July 31, 2012
Taiyo Nippon Sanso Corporation

Business Performance for the First Quarter of Fiscal Year 2013
(on a consolidated basis)
1. Financial results for the first quarter (April 1- June 30, 2012)(1) Operating results(Amounts less than ¥1 million are omitted)
Net sales(¥ million)

Operating income

YoYChange(3.3)(¥ million)

Ordinary income

YoYChange(18.9)

First
112,378
6,194
quarter ofFY2013
First116,268
(0.6)
7,636
(17.9)
quarter ofFY2012
Note: Comprehensive income
First quarter of FY2013: ¥5,560 million (up 12.6%)
First quarter of FY2012: ¥4,939 million (up 119.0%)
Earnings per
share (Yen)
7.71
8.33

First quarter of FY2013
First quarter of FY2012(¥ million)

Net income(¥ million)

5,833

YoY
Change(27.9)

3,059

YoY
Change(8.0)

8,086(13.8)

3,325(36.8)

Diluted earnings per
share (Yen)――(2) Financial position (¥ million)
Total assets
First quarter of FY2013
609,071
FY2012607,024
Notes: Equity
First quarter of FY2013: ¥203,949 million
FY2012 full term: ¥200,835 million

Net assets
223,063
219,611Equity ratio (%)
33.5
33.12. Forecasts for business operations for FY2013 (full term; April 1, 2012 –March 31, 2013)
Net sales

FY2013(first half)
FY2013(full term)

Operating income

Ordinary income

Net income

Earnings
per share(¥ million)

YoY
Change(¥ million)

YoY
Change(¥ million)

YoY
Change(¥ million)

YoY
Change(Yen)

232,000(1.2)

14,800(6.2)

13,300(16.9)

7,600

9.7

19.15

486,000

1.8

32,8005.6

30,2001.6

17,400(17.9)

43.84

Note: No revisions have been made to recently announced forecasts.

1

3. Quantitative information relating to business performance (consolidated basis)
In the first quarter (April 1-June 30, 2012), uncertainty surrounded the global
economy, with the prospect of a slowdown in China adding to the ongoingsluggishness in the US economy and debt crisis in the eurozone. At the same time,
stagnation deepened in the Japanese economy, which was held back by a range ofconcerns, including a steep drop in demand in the electric machinery and electronics
sectors, the persistently high yen and power supply instability, which offset the fairly
robust conditions in the automotive industry.
Against this backdrop, first-quarter sales on a consolidated basis fell 3.3% yearon-year to ¥112,378 million, and operating income slipped 18.9% to ¥6,194 million,ordinary income 27.9% to ¥5,833 million and net income 8.0% to ¥3,059 million.
A breakdown of business performance by operational segment follows.
(1) Industrial Gases Business
Sales of oxygen, nitrogen and argon to key customer industries such as
steelmaking and chemicals rose slightly year-on-year, on the back of buoyant demand
from the automaking sector. Sales of machinery and equipment such as air separation
plants were also up, but welding and cutting equipment and materials were down.
Recovery in demand in North America was weak, and sales remained flat. However,sales rose in the Asian region where demand remains buoyant, due partly to thecontributions of newly consolidated units.
As a result of the foregoing, sales in the Industrial Gases Business declined 0.4%
year-on-year to ¥72,214 million, while operating income edged down 1.3% to ¥5,167
million.
(2) Electronics BusinessProfitability in the Electronics Business deteriorated significantly during thequarter under review. Sales of electronic materials gases and of electronics-related
equipment and installations fell steeply year-on-year due chiefly to an ongoing slump
in capacity utilization at major Japanese manufacturers of semiconductors, LCD
panels and solar cells. Sales of semiconductor manufacturing equipment were up
year-on-year due partly to robust shipments to Taiwan.
As a result of the above, sales in the Electronics Business fell 17.8% year-onyear to ¥21,588 million, and the segment posted an operating loss of ¥255 million
compared with operating income of ¥1 billion in the same period of the previous year.
(3) Energy Business
Sales of LP gas rose year-on-year on persistently high import prices.
As a result, sales in the Energy Business increased 10.5% year-on-year to ¥10,260

2

million, while operating income rose 27.0% to ¥637 million.
(4) Other Businesses
In the Medical Business, equipment sales were strong. The Thermos Businessalso had a steady quarter on a year-on-year basis.
As a result, sales in Other Businesses edged up 1.6% year-on-year to ¥8,314
million, while operating income increased 9.9% to ¥975 million.
4. Segment information(1)First Quarter, FY2012 (April 1, 2011 to June 30, 2011)
IndustrialGases BusinessSales(1) Sales toexternalCustomers(2) Sales frominter-segment
transactions andtransfers
Total
Operatingincome72,521

Reportable segment
Electronics
EnergyBusinessBusiness
26,274

9,288(¥ million)

OtherBusinesses(Note 1)

Total

Adjustments(Note 2)

8,183

116,268―

Consolidated

116,268
―
884

13

1,008

673

2,579(2,579)

73,406

26,287

10,297

8,856

118,848(2,579)116,268

5,235

1,000502888

7,626

107,636Notes
1. Other businesses include the Medical Business, the Thermos Business and real estate operations.
2. The ¥10 million adjustment for segment earnings comprises ¥126 million of inter-segment
eliminations and companywide expenses of ¥115 million that were not allocated to any particular
reporting segment. These companywide expenses relate principally to basic researches that were notparticularly allocated to reporting segments.

(2)First Quarter, FY2013 (April 1, 2012 to June 30, 2012)
IndustrialGases BusinessSales(1) Sales toexternalCustomers(2) Sales frominter-segment
transactions andtransfers
Total
OperatingincomeReportable segment
Electronics
EnergyBusinessBusiness(¥ million)

OtherBusinesses(Note 1)

Total

Adjustments(Note 2)

Consolidated

72,214

21,588

10,2608,314

112,378―

112,378

391

13

514

700

1620

(1,620)―72,605
5,167

21,602(255)

10,775
637

9,015
975

113,998
6,525(1,620)(331)

112,378
6,194

Notes
1. Other businesses include the Medical Business, Thermos K.K. and real estate operations.
2. The ¥331 million negative adjustment for segment earnings comprises ¥46 million of inter-segment
eliminations and companywide expenses of ¥377 million that were not allocated to any particular
reporting segment. These companywide expenses relate principally to basic researches that were notparticularly allocated to reporting segments3