June 23, 2017

FY2017 Consolidated Financial Results<IFRS>(April 1, 2016 - March 31, 2017)
TOYOTA INDUSTRIES CORPORATION
Stock exchange listings: Tokyo and Nagoya (Code number: 6201) (URL: https://www.toyota-industries.com/ )Representative person: Akira Onishi, President, Member of the Board
Contact person: Kuniaki Matsumoto, General Manager of Accounting Department(Tel. +81-(0)566-22-2511)(Amounts less than one million yen are omitted)
1. Financial Highlights for FY2017 (April 1, 2016 - March 31, 2017)(1) Consolidated Financial Results(% : changes from the same period of the previous fiscal year)
Net sales

FY2017FY2016

Operating profit

Profit before
income taxes

Million yen%

Million yen%

Million yen%

1,675,148
1,696,856(1.3)－

127,345
137,026(7.1)－

181,986
191,386(4.9)－

Earnings
per share―basic

Earnings
per share―diluted

Yen

FY2017FY2016

Profit137,565
199,956

Return on equity
attributable to ownersof the parent

Yen%(31.2)－

Comprehensive
incomeMillion yen

Million yen%(32.4) 202,743－(253,021)－－%

131,398
194,270

Profit before tax tototal assets%－
618.33420.78618.34

Million yen

Profit attributableto owners of theparentOperating profit
to net sales

%

6.1
8.7

4.1
4.2

%

7.6
8.1

(Note) Equity in net profit of affiliates: FY2017 ― 974 million yen, FY2016 ― 632 million yen(2) Consolidated Financial Position

Total assets

Total equity

Million yen

FY2017FY2016

4,558,212
4,317,282

Equity attributable toowners of the parent

Million yen

Percentage of equity
attributable to ownersof the parent

Million yen

2,316,467
2,169,313

Equity attributable toowners of the parent
per share%

2,240,293
2,098,658

49.1
48.6

Yen

7,215.37
6,678.80(3) Consolidated Cash flows
Cash flows fromoperating activities
Million yen

FY2017FY2016

239,094
248,049

Cash flows frominvesting activities

Cash flows fromfinancing activities

Million yen(86,925)(532,238)

Cash and cash equivalents
at the end of year

Million yen

789
124,495

Million yen

243,685
92,399

2. Cash Dividends

Annual cash dividends per share
1st
Quarter

2nd
QuarterYen

3rdQuarterYen

4thQuarterYen

Yen

FY Total

Total amountof annual
cash dividends

Yen

FY2016FY2017

－
－

60.00
60.00

－
－

60.00
65.00

120.00125.00FY2018(Forecast)

－

65.00

－

65.00

130.00

Dividend on
equity attributableto owners of theparentDividend
payout ratio

Million yen

37,70338,937

%

19.4
29.7

%

1.7
1.8

31.0

3. Forecasts of Consolidated Financial Results for FY2018 (April 1, 2017 - March 31, 2018)(% : changes from the same period of the previous fiscal year)
Net sales
Million yen

FY2018
SecondQuarter(accum.)
FY2018

Profit before
income taxes

Operating profit%

Million yen%

Million yen

Profit attributable toowners of the parent%

Million yen

Earnings
per share―basic%

Yen

900,000－

72,000－100,000－

72,000－231.891,850,000

10.4

135,000

6.0

188,000

3.3

130,000(1.1)

418.69Notes(1) The company adopts International Financial Reporting Standards (IFRS) beginning with the consolidated financial statementsin the securities report for the fiscal year ended March 31, 2017.
(2) The consolidated financial results and the supplementary information are voluntary disclosures that provides selected financial
data based on IFRS for the fiscal year ended March 31, 2017.
(3) The Company previously disclosed the consolidated financial results based on Japanese GAAP for the fiscal year ended
March 31, 2017 on April 28, 2017.
(4) The consolidated financial results contain projections of performance and other projections that were made basedon information currently available and certain assumptions judged to be reasonable. There is a possibility that diverse factors
may cause actual performance, etc. to differ materially from the projections.

