity
FY2017 (Apr'17-Mar'18)
Yen (millions)Shareholders' equity

Beginning balance
Changes of items during period
Loss attributable to owners of parent
Purchaes of treasury shares
Change in ownership interest of parent due
to transactions with non-controlling
Net changes of items other thanshareholders' equity
Total changes of items during periodEnding balance

Accumulated other comprehensive income
Foreign
Total
Valuation difference
Remeasurement
currency
Accumulated
on available-for-sales of definedtranslationothersecurities
benefit plansadjustment
comprehensive
23
825(2,896)(2,046)

Non-controllinginterests

Net assets

716

4,638

Capital stock

Capital surplus

Retained earnings

Treasury shares

Total
shareholders'equity28,301

22,622(44,908)

(46)

5,969

(1)

(630)
(1)

(630)
(1)

346

346

(630)
346

28,301346
22,968(630)(45,539)

(1)
(47)

(285)
5,683

15

122

516

653

(712)

(59)

15
38

122
948

516
(2,380)653(1,393)

(712)
4

(345)
4,293

Consolidated Statement of Cash Flows
Millions of yen
FY2016FY2017

Apr'16-Mar'17

Apr'17-Mar'18

Cash flows from operating activities
Loss before income taxes(2,622)(449)

Depreciation and amortization

2,443

2,092

Refunded gain of capital reduction with compensation

(65)

-

Impairment loss

2,403

527

Increase (decrease) in net defined benefit liability

(650)

(366)

Increase (decrease) in allowance for doubtful accounts

(42)

64

Interest and dividend income

(21)

(20)

Interest expenses

123

123

0

0

Share of (profit) loss of entities accounted for using equity method

141

85

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

(3)

(84)

Loss on retirement of non-current assets

81

50

(477)

-

Decrease (increase) in notes and accounts receivable-trade97(1,847)

Decrease (increase) in inventories

18

(335)

Increase (decrease) in notes and accounts payable-trade

(865)

1,347

Increase (decrease) in accrued expenses

(433)

133

Other, net

204

(457)

Subtotal

329

863

Interest and dividend income received

21

20

Proceeds from subsidy income

477-

Interest expenses paid

(119)

(122)

Income taxes paid

(382)

(194)

Net cash provided by (used in) operating activities

327

567

(3,335)(2,280)

Proceeds from sales of property, plant and equipment

120

391

Purchase of intangible assets

(93)

(69)

Purchase of investment securities

(4)

(4)

Proceeds from capital reduction with compensation

65-

Other, net(5)4(3,252)(1,959)

1,290

2,485

(0)

(1)

-

(385)

Repayments of finance lease obligations

(556)

(539)

Net cash provided by (used in) financing activities

733

1,559

(221)

14

Net increase (decrease) in cash and cash equivalents(2,414)

181

Cash and cash equivalents at beginning of period

5,952

3,538

Cash and cash equivalents at end of period

3,538

3,720

Foreign exchange losses (gains)

Subsidy income

Cash flows from investing activities
Purchase of property, plant and equipment

Net cash provided by (used in) investing activities
Cash flows from financing activities
Net increase (decrease) in short-term loans payable
Purchase of treasury shares
Payments from changes in ownership interests in subsidiaries that do not result in change in scope of consolidation

Effect of exchange rate change on cash and cash equivalents

Consolidated Business Segment Information
Millions of yen
FFY2016 Apr'16-Mar'17
Business Segments Reported
Electronic
Materials
Batteries

Net sales
Unaffiliated customers
Intersegment
Total
Segment income (loss)
Segment assets
Other Items
Depreciation
Investment to entities accounted for using equity method
Increase in property, plant and equipment and intangible assets

Total

Adjustments

Consolidated
Statements

49,40849,4081,787
34,04624,27324,273(2,118)14,22273,68273,682(330)
48,269863

73,68273,682(330)
49,132

1,816
2,579

627
258
992

2,443
258
3,571

-

2,443
258
3,571

Adjustments

Consolidated
Statements

FFY2017 Apr'17-Mar'18
Business Segments Reported
Electronic
Materials
Batteries

Total

Net sales
Unaffiliated customers

48,536

24,592

73,129-73,129

-

-

-

-

-

Total

48,536

24,592

73,129-73,129Segment income (loss)
Segment assets
Other Items
Depreciation
Investment to entities accounted for using equity method
Increase in property, plant and equipment and intangible assets

