FY2014 Consolidated Financial Results
For the Year Ended March 31, 2014
(Japan GAAP)May 9, 2014
Company Name
: Fuji Heavy Industries Ltd. (Tokyo Stock Exchange First Section, Code No.: 7270)
URL: http://www.fhi.co.jp/english/ir/
Representative: Yasuyuki Yoshinaga, President and CEO
Contact for Inquiries: Kazunori Yamafuji, General Manager of Administration Department Phone +81-3-3347-2005
Scheduled date of annual meeting of stockholders : June 24, 2014 Scheduled date for dividend payment : June 25, 2014
Scheduled date of submitting Security Report: June 25, 2014
Annual earnings supplementary explanatory documents: Yes
Holding of annual financial results meeting: Yes (for investment analysts and institutional investors)(All amounts have been rounded off to the nearest million yen, unless otherwise specified)1.

Performance in FY2014 (April 1, 2013 to March 31, 2014)(1)Consolidated Results of Operations (for twelve-month period)(In Japanese yen rounded to million, except for per share figures, percentage figures indicate a change from the previous fiscal year / period)

Net sales
2,408,129
25.9%

FY2014

Operating income
326,489
171.1%

Ordinary income
314,437212.5%Net income
206,61672.8%

FY2013
1,912,968
26.1%
120,411173.9%
100,609169.9% 119,588
Note: Comprehensive income FY2013: 210,757 million yen (38.6%) FY2012: 152,009 million yen (241.8%)
Net income pershare, basic (Yen)FY2014264.76FY2013153.23

Reference: Equity income from affiliates

Net income pershare, diluted (Yen)－－FY2014: 320 million yen(2) Consolidated Financial Position
Total assets

22.9%

6.9%

Ratio ofoperating income(loss) to sales
13.6%
6.3%

FY2013: 43 million yen(Unit: Millions of yen, except for per share figures)
Net assets

1,888,363

FY201430.4%

Ratio of ordinary
income (loss) tototal assets
18.1%

Return on
equityShareholders’ equity tototal assets (%)

770,071

Net assets per share (Yen)

40.5%

980.98

1,577,454
596,81337.7%
FY2013
Reference: Shareholders’ equity FY2014: 765,544 million yen FY2013: 595,365 million yen(3) Consolidated Cash FlowsNet cash provided byoperating activities
313,024
166,715

FY2014FY2013211.0%Net cash provided byinvestment activities(33,903)(71,370)762.87(Unit: Millions of yen)
Cash & cash equivalents
Net cash provided byat end of period
financing activities(63,011)557,870(60,766)
328,947

2. Dividends
1stQuarter

FY 2013
FY 2014
FY 2015－－

Cash dividends per share (yen)Year2nd
3rdend
Quarter
Quarter
－
5.00
10.00
－
20.00
33.00
28.00

(Forecast)

Note: Breakdown of the dividend as ofAnnual
15.00
53.00

28.00
FY2014 Year-end:

Amount ofdividends
paid (Annual)
11,71341,382

Dividend payout
ratio(consolidated)
9.8%
20.0%

56.00

Ratio of dividends
to net assets(consolidated)
2.2%
6.1%

20.3%

Ordinary dividends 28yen

Commemorative dividends 5yen

3. Projection of Consolidated Results for Fiscal Year 2014 (April 1, 2014 to March 31, 2014)(In Japanese yen rounded to million, except for per share figures, percentage figures indicate a change from the previous fiscal year / period)

Net sales

Operating income

Ordinary income

Net income pershare,basic(Yen)

Net income

1st half

1,300,000

15.5%

160,000

6.2%

156,000

6.7%

101,000

1.2%

129.42

Full year

2,720,000

13.0%

340,000

4.1%

330,000

4.9%

215,000

4.1%

275.504. Others: No(1) Changes of significant subsidiaries in fiscal year 2014
(Transfer of subsidiaries resulting in changes in the scope of consolidation)(2) Changes in accounting policies, procedures and methods of presentation for preparing the consolidated
financial statements[1] Changes due to revisions of accounting standards[2] Changes due to other reasons[3] Changes of estimation due to accounting issues[4] Restatements

: Yes
: No
: No
: No

(3) Number of outstanding shares (Common Stock)[1] Number of outstanding shares

As of March 31,2014:

782,865,873 shares

As of March 31,2013:

782,865,873 shares[2] Number of treasury stock

As of March 31,2014:

2,477,430 shares

As of March 31,2013:

2,435,448 shares[3] Average number of shares( for twelve-month period ）FY2014:(including treasury stock)780,401,864 shares

FY2013:

780,452,063 shares(Reference) Non-consolidated Financial Results Highlights
Performance in FY2014(April 1, 2013 to March 31, 2014)(1)Non-consolidated Results of Operations (for twelve-month period)(In Japanese yen rounded to million, except for per share figures, percentage figures indicate a change from the previous fiscal year / period)

FY2014FY2013

Net sales
1,689,639 25.7%
1,344,110 29.4%

Operating income
248,428
196.6%
83,760－Ordinary income
252,323 221.2%
78,566 873.2%

Net income
173,11175.5%
98,648 963.3%

FY2014FY2013

Net income per share,
basic (Yen)
221.71
126.33

Net income per share,
diluted (Yen)－－

Shareholders’ equity tototal assets (%)
628,02146.4%
496,290
42.9%

Net assets per share(Yen)
804.34635.59(2) Non-consolidated Financial Position
Total assets
FY2014FY2013
Reference: Shareholders’ equity

1,354,411
1,157,447

Net assets

FY2014: 628,021 million yen FY2013: :496,290 million yen*The status of the implementation of the annual audit
This earnings report is exempt from audit procedure based upon of the Financial Instruments and Exchange Act.
It is under the audit procedure process at the time of disclosure of this report.
*Proper use of projection of operating results, and other information
The performance projections were based on the information available as of the date when this document was
released. Therefore, actual results may differ considerably due to various factors that might occur in the future.
Please refer to page 3 in the attachments for assumptions used for the performance projection and other notes.

Index of the attachments
1. Operating Results ····················································································· 2(1) Analysis of Operating Results ·············································································· 2(2) Analysis of Financial Results ··············································································· 4(3) Basic Policy Regarding the Distribution of Profits ···················································· 4

2. Management Policies ················································································· 5(1) Basic Management Policies ················································································· 5(2) Issues That Must Be Addressed············································································ 5

3. Consolidated Financial Statements ································································ 7(1) Consolidated Balance Sheet ················································································ 7(2) Consolidated Statements of (Comprehensive) Income ················································ 9Consolidated Statements of Income (for twelve-month period)······································· 9Consolidated Statements of Comprehensive Income (for twelve-month period) ·················10(3) Consolidated Statements of Changes in Net Assets ···················································11(4) Consolidated Statements of Cash Flows ································································11(5) Notes to Consolidated Financial Statements ···························································11(Notes on Premise of Going Concern) ·····································································15(Fiscal Year Change of Consolidated Subsidiaries)·····················································15(Accounting Change) ·························································································15(Consolidated Balance Sheet) ···············································································15(Consolidated Statements of income) ······································································16(Segment Information) ·······················································································17(Per Share information) ······················································································19(Subsequent event) ····························································································19

4. Non-consolidated Financial Statements··························································20(1) Non-consolidated Balance Sheet ··········································································20(2) Non-consolidated Statements of Income (for twelve-month period) ······························23(3) Non-consolidated Statements of Changes in Net Assets··············································24