Accompanying Materials－Contents

1. Consolidated Financial Reports ...............................................................................................................2(1) Consolidated Statement of Financial Position ...............................................................................................2(2) Consolidated Statement of Profit or Loss ⁄ Consolidated Statement of Comprehensive Income .........................4(3) Consolidated Statement of Changes in Equity ..............................................................................................6(4) Consolidated Statement of Cash Flows .......................................................................................................8(5) Note on Consolidated Financial Statements ................................................................................................10(Segment Information）........................................................................................................................10(Earnings per Share）...........................................................................................................................12
2. Disclosure on Transition to IFRS ...........................................................................................................13
3. Differences between the IFRS and Japanese GAAP (FY2017) .............................................................19―1―

1. Consolidated Financial Reports(1) Consolidated Statement of Financial Position(Millions of yen)
FY2016(As of March 31,
2016)

FY2017(As of March 31,
2017)248,706
475,415
92,189
192,947
8,640
37,926
1,055,825

92,399624,240
273,410
195,982
7,170
38,9581,232,161

243,685
646,542
174,301
194,427
21,10642,356
1,322,420

740,171203,042
999
14,332
2,677,218
22,28331,812
3,729
3,693,589
4,749,415

815,399
189,207
1,005
13,593
2,028,284
11,651
22,5993,379
3,085,121
4,317,282

833,329
185,813149
8,673
2,161,509
18,12923,8004,386
3,235,791
4,558,212

Transition date
(April 1, 2015)
AssetsCurrent assets
Cash and cash equivalents
Trade receivables and other receivables
Other financial assets
Inventories
Income tax receivables
Other current assets
Total current assets
Non-current assets
Property, plant and equipment
Goodwill and intangible assets
Trade receivables and other receivables
Investments accounted for by the equity method
Other financial assets
Net defined benefit assets
Deferred tax assets
Other non-current assets
Total non-current assets
Total assets―2―

(Millions of yen)
FY2016(As of March 31,
2016)

FY2017(As of March 31,
2017)354,643
146,789
138,667
15,225
5,653
19,072680,051355,882
190,844
75,44048,051
9,336
20,186
699,741

387,333
311,663
71,807
11,163
7,397
21,237
810,603625,382
121,632
88,062
6,245
756,584
14,927
1,612,834
2,292,886

711,424
106,248
88,942
6,888
517,854
16,8681,448,227
2,147,969

665,890
79,37592,5526,479
567,803
19,0391,431,140
2,241,744

80,462
105,592
705,521(41,509)
1,541,262

80,462
105,517855,317(41,266)
1,098,627

80,462
105,417954,503(59,272)
1,159,181

2,391,330

2,098,658

2,240,293

65,1982,456,528
4,749,415

70,6552,169,313
4,317,282

76,174
2,316,467
4,558,212

Transition date
(April 1, 2015)
Liabilities and Equity
Liabilities
Current liabilities
Trade payables and other payables
Corporate bonds and loans
Other financial liabilities
Accrued income taxes
Provisions
Other current liabilities
Total current liabilities
Non-current liabilities
Corporate bonds and loans
Other financial liabilities
Net defined benefit liabilities
Provisions
Deferred tax liabilities
Other non-current liabilities
Total non-current liabilities
Total liabilities
EquityShare of equity attributable to owners of the parent
Capital stock
Capital surplus
Retained earnings
Treasury stock
Other components of shareholders'equity
Total share of equity attributable to owners of the parent
Non-controlling interests
Total equity
Total liabilities and equity―3―(2) Consolidated Statement of Profit or Loss ⁄Consolidated Statement of Comprehensive

IncomeConsolidated Statement of Profit or Loss
(Millions of yen)
FY2016(April 1, 2015
– March 31, 2016)
Net sales
Cost of sales
Gross profit
Selling, general and administrative expenses
Other profit
Other expenses
Operating profit
Financial income
Financial expenses
Share of profit (loss) of investments accounted for by theequity method
Profit before income taxes
Income taxes
Profit from continuing operations
Profit from discontinued operations
ProfitProfit attributable to:
Owners of the parent
Non-controlling interests

Earnings per share
Basic:
Continuing operations
Discontinued operations
Earnings per share— basic (yen)Diluted:Continuing operations
Discontinued operations
Earnings per share— diluted (yen)―4―

FY2017(April 1, 2016
– March 31, 2017)

1,696,856(1,291,859)
404,997(266,894)
10,879(11,956)
137,026
67,264(13,536)

1,675,148(1,278,378)
396,769(268,354)
11,411(12,480)
127,345
63,734(10,067)