1,814
34,577(1,147)
15,799666
50,376677

666
51,054

1,798
2,283

294
197
389

2,092
197
2,672

-

2,092
197
2,672

Intersegment

Business Results(1) Analysis of Consolidated Business Results
1.1 Overview
The business environment of the FDK Group (“FDK”) during the fiscal year ending March 31, 2018, remained
uncertain condition, such as the increasing uncertainty in overseas economics by geopolitical risks especially in North
America, Europe and East Asia though the corporate profit, employment environment and capital investment ofdomestic companies improved as well as personal consumption gradually improved in Japan.
Under these circumstances, FDK has strived to develop the business in the industrial market especially for the
potential glowing field such as IoT, automotive, telecommunications and also strived to develop new customers in
the global market. expand the sales volume of Ni-MH batteries ,Lithium batteries and Multi-layer power inductors
for industrial use. And FDK accelerated characteristic improvement of cathode material for All-Solid Lithium-Ion
batteries which was developed in the last fiscal year and FDK promoted development of practical application
technology for early sample shipment. For consumer business, FDK strived to expand internet sales while Alkaline
batteries and Ni-MH batteries are hard to grow at stores in North America.
Regarding the business results for this fiscal year of Battery business, sales of Lithium batteries and Power storage
systems remained steady, but sales of Alkaline batteries and Ni-MH batteries decreased. Regarding the businessresults for this fiscal year of Electronic Device business, sales of Multi-layer power inductors and Coil devices
remained steady but sales of DC-DC power modules, Ceramics, Signal processing modules for LCD decreased. As
for business results in FY2017, net sales were 73,129 million Yen, decreased by 552 million Yen (-0.7%) from thelast fiscal year.
With regard to profit and loss in the Battery Business, profit was almost same as the last fiscal year by sales increaseof Lithium batteries and Power storage system as well as cost reduction although profit was affected by decrease ofsales for Alkaline batteries and Ni-MH batteries, and increase of material cost. And in the Electronic Device
business, loss decreased from the last fiscal year due to sales increase of Multi-layer power inductor, Switching power
supplies and Coil device as well as the impact of fixed costs reduction by impairment treatment of fixed assets
implemented in the last fiscal year, while sales of DC-DC Power module, Ceramics and Signal processing modules
for LCD decreased. As a result of working on reduction of all expenses throughout the company and also working
on engineering VE and reduction of material cost, the operating profit was 666 million yen, increased by 997 million
yen from the last fiscal year (it was 330 million yen operating loss in the last fiscal year).
The ordinary profit was 78 million yen due to foreign exchange losses of 434 million yen as non-operating
expenses (the ordinary loss was 697 million yen in the last fiscal year). The loss attributable to owners of parent in
the fiscal year 2017 was 630 million yen due to an impairment loss of 527 million Yen on fixed assets related toalkaline batteries in Battery business and Electronic Device business (it was 3,166 million yen loss attributable forowners of parent in the last fiscal year).
The divisional sales overview is as follows.
1.2 Battery Business
Sales of Alkaline batteries was decreased from the last fiscal year due to sales decrease of OEM products for North
America and Europe market, while the business for internet sales were stable. Sales of Ni-MH batteries decreased
from the last fiscal year, due to decrease of the products for overseas consumer market, although sales of industrial
use such as backup application of emergency light were steady. Sales of Power Storage Systems was increased
from the last fiscal year due to steady sales of backup use for server, elevator and telecommunication equipment.
Sales of Lithium batteries increased from the last fiscal year, due to steady sales for next generation smart meters andsmoke detectors in domestic market. Sales of Production Manufacturing Machineries and Equipment business wasalmost same as the last fiscal year due to steady sales of component assembly equipment for automobile.
As a result, sales for the Battery business was 48,536 million yen, decreased by 871 million yen from the same
period last year.
1.3. Electronic Device Business
Sales of Coil devices increased from the last fiscal year, due to steady sales for automotive equipment, LED lighting
and various production equipment use. Sales of Multi-layer Power Inductor products was increased from the last