1. Operating Results(1) Analysis of Operating Results1) Operating Results for the Current Period under Review
The Japanese economy in the period under review showed a moderate recovery against the backdrop of robust capital
investment, improved export environment thanks to the correction of the strong yen, and increased personal consumption
and industrial production associated with the demand rush ahead of the consumption tax rate increase. In the global
economy, indications were for a solid rebound driven by developed countries despite the diminished growth momentum inthe emerging countries.
In this environment, the FHI Group formulated its mid-term management plan “Motion-V (Five)” for the five years fromfiscal year 2012 to 2016 and worked to implement the Group’s growth strategy for the automotive operations “Subaru”
which is the core business of FHI.
In the period under review, efforts in product development, marketing activities, and quality improvement of dealerships
in the U.S., a key market of FHI, proved successful in driving worldwide sales. Moreover, centered on the U.S. and Japan,
Subaru sales increased, specifically sales of the Forester. Furthermore, a first at FHI, the Subaru XV Hybrid came to market
as a hybrid car equipped with horizontally-opposed engine. The Subaru XV Hybrid stands out as “a hybrid that delivers
fun-to-drive experience first-hand” without sacrifice of safety and driving performances, which have been the strengths ofSubaru. Customer responses have been enthusiastic, underscoring the success of FHI’s steady efforts.
Based on the foregoing, consolidated results for the period under review were as follows.
Net sales increased ¥495.2 billion (25.9%) compared with the previous fiscal year to ¥2,408.1 billion, thanks to higher
automobile unit sales and aided by the correction of the strong yen.
Regarding the profit, operating income increased ¥206.1 billion (171.1%) compared with the previous fiscal year to¥326.5 billion, consistent with higher sales. Ordinary income increased ¥213.8 billion (212.5%) compared with theprevious fiscal year to ¥314.4 billion. Net income increased ¥87.0 billion (72.8%) compared with the previous fiscal year to¥206.6 billion, including an extraordinary income of ¥47.1 billion from the sale of the stock of Polaris Industries Inc. and an
extraordinary loss of ¥29.6 billion from allowance for doubtful accounts for the case that a ruling of the Tokyo District
Court is confirmed denying claims brought by FHI against the Government of Japan for the initial investment fees related
to the combat helicopter AH-64D for the Japan Ministry of Defense.
Results by Business Segment(Automobile Division)
As to overall automobile demand in Japan in the period under review, compared with the previous fiscal year, passenger
cars increased 5.9% and minicars increased 14.7%, thanks to new model introductions by automobile companies and thedemand rush spurred by the consumption tax rate increase at the end of the fiscal year despite a backlash came after the ecocar subsidy program of a year earlier in the first half of the fiscal year. As a result, overall automobile unit sales in Japan
increased 5.69 million units (an increase of 9.2% compared with the previous fiscal year).
Amid this overall demand trend, unit sales of Subaru passenger cars in Japan increased 13 thousand (11.9%) units
compared with the previous fiscal year to 126 thousand units centered on models featuring the advanced driving assist
system “EyeSight (ver. 2)” thanks to favorable sales of the Impreza continuing from the previous fiscal year and further
contributions to unit sales throughout the fiscal year from sales of the Forester introduced two years ago.
Moreover, unit sales of minicars increased 5 thousand (10.1%) units compared with the previous fiscal year to 55
thousand units thanks to steady sales of the mini-passenger car Stella and contributions to unit sales throughout the fiscal
year from sales of the Pleo Plus.
As a result, automobile unit sales in Japan increased 19 thousand (11.3%) units compared with the previous fiscal year to
182 thousand units.
Overseas, centered on North America, the all-new Forester and Subaru XV posted strong sales throughout the fiscal year.
As a result, overseas unit sales increased 82 thousand (14.6%) units compared with the previous fiscal year to 643
thousand units.
By region, sales in North America increased 88 thousand (22.4%) units from the previous fiscal year to 478 thousand
units, sales in Europe including Russia decreased 14 thousand (23.0%) units from the previous fiscal year to 47 thousand
units, sales in China decreased 5 thousand (10.7%) units from the previous fiscal year to 45 thousand units, sales inAustralia increased 1 thousand (3.7%) units to from the previous fiscal year 40 thousand units, and sales in other areas
increased 13 thousand (57.9%) units from the previous fiscal year to 34 thousand units.
-2-