632

974

191,386(52,865)
138,52161,435
199,956

181,986(44,420)
137,565－
137,565

194,270
5,685

131,398
6,167

422.80195.54618.34420.78－420.78422.79195.54618.33－－－

Consolidated Statement of Comprehensive Income(Millions of yen)
FY2016(April 1, 2015
– March 31, 2016)
ProfitOther comprehensive income:Items not to be reclassified into profit or loss
Profit (loss) from FVTOCI financial assets
Remeasurements of defined benefit plans
Other comprehensive income of affiliates accounted forby the equity method
Total items not to be reclassified into profit or loss
Items that can be reclassified into profit or loss
Foreign currency translation adjustment
Cash flow hedges
Other comprehensive income of affiliates accounted forby the equity method
Total items that can be reclassified into profit or loss
Total other comprehensive income
Compehensive income
Total comprehensive income attributable to:
Owners of the parent
Continuing operations
Discontinued operations
Total owners of the parent
Non-controlling interests―5―

FY2017(April 1, 2016
– March 31, 2017)

199,956

137,565(409,198)(7,022)77,802
4,862

(18)

21

(416,239)

82,686(35,492)(556)(18,913)
1,242

(689)

162

(36,737)(452,977)(253,021)(17,509)65,177
202,743(316,549)
61,475(255,074)
2,053

197,355－
197,355
5,387

(3) Consolidated Statement of Changes in Equity(Millions of yen)
Share of equity attributable to owners of the parent

Capitalstock

Balance at April 1, 2015

CapitalsurplusRetainedearnings

Other components ofshareholders’equity
Profit (loss)from
Remeasurements
FVTOCIof defined benefit
financialplans
assetsTreasurystock－

80,462

105,592

705,521(41,509)

1,541,869

Profit－－194,270－－－

Other comprehensive income

－

－

－

－

(409,158)(6,830)－－194,270－(409,158)(6,830)Total comprehensive income
Repurchase of treasury stock

－

－

－

(20)

－

－

Disposal of treasury stock

－

(30)

－

263

－

－

Dividends
Changes in ownership interest of
subsidiaries
Changes in non-controlling interests as aresult of change in scope of consolidation
Reclassified into retained earnings－－(37,699)

－

－

－

－

(44)

－

－

－

－

－

－

－

－

－

－

－

－

(6,774)

－

(56)

6,830

Other increases (decreases)

－

－

－

－

－

－

Total transactions with owners

－

(75)

(44,474)

242

(56)

6,830

80,462

105,517855,317(41,266)

1,132,655－－－

131,398－－－

Other comprehensive income

－

－

－

－

77,521

4,811

Total comprehensive income－－

131,398－

77,521

4,811

Repurchase of treasury stock

－

(36)

－

(18,011)－－

Disposal of treasury stock

－

(0)

－

5

－

－

Dividends
Changes in ownership interest of
subsidiaries
Changes in non-controlling interests as aresult of change in scope of consolidation
Reclassified into retained earnings－－(37,609)

－

－

－

－

(62)

－

－

－

－

－

－

－

－

－

－

－

－

5,395

－

(584)

(4,811)Other increases (decreases)

－

－

－

－

－

－

Total transactions with owners

－

(99)

(32,213)(18,005)(584)(4,811)80,462

105,417954,503(59,272)

1,209,592－

Balance at March 31, 2016
ProfitBalance at March 31, 2017

―6―

(Millions of yen)
Share of equity attributable to owners of the parent
Other components of shareholders’equity

Noncontrollinginterests

Total equity

2,391,330

65,1982,456,528

194,270

5,685

199,956(449,344)(449,344)(3,632)(452,977)－(449,344)(255,074)

2,053(253,021)

－

－

－

(20)

－

(20)

－

－

－

232

－

232

－

－

－

－

(37,699)(1,670)(39,369)

－

－

－

－

(44)

117

72

－

－

－

－

－

5,059

5,059

－

－

－

6,774

－

－

－

－

－

(65)

(65)

(65)

(103)

(168)

－

－

(65)

6,709

(37,597)

3,403(34,193)(32,799)(1,235)

6

1,098,627

2,098,658

70,6552,169,313
137,565

Foreigncurrencytranslation
adjustment

Cash flow
hedgesSubscription
rights toshares

－

(679)

72

1,541,262

－

－

－

－

(32,799)(556)－(32,799)(556)

Repurchase of treasury stock－

Disposal of treasury stock－

Dividends
Changes in ownership interest of
subsidiaries
Changes in non-controlling interests as aresult of change in scope of consolidation
Reclassified into retained earnings
Other increases (decreases)

Balance at April 1, 2015
ProfitOther comprehensive income
Total comprehensive income