fiscal year, due to steady sales for smart phone and integrated circuit application for industrial equipment. Sales ofCeramic products decreased from the last fiscal year due to the sluggishness in digital still camera market. Sales of
DC-DC Power Module decreased from the last fiscal year due to the sales decrease for network equipment. Salesof Signal Processing Modules for LCD decreased from the last fiscal year, due to sales decrease for tablet terminal
and medium, large size LCD display. Sales of Switching Power Supply was increased from the last fiscal year due
to steady sales for semiconductor manufacturing equipment.
As a result, sales for the Electronic Device business were 24,592 million yen, increased by 319 million yen fromthe same period last year.
(2) Analysis of Financial Condition
2.1 Status of Assets, Liabilities and Net Assets
Total assets at the end of FY2017 increased by 1,921 million yen (3.9%) from the end of the previous fiscal year
to 51,054 million yen. Current assets increased by 1,847 million yen (5.9%) from the end of the previous fiscal year
to 33,323 million yen. Non-current assets increased by 73 million yen (0.4%) from the end of the previous fiscal
year to 17,730 million yen. The principal causes for increased current assets were a 1,888 million yen increase innotes and accounts receivable-trade.
Total liabilities at the end of FY2017 increased by 2,267 million yen (5.1%) from the end of the previous fiscal
year to 46,760 million yen. Current liabilities increased by 3,586 million yen (9.7%) from the end of the previous
fiscal year to 40,564 million yen. Non-current liabilities decreased by 1,319 million yen (-17.6%) from the end of
the previous fiscal year to 6,196 million yen. The principal cause of increased current liabilities were a 2,485 million
yen increase in short-term loans payable and a 1,378 million yen increase in notes and accounts payable-trade. The
principal cause of decreased non-current liabilities were a 600 million yen decrease in long-term accounts payable –other and a 444 million yen decrease in net defined benefit liability.
The interest-bearing debt increased by 2,182 million yen from the end of the previous fiscal year to 20,477 million
yen.
Total net assets at the end of FY2017 increased by 345 million yen (7.4%) from the end of the previous fiscal year
to 4,293 million yen. The main factors for the decrease in total net assets were a 712 million yen decrease in noncontrolling interests by posting a payments from changes in ownership interests in subsidiaries that do not result inchange in scope of consolidation and a 630 million yen decrease in retained earnings posting by a loss attributable toowners of parent, though there was a 516 million yen increase in non-controlling interests posting by aremeasurements of defined benefit plans.
2.2 Cash Flow Condition
Cash flows from operating activities increased by 567 million yen from the beginning of this fiscal year due to anincrease in cash and cash equivalents (“cash”) by posting a depreciation and amortization and increase in notes andaccounts payable-trade, though was a decrease in cash by posting a increase in notes and accounts receivable-trade(Cash flows from operating activities for the last fiscal year increased by 327 million yen from the beginning of thelast fiscal year).
Cash flows from investment activities decreased by 1,959 million yen from the beginning of this fiscal year due toan decrease in cash by posting a purchase of property, plant and equipment (Cash flows from investment activities
for the last fiscal year decreased by 3,252 million yen from the beginning of the last fiscal year).
Cash flows from financing activities increased by 1,559 million yen from the beginning of this fiscal year due toan increase in cash by posting a short-term loans payable, though was a repayments of finance lease obligations andpayments from changes in ownership interests in subsidiaries that do not result in change in scope of consolidation(Cash flows from financing activities for the last fiscal year increased by 733 million yen from the beginning of thelast fiscal year).
As a result, the balance of cash and cash equivalents on March 31, 2018 was 3,720 million yen, a increase of 181
million yen from the beginning of this fiscal year.

Ref: Changes in cash flow indicators
FY2013
FY2014FY2015FY2016Equity ratio (%)
10.6
13.8
13.0
8.0
Market value equity ratio (%)
54.6
70.0
48.6
71.3
Debt to cash flow ratio (%)
4.8
9.9
3.2
55.8
Interest coverage ratio (%)
29.2
13.4
40.4
2.7
1. Equity ratio = Total shareholders' equity / Total assets
2. Market value equity ratio = Market capitalization / Total assets
3. Debt to cash flow ratio = Interest-bearing debt / Net cash used in operating activities
4. Interest coverage ratio = Net cash used in operating activities / Interest expense

FY2017
8.4
106.4
36.1
4.6

3. Forecast for the Fiscal Year Ending March 31, 2019
In the future business environment, although personal consumption is on a moderate recovery trend, still
uncertainties such as geopolitical risks are prospected.
As a “Smart Energy Manager” that combines battery technology, circuit technology and power electronics
technology “globally to contribute to society with technology that efficiently uses electric energy”, FDK groupprovides service and value to meet the expectations of shareholders, customers and other stakeholders by “One FDK”.
Mobility society such as IoT, automotive, 5G is evolving rapidly. Under these circumstances, FDK develops andsupplies high performance, high quality batteries, electronic products and synergy products combining thesetechnologies for the industrial market. And FDK strives to expand sales in Japan and overseas with high quality
and high performance FUJITSU batteries and OEM products for the consumer market. In addition, FDK will
strategically invest in newly developed batteries including large capacity “Mega Twicell” Ni-MH batteries and AllSolid Lithium-Ion batteries, and plan to introduce them at an early stage in the future.
As for the business forecast for the FY2018, FDK targets net sales at 74,000 million yen, operating profit at 700
million yen, ordinary profit at 200 million yen, and Profit attributable to owners of the parent at 100 million yen.
Regarding the exchange rate for FY2018, FDK sets it at 105 yen per US dollar and at 115 yen per Euro.