Combined domestic and overseas unit sales therefore increased 101 thousand (13.9%) units compared with the previous
fiscal year to a historical high of 825 thousand units. The net sales for the overall Automobile Division, adding in the effects
from the correction of the strong yen, increased ¥467.7 billion (26.3%) compared with the previous fiscal year to ¥2,246.6
billion. Segment income also increased ¥198.0 billion (178.4%) compared with the previous fiscal year to ¥309.0 billion.
(Aerospace Division)
Sales of products to the Ministry of Defense saw net sales increase compared with the previous fiscal year thanks tohigher sales of the transport aircraft C-2 and combat helicopter AH-64D.
Moreover, sales to the commercial sector increased compared with the previous fiscal year, aided by the correction of thestrong yen relative to the year earlier and based on higher unit production of Boeing 777 and Boeing 787.
As a result, overall net sales increased ¥35.3 billion (39.6%) compared with the previous fiscal year to ¥124.4 billion.
Segment income also increased ¥7.3 billion (107.5%) compared with the previous fiscal year to ¥14.1 billion.
(Industrial Products Division)
Net sales decreased ¥0.4 billion (1.2%) compared with the previous fiscal year to ¥29.8 billion as increased sales ofgeneral-purpose engines for pumps and civil engineering in Japan and general-purpose engines in North America and Asia
could not offset the decline in sales of engines for leisure equipment to North America. Segment income also decreased¥0.01 billion (1.3%) compared with the previous fiscal year to ¥0.6 billion.
(Other Businesses)
Net sales decreased ¥7.4 billion (50.4%) compared with the previous fiscal year to ¥7.3 billion, mainly due to thediscontinuation of Eco Technology Company business, previously included in “Other Businesses”, effective March 31,
2013. Segment income increased ¥0.5 billion (29.7%) compared with the previous fiscal year to ¥2.1 billion.
2) Forecast for the Fiscal 2015
For the fiscal year ending March 2015, FHI plans to further expand sales in both Japanese market and overseas market
centered on the North America, taking automobile unit sales to an all-time high. Based on this outlook, full-year
consolidated net sales are projected to mark a historical high of ¥2,720.0 billion. Moreover, consolidated income, reflecting
the effects of increased automobile unit sales and reductions in input cost in spite of a rise in experiment and researchexpenses and other expenses such as SG&A, is expected to post new historical records at all levels, with operating incomeof ¥340.0 billion, ordinary income of ¥330.0 billion, and net income of ¥215.0 billion.
The projections of full-year consolidated results are based on assumed foreign exchange rates of ¥100/US$ (previously¥100/US$) and ¥135/EUR (previously ¥133/EUR).
(Consolidated forecast for the full fiscal year)
Net sales¥2,720.0 billion(up 13.0% year-on-year)

Operating income¥340.0 billion(up 4.1% year-on-year)

Ordinary income¥330.0 billion(up 4.9% year-on-year)

Net income¥215.0 billion(up 4.1% year-on-year)-3-(2) Analysis of Financial Results
1) Assets, Liabilities, and Net Assets
Total assets increased ¥310.9 billion compared with the end of the previous fiscal year to ¥1,888.4 billion. This was
mainly due to a ¥233.4 billion increase in combined funds on hand comprised of cash, deposits, and short-term investment
securities for short-term fund management, and a ¥57.4 billion increase in notes and accounts receivable-trade.
Liabilities increased ¥137.7 billion compared with the end of the previous fiscal year to ¥1,118.3 billion. This was mainly
due to a ¥102.6 billion increase in income taxes payable and a combined ¥43.2 billion increase in notes and accounts
payable-trade and electronically recorded obligations.
Net assets increased ¥173.3 billion compared with the end of the previous fiscal year to ¥770.1 billion. This was mainly
due to a ¥182.6 billion increase in retained earning as the same amount of net income for the current fiscal year.
2) Cash Flow
Cash and cash equivalents (hereinafter “Cash”) at the end of the period under review totaled ¥557.9 billion.
(Net cash provided by operating activities)
Net cash provided by operating activities was ¥313.0 billion (compared with ¥166.7 billion provided by operating
activities in the previous fiscal year). This was mainly due to ¥328.9 billion in income before income taxes and ¥33.5 billion
in income taxes paid.
(Net cash used in investment activities)
Net cash used in investment activities was ¥33.9 billion (compared with ¥71.4 billion used in investment activities in theprevious fiscal year). This was mainly due to ¥65.8 billion in expenditures for the purchase of property, plant andequipment (net basis against proceeds from sales of property, plant and equipment) and ¥36.7 billion in proceeds from salesof investment securities (net basis against expenditures for the purchase of investment securities).
(Net cash used in financing activities)
Net cash used in financing activities was ¥63.0 billion (compared with ¥60.8 billion used in financing activities in theprevious fiscal year). This was mainly due to ¥36.9 billion in repayment of long-term loans payable (net basis against
proceeds from long-term loans payable) and ¥23.4 billion in expenditures for cash dividends paid.
(3) Basic Policy Regarding the Distribution of Profits
FHI treats shareholder interests as a vital management issue and applies a results-linked concept that considers each fiscal
year’s earnings, investment plans, business environments, is committed to sustained dividend payment.
It is proposed to distribute an ordinary year-end dividend of ¥28.0 per share for the current fiscal year, which is ¥8.0
higher than the previous projection, taking into account the business result for the current fiscal year, business developmentsthat lie ahead and operating environments. It is further proposed to distribute an additional commemorative dividend of ¥5.0
per share on the occasion of the 60th founding anniversary of FHI, for a total year-end dividend of ¥33.0 per share. As aresult, including the interim dividend of ¥20.0 per share already distributed, this raises the per-share dividend for the full
fiscal year by ¥38.0 compared with the previous fiscal year to ¥53.0.
For the next fiscal year, dividends for the full fiscal year are projected to be increased by ¥3.0 compared with the current
fiscal year to ¥56.0 per share (comprised of an interim dividend of ¥28.0 and a year-end dividend of ¥28.0).