Total transactions with owners
Balance at March 31, 2016

Total

Total

－

－

－

－

131,398

6,167

Other comprehensive income(17,618)

1,242－

65,95765,957(779)

65,177

Total comprehensive income(17,618)

1,242－

65,957

197,355

5,387

202,743

Repurchase of treasury stock

－

－

－

－

(18,048)－(18,048)

Disposal of treasury stock

－

－

－

－

5

－

5

Dividends
Changes in ownership interest of
subsidiaries
Changes in non-controlling interests as aresult of change in scope of consolidation
Reclassified into retained earnings

－

－

－

－

(37,609)(2,290)(39,899)

－

－

－

－

(62)

30

(31)

－

－

－

－

－

30

30

－

－

－

(5,395)－－－

Other increases (decreases)

－

－

(6)

(6)

(6)

2,360

2,354

－

－

(6)

(5,402)(55,721)131(55,589)(50,417)

6－

1,159,181

2,240,293

76,174

2,316,467

ProfitTotal transactions with owners
Balance at March 31, 2017―7―

(4) Consolidated Statement of Cash Flows(Millions of yen)
FY2016(April 1, 2015
– March 31, 2016)
Cash flows from operating activities:
Profit before income taxes
Profit before income taxes from discontinued operations
Depreciation and amortization
Impairment losses
Interest and dividends income
Interest expenses
Share of profit (loss) of investments accounted for by theequity method
Inventories
Increase (decrease) in trade receivables and otherreceivables
Increase (decrease) in trade payables and other payables
OthersSubtotalInterest and dividends income received
Interest expenses paid
Income taxes paid
Net cash provided by operating activities
Cash flows from investing activities:
Payments for purchases of property, plant and equipment
Proceeds from sales of property, plant and equipment
Payments for purchases of investment securities
Proceeds from sales of investment securities
Payments for acquisition of subsidiaries’stock resulting inchange in scope of consolidation
Proceeds from sales of subsidiaries’stock resulting inchange in scope of consolidation
Payments for loans madeProceeds from collection of loans
Payments for bank deposits
Proceeds from withdrawals of bank deposits
Payments for transfer of business
OthersNet cash used in investing activities―8―

FY2017(April 1, 2016
– March 31, 2017)

191,386
93,025
143,836
2,034(66,367)
10,588

181,986－
148,957
2,136(62,862)
8,111

(632)

(974)

(7,602)(3,010)(25,448)(16,249)

9,189(112,404)
237,607
66,364(10,401)(45,521)248,049

28,589(16,772)
269,912
63,186(8,374)(85,630)
239,094(150,598)
10,044(716)
375(164,225)
10,167(30,612)
7,591(9,717)(2,855)140,097

－

(570)
914
(358,634)
120,735(277,643)(6,523)(532,238)

(607)
958
(373,122)
480,742(3,269)(11,691)(86,925)

(Millions of yen)
FY2016(April 1, 2015
– March 31, 2016)
Cash flows from financing activities:
Payments for acquisition of subsidiaries’stock
not resulting in change in scope of consolidation
Proceeds from sales of subsidiaries’stock not resulting inchange in scope of consolidation
Net Increase (decrease) in short-term loans (within threemonths)Proceeds from short-term loans payable
Repayments of short-term loans payable
Proceeds from long-term loans payable
Repayments of long-term loans payable
Proceeds from issuance of corporate bonds
Repayments of corporate bonds
Payments for repurchase of treasury stock
Cash dividends paid
Cash dividends paid to non-controlling interests
Proceeds from payments by non-controlling interests
OthersNet cash provided by (used in) financing activities
Translation adjustments of 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―9―

FY2017(April 1, 2016
– March 31, 2017)

(155)

(131)

524

463

23,83916,384

127,110(68,105)
153,980(38,574)
25,481(46,965)(20)(37,699)(1,670)102(13,352)
124,495
3,386(156,307)248,706
92,39936,921(114,087)
63,242(36,084)
80,068(20,000)(18,048)(37,609)(2,290)2,245
29,714789(1,672)
151,286
92,399243,685

(5) Note on Consolidated Financial Statements(Segment Information）
Transition date (April 1, 2015)(Millions of yen)Segment assets(Notes)Automobile

Materials
Handling
Equipment

TextileMachinery

Others(Note 1)

Total

576,013

1,041,977

64,060357,894

2,039,946

Elimination
Consolidated(Note 2)
2,709,469

4,749,415

1. "Others" represents businesses not included in the above reporting segments.
2. Breakdown of elimination"Elimination" for "Segment assets" includes corporate assets. Corporate assets mainly consist of theCompany's cash and deposits as well as investment securities.