-4-

2. Management Policies(1) Basic Management Policies
As there has been no significant change from the details announced in the Consolidated Financial Results for the Year
Ended March 31, 2011 (released on May 10, 2011), the disclosure of this part is omitted.
The relevant consolidated financial results are available for viewing at the following URL.
(Fuji Heavy Industries company website)
http://www.fhi.co.jp/english/ir/index.html(Tokyo Stock Exchange website (for the search of information on listed companies))
http://www.tse.or.jp/tseHpFront/HPLCDS0101E.do?method=init&callJorEFlg=1(2) Issues That Must Be Addressed
The FHI Group has been aiming to achieve its management philosophy of being “a compelling company with strong
market presence”. Through efforts at implementing the 5-year mid-term management plan “Motion-V (Five)” establishedin July 2011, the Group has been strengthening its business platforms through selectivity and focus and working to create
products that reflect the pursuit of high added-value in terms of “enjoyment and peace of mind”, distinct from competitors
and available only from Subaru. As a result, the Group has been able in large part to attain already by fiscal year 2014 themain objectives raised by “Motion-V”.
However, rapid sales expansion has resulted in new issues, such as supply shortages and the provision of after-sales
service, etc., underscoring the need to further strengthen business infrastructure.
The Group will in all of its business operations continue to make all-out efforts at resolving the following issues, based on
the guiding principle entitled “Confidence in Motion”.
(Production capacity enhancement)
The Group plans for investments to strengthen capacity in fiscal year 2015 call for an increase in production capacity inJapan by 20 thousand units at the Gunma plant and in the U.S. by 30,000 units at Subaru of Indiana Automotive Inc. (SIA),
for a total of 50 thousand units. Moreover, aiming to start the production of new models in fiscal year 2017, further capacity
increases using existing lines will be initiated at SIA. Through these and other measures, every effort will be made toresolve the currently existing supply issues and deliver Subaru car to the customers around the world waiting for their car.
(Action in response to sales expansion)
In order to sustain the favorable performance seen thus far, the Group will work to further increase the number of Subaru
fans centered on key markets U.S., Japan, and China. As to products, in Japan the Levorg will be introduced as a newmodel while in the U.S., as a start, the launch of the all-new Legacy and all-new Outback which are flagship models isplanned. Moreover, to ensure that the many customers who have purchased a new Subaru car will continue to enjoy safe
driving also in the future by becoming repeat purchasers, customer service will be further perfected including by thestrengthening of service frameworks in the U.S. and Japan.
Based on these steps, plans for fiscal year 2015 are calling for worldwide unit sales of 916 thousand units, surpassing
previous fiscal year’s all-time high, with global production of 910 thousand units.
(Aspiring to a new stage)
With the successful attainment of the major objectives of “Motion-V” ahead of schedule marking a milestone, and given
the big changes taking place in the operating environment, the FHI Group has drawn up a new mid-term management
vision dubbed “Prominence 2020” as the point of entry to a new era.
The shape that the FHI Group seeks to acquire by 2020 has been defined as “a company not big in size but a high quality
company with distinctive strength”, a company that will aim to achieve overwhelming brand power strong enough to be
rated “the number one for customer trust” and among the most profitable companies in the industry.
In order to realize this shape, the Group will take an approach to complying with future environmental regulations,increasing production capacity, and strengthening relationships with customers including upgrading service frameworks.
Moreover, FHI will take specific action to create two major sources of support, firstly, “Enhancing the Subaru brand” tofurther promote high-added value business management, and secondly, “Building a strong business structure” to increase
resilience against fluctuations in the business environment and ensure sustainable growth by bringing to bear thecharacteristics obtainable only through the distinctive operations of Subaru. Especially with regard to environment friendly
automobiles, the Group will through cooperative agreements develop and market hybrid cars with distinct “Subaru”-5-characteristics by fusing the world’s leading environmental technologies, and in this way work to meet customers’
expectations.
(CSR activities)
As an objective of CSR activities, FHI aspires to be “a company which offers products and services contributing tosolutions of social issues through its global business activities”, as well as “a company which values the relationship with avariety of stakeholders”, and to this end has been proactively promoting its CSR activities. FHI will continue to develop andmarket products with excellent environment and safety performances, promote voluntary environmental preservation
activities, practice sound corporate governance, and engage in social contribution activities. Through these activities, FHI
will aim to be a company that contributes to society and gains the appreciation and sympathy of all stakeholders.