FY2016 (April 1, 2015– March 31, 2016)(Millions of yen)

Sales
Outside customer
sales
Inter-segment
transactions
Total

Automobile

Materials
Handling
Equipment

TextileMachinery

Others(Note 1)

556,505

1,019,438

65,68455,228

1,696,856－

1,696,856

25,1622,450

224

23,75051,588(51,588)－

Total

Elimination Consolidated(Note 2)
(Note 3)581,668

1,021,889

65,90878,9791,748,445(51,588)

1,696,856

Segment profit

32,77891,719

6,561

5,306

136,365660

137,026

Segment assets

566,700

1,291,610

49,768238,279

2,146,358

2,170,924

4,317,282

Financial income

67,264

Financial expenses(13,536)

Share of profit (loss) ofinvestments accounted
for by the equity
methodProfit before income
taxes(Notes)632

191,386

1. "Others" represents businesses not included in the above reporting segments.
2. Breakdown of elimination
660 million yen included in "Elimination" for "Segment profit" is inter-segment transactions.
"Elimination" for "Segment assets" includes corporate assets.
Corporate assets mainly consist of the Company's cash and deposits as well as marketable securities andinvestment securities.
3. "Segment profit" reconciles to operating profit disclosed in the consolidated statements of profit or loss.

―10―

FY2017 (April 1, 2016– March 31, 2017)(Millions of yen)

Sales
Outside customer
sales
Inter-segment
transactions
Total
Segment profit
Segment assets
Financial income
Financial expenses
Share of profit (loss) ofinvestments accounted
for by the equity
methodProfit before income
taxes(Notes)Automobile

Materials
Handling
Equipment

TextileMachinery

Others(Note 1)

562,672

988,148

66,28858,0391,675,148－

1,675,148

23,816

1,142

210

23,40848,578(48,578)－

586,489
24,964
540,453989,290
89,475
1,352,270

66,4986,868
46,97881,4486,051
286,030

1,723,727
127,359
2,225,732(48,578)(14)
2,332,479

1,675,148
127,3454,558,212
63,734(10,067)

Total

Elimination Consolidated(Note 2)
(Note 3)974

181,986

1. "Others" represents businesses not included in the above reporting segments.
2. Breakdown of eliminations(14) million yen included in "Elimination" for "Segment profit" is inter-segment transactions.
"Elimination" for "Segment assets" includes corporate assets.
Corporate assets mainly consist of the Company's cash and deposits as well as marketable securities andinvestment securities.
3. "Segment profit" reconciles to operating profit disclosed in the consolidated statements of profit or loss.

―11―

(Earnings per Share）(1) Basis of calculation for basic earnings per share(i) Profit attributable to owners of the parent(Millions of yen)
FY2016(April 1, 2015
– March 31, 2016)
Continuing operations

FY2017(April 1, 2016
– March 31, 2017)

132,835

131,398

Discontinued operations

61,435－

Total profit attributable to owners of the parent

194,270

131,398(ii) Weighted-average shares of common stock(Thousands)
FY2016(April 1, 2015
– March 31, 2016)
Weighted-average shares

FY2017(April 1, 2016
– March 31, 2017)314,180

312,272(2) Basis of calculation for diluted earnings per share(i) Profit attributable to owners of the parent after dilution(Millions of yen)
FY2016(April 1, 2015
– March 31, 2016)
Continuing operations

FY2017(April 1, 2016
– March 31, 2017)

132,835

131,398

Discontinued operations

61,435－

Total profit attributable to owners of the parent

194,270

131,398－－

194,270

131,398

Adjustments to profit used for calculation of diluted earnings
per share
Profit used for computation of diluted earnings per share(ii) Weighted-average shares of common stock after dilution(Thousands)
Weighted-average shares

314,180

Effect of dilutive potential shares of common stock
Weighted-average shares of common stock after dilution―12―

312,2725－

314,186

312,272

2. Disclosure on Transition to IFRSThe Group has disclosed consolidated financial statements based on IFRS since the securities report for the fiscal year
ended March 31, 2017. The transition date to IFRS is April 1, 2015.
The following is the adjustment tables required to be disclosed for the first adoption of IFRS.
Adjustments to equity as of the transition date (April 1, 2015)(Millions of yen)Japanese GAAPLine item(Assets)
Current assets

AmountRecognizedandReclassification
measureddifference
AmountAmountIFRSAmountLine item
AssetsCurrent assets
Cash and cash
248,706equivalents－

Cash and deposits

247,273

1,433－

Investments in securities
Cash deposits for cash
collection and deposit
services

34,085(34,085)－

58,250(58,250)－－－

475,967(552)

475,415－

91,472716

265,504(265,504)－

191,583
194,837
24,234――68,603(191,583)－(24,234)
8,640
35,793(68,603)－(1,889)
－
―
2,132
－

Trade notes and accounts
receivable
Lease investment assets
Inventories
Deferred tax assets

OthersAllowance for doubtful
accounts
Total current assets
Fixed assets
Property, plant andequipment(3,756)

3,756－

1,080,615(25,197)406

707,532(431)

33,069Intangible assets

192,702－

10,340

－

243

755

－

14,31120－
2,593,522

2,606,520(2,593,522)

70,698－Net defined benefit assets

28,289－(6,005)

Deferred tax assets
Lease investment assets
OthersAllowance for doubtful
accounts

18,228243
30,622

15,829(243)(30,622)(2,245)
－
－

(860)

860

－

－

3,425

303

Total fixed assets

3,570,280

16,372

106,936

Total assets

4,650,896(8,824)

107,343

Investment securities―13―

Trade receivables andother receivables
92,189 Other financial assets－－
192,947 Inventories－
8,640 Income tax receivables
37,926 Other current assets－－
1,055,825 Total current assets
Non-current assets
Property, plant and
740,171
equipment
Goodwill and
203,042
intangible assets
Trade receivables and999
other receivables
Investments accounted for
14,332 by theequity method
2,677,218 Other financial assets－
Net defined benefit
22,283
assets31,812 Deferred tax assets－－－
Other non-current
assetsTotal non-current
3,693,589
assets4,749,415 Total assets
3,729

(Millions of yen)Japanese GAAPLine item(Liabilities)
Current liabilities
Trade notes and accounts
payableAmountRecognizedandReclassification
measureddifference
AmountAmountIFRSAmountLine item
Liabilities and equity
Liabilities
Current liabilities

205,816(205,816)－－－

330,569

24,074354,643

146,789－－－

135,740

2,926

45,66529,245
13,686636(45,665)(29,245)
1,538
(636)

－
－
―
－

626

(626)

－

210,721－－653,187(210,721)
5,653
19,072(136)－－－
27,000607,152－

18,229117,185(117,185)－－

117,234

4,397

86,766－

1,295－
737,268
23,404

6,245(7,768)(23,404)－
27,084－－

16,190(1,262)

Total long-term liabilities

1,571,779(8,688)49,743

Total liabilities(Net assets)
Capital stock
Capital surplus
Retained earnings
Treasury stock
Accumulated othercomprehensive income
Subscription rights to shares

2,224,967(8,824)76,74480,462
105,592
644,165(41,509)

－
－
－
－

－
－
61,356－

1,567,509

72(26,319)

72

(72)

－

69,636－(4,438)2,425,929－

30,5984,650,896(8,824)

107,343

Corporate bonds andloans

Lease obligations
Accounts payable— otherAccrued income taxes
Deferred tax liabilities
Allowance for bonuses todirectors
OthersTotal current liabilities
Long-term liabilities
Corporate bonds andloans
Lease obligations

Net defined benefit
liabilities
Deferred tax liabilities
OthersNon-controlling interests
Total net assets
Total liabilities and net
assets―14―

Trade payables andother payables
Corporate bonds and146,789
loans
Other financial
138,667
liabilities－－
15,225 Accrued income taxes－－－
5,653 Provisions
19,072 Other current liabilities
680,051 Total current liabilities
Non-current liabilities
Corporate bonds and625,382
loans－
Other financial
121,632
liabilities
Net defined benefit
88,062
liabilities
6,245 Provisions
756,584 Deferred tax liabilities－
Other non-current
14,927
liabilities
Total non-current
1,612,834
liabilities
2,292,886 Total liabilities
Equity80,462 Capital stock
105,592 Capital surplus
705,521 Retained earnings(41,509) Treasury stock
Other components of
1,541,262
equity－Non-controlling
65,198interests
2,456,528 Total equity
Total liabilities and
4,749,415
equityAdjustments to equity for FY2016 (April 1, 2015– March 31, 2016)(Millions of yen)Japanese GAAPLine item