-6-3. Consolidated Financial Statements(1) Consolidated Balance Sheet(Unit: Millions of yen)
FY2013
FY2014(as of March 31, 2013)(as of March 31, 2014)ASSETSⅠ Current assets
Cash and deposits
Notes and accounts receivable-trade
Lease investment assets
Short-term investment securities
Merchandise and finished goods
Work in process
Raw materials and supplies
Deferred tax assets
Short-term loans receivable
Other
Allowance for doubtful accounts
Total current assets
Ⅱ Noncurrent assets
1. Property, plant and equipment
Buildings and structures, net
Machinery, equipment and vehicles, net
Land
Vehicles and equipment on operating leases, net
Construction in progress
Other, net
Total property, plant and equipment
2. Intangible assets
Other
Total intangible assets
3. Investments and other assets
Investment securities
Net defined benefit asset
Deferred tax assets
Other
Allowance for doubtful accounts
Total investments and other assets
Total noncurrent assets
Total assets-7-285,152
124,234
22,14566,370163,852
50,49835,217
52,94796,99047,579(951)
944,033

351,125
181,646
23,633
233,766
159,536
51,65933,00864,214
122,681
53,375(862)
1,273,781

113,186
116,864
173,012
13,062
14,232
14,599444,955

114,810
113,519
175,808
11,512
24,116
21,048460,813

12,751
12,751

14,712
14,712

93,054－6,227
80,425(3,991)
175,715
633,421
1,577,454

76,788
1,222
18,332
76,312(33,597)
139,057
614,582
1,888,363

(Unit: Millions of yen)
FY2013
FY2014(as of March 31, 2013)(as of March 31, 2014)
LIABILITIESⅠ Current liabilities
Notes and accounts payable-trade
Electronically recorded obligations-operating
Short-term loans payable
Current portion of long-term loans payable
Current portion of bonds
Income taxes payable
Accrued expenses
Provision for bonuses
Provision for product warranties
Provision for loss on construction contracts
Provision for loss on transfer of business
Provision for loss on litigation
Other
Total current liabilities
Ⅱ Noncurrent liabilities
Bonds payable
Long-term loans payable
Deferred tax liabilities
Provision for retirement benefits
Net defined benefit liability
Provision for directors' retirement benefits
Other
Total noncurrent liabilities
Total liabilities
NET ASSETS
Ⅰ Shareholders' equity
Capital stock
Capital surplus
Retained earnings
Treasury stock
Total shareholders' equity
Ⅱ Accumulated other comprehensive income
Valuation difference on available-for-sale securities
Foreign currency translation adjustment
Remeasurements of defined benefit plans
Remeasurements of other postretirement benefitsof foreign consolidated subsidiaries
Total accumulated other comprehensive income
Minority interests
Total net assets
Total liabilities and net assets-8-

242,743
61,59560,86745,19710
7,828
83,032
17,86534,740
918
2,550
369
99,317657,031279,926
67,63759,19342,557
4,060
110,426
91,921
20,44639,494
1,032
2,128
－
114,088
832,908

14,060187,023
19,13934,917－457
68,014
323,610980,641

10,000
153,844
9,827－
22,852504
88,357285,384
1,118,292

153,795
160,071
301,357(1,292)
613,931

153,795
160,071483,910(1,395)796,381

27,882(46,448)－

10,629(26,661)(13,886)－(919)(18,566)
1,448
596,813
1,577,454(30,837)
4,527
770,071
1,888,363

(2) Consolidated Statements of (Comprehensive) Income
Consolidated Statements of Income (for twelve-month period)

Ⅰ Net sales
Ⅱ Cost of sales
Gross profit
Ⅲ Selling, general and administrative expenses
Operating income
Ⅳ Non-operating income
Interest income
Dividends income
Equity in earnings of affiliates
Real estate rent
Gain on valuation of derivatives
Other
Total non-operating income