AmountRecognizedandReclassification
measureddifference
AmountAmount(Assets)
Current assets
Cash and deposits

352,302(259,903)－

Investments in securities

10,871(10,871)－－625,276(1,035)－272,366

1,044

280,807(280,807)－

235,598
197,20225,185――
159,054(235,598)－(25,185)
7,170
36,722(159,054)－(1,219)
－
―
2,235
－

Trade notes and accounts
receivable
Lease investment assets
Inventories
Deferred tax assets

IFRS
AmountLine item

AssetsCurrent assets
Cash and cash
92,399equivalents－
Trade receivables and624,240other receivables
273,410 Other financial assets－－
195,982 Inventories－
7,170 Income tax receivables
38,958 Other current assets－

OthersAllowance for doubtful
accounts
Total current assets
Fixed assets
Property, plant andequipment(3,796)

3,796－

1,257,226(26,088)

1,023

781,251(415)

34,562Intangible assets

170,214－

18,992

－

141

863

－

13,57221－
1,945,123

1,952,493(1,945,123)

75,790－Net defined benefit assets

8,215

－

3,435

Deferred tax assets
Lease investment assets
Long-term loans
receivable
OthersAllowance for doubtful
accounts

14,109141

10,604(141)(2,115)－

4,163(4,163)－－

20,154(20,154)－－(1,403)

1,403

－

－

－

2,895

483

Total fixed assets

2,941,970

11,114132,035

Total assets

4,199,196(14,973)

133,059

Investment securities―15―－
1,232,161 Total current assets
Non-current assets
Property, plant and815,399
equipment
Goodwill and
189,207
intangible assets
Trade receivables and1,005
other receivables
Investments accounted for
13,593 by theequity method
2,028,284 Other financial assets－
Net defined benefit
11,651
assets
22,599 Deferred tax assets－

Other non-current
assetsTotal non-current
3,085,121
assets4,317,282 Total assets
3,379

(Millions of yen)
RecognizedandReclassification
measureddifference
AmountAmountJapanese GAAPLine item(Liabilities)
Current liabilities
Trade notes and accounts
payableAmountIFRSAmountLine item
Liabilities and equity
Liabilities
Current liabilities

214,162(214,162)－－－

332,876

23,005355,882

190,844－－－

72,5382,902

41,41125,75447,473
149(41,411)(25,754)
577
(149)

－
－
－
－

644

(644)

－

153,195－－
673,636(153,195)
9,336
20,186
196－－―
25,908700,149－

11,27598,771(98,771)－－

98,777

7,470

90,920－(1,978)－500,077
21,692

6,888(14,430)(21,692)－
32,207－－

14,0582,810

Total long-term liabilities

1,411,611(15,169)

51,785

Total liabilities(Net assets)
Capital stock
Capital surplus
Retained earnings
Treasury stock
Accumulated othercomprehensive income
Subscription rights to shares

2,085,248(14,973)

77,69480,462
105,562
789,502(41,266)

－
－
－
－

－
(44)
65,815－

1,102,547

6(3,926)6(6)－

Non-controlling interests

77,133－(6,478)

Total net assets
Total liabilities and net
assets2,113,948－

55,365

4,199,196(14,973)

133,059

Corporate bonds andloans

Lease obligations
Accounts payable— otherAccrued income taxes
Deferred tax liabilities
Allowance for bonuses todirectors
OthersTotal current liabilities
Long-term liabilities
Corporate bonds andloans
Lease obligations

Net defined benefit
liabilities
Deferred tax liabilities
Others―16―

Trade payables andother payables
Corporate bonds and
190,844
loans
Other financial
75,440liabilities－－
48,051 Accrued income taxes－－－
9,336 Provisions
20,186 Other current liabilities
699,741 Total current liabilities
Non-current liabilities
Corporate bonds and711,424
loans－
Other financial
106,248
liabilities
Net defined benefit
88,942
liabilities
6,888 Provisions
517,854 Deferred tax liabilities－
Other non-current
16,868liabilities
Total non-current
1,448,227
liabilities
2,147,969 Total liabilities
Equity80,462 Capital stock
105,517 Capital surplus
855,317 Retained earnings(41,266) Treasury stock
Other components of
1,098,627
equity－Non-controlling
70,655interests
2,169,313 Total equity
Total liabilities and
4,317,282
equityAdjustments to profit attributable to owners of the parent and comprehensive income in FY2016 (April 1, 2015– March 31,
2016)(Millions of yen)Japanese GAAPLine item

Reclassification
AmountAmountRecognizedandmeasureddifference
AmountIFRSAmountLine item

Net sales

2,243,220(45,048)(501,314)

1,696,856 Net sales

Cost of sales(1,812,293)

30,756489,677(1,291,859) Cost of sales

Gross profit

430,926(14,292)(11,637)

404,997 Gross profit

Selling, general andadministrative expenses(296,214)

5,536

23,783(266,894)

Operating profit
Non-operating profit
Non-operating expenses
Extraordinary profit－－
134,71278,095(27,408)
89,819－－11,595(12,707)(9,868)(78,095)
27,408(89,819)
67,131(13,122)(715)
750
12,182
－
－
－
133
(414)

10,879(11,956)
137,026－－－
67,264(13,536)

－

638

(6)

632

Profit before income taxes

275,218(95,726)

11,895

191,386

Total income taxes(83,445)

31,502(922)(52,865)－

64,224(2,789)61,435

191,772－

8,183

199,956

183,036－

11,233

194,270

8,735－(3,049)

5,685

ProfitProfit attributable to ownersof the parent
Profit attributable to noncontrolling interests―17―

Selling, general andadministrative expenses
Other profit
Other expenses
Operating profit

Financial income
Financial expenses
Share of profit (loss)of investments
accounted for by theequity method
Profit before income
taxes
Income tax expenses
Profit (loss) fromdiscontinued
operations
ProfitProfit attributable toowners of the parent
Profit attributable tonon-controllinginterests

(Millions of yen)Japanese GAAPLine item
Profit attributable to ownersof the parent
Other comprehensive
incomeReclassification
AmountAmountRecognizedandmeasureddifference
AmountIFRSAmount191,772－

8,183

199,956

Valuation difference on
available-for-sale securities(417,966)

－

8,767

(409,198)

Defined benefit planadjustments(14,872)－

7,849(7,022)

－

(18)

－

(18)

(416,239)

Foreign currency translation
adjustment
Deferred gains or losses onhedges(35,659)－

166(35,492)

379

－

(935)

(556)

Line item
Profit attributable toowners of the parent
Other comprehensive
incomeItems not to bereclassified into profit
or loss
Profit (loss) fromFVTOCI financial
assetsRemeasurements ofdefined benefit
plans
Share of othercomprehensive income ofaffiliates
accounted for by theequity method
Total items not to bereclassified into
profit or loss
Items that can bereclassified into
profit or loss
Foreign currencytranslation adjustment
Cash flow hedges

Share of othercomprehensive income of(689)
affiliates
accounted for by theequity method
Total items that can(36,737) be reclassified into
profit or loss

－

(689)

－

Share of othercomprehensive income ofaffiliated companies
accounted for using equity
method

(707)

707

－

－

Total other comprehensive
income(468,826)－

15,848(452,977)

Comprehensive income(277,053)－

24,032(253,021) Comprehensive income

Profit attributable to ownersof the parent(281,925)－

26,851(255,074) Owners of the parent

Profit attributable to noncontrolling interests

4,871

－

(2,818)

Total othercomprehensive income(316,549) Continuing operations
Discontinued
61,475operations
Non-controlling
2,053interests

Adjustments to consolidated cash flows
Under Japanese GAAP, cash flows from short-term loans payable were presented as a net increase or decrease; on theother hand, under IFRS, short-term loans payable with a term of over three months are provided as either "Proceeds fromshort-term loans payable (over three months)" or "Repayments of short-term loans payable (over three months)," andpresented as a total amount.

―18―

3. Differences between the IFRS and Japanese GAAP (FY2017)
Matters regarding differences between primary line items of the consolidated financial statements created in conformity
with IFRS and equivalent line items of the consolidated financial statements created in conformity with the Japanese
GAAP
FY2017 (April 1, 2016–March 31, 2017)(Supply-for-a-fee transactions)Regarding supply-for-a-fee transactions, net sales and cost of sales are recorded at the time of repurchase under Japanese
GAAP; under IFRS, on the other hand, only net amounts of machining cost equivalents are recognized as revenue. As aresult, net sales decreased 561,920 million yen and cost of sales decreased 561,920 million yen.
(Goodwill)
Goodwill, if material, is amortized principally over less than 20 years on a straight-line basis under Japanese GAAP;
under IFRS, on the other hand, it has not been amortized since the transition date, while an impairment test is conducted
for every period. As a result, selling, general and administrative expenses decreased 7,577 million yen.

―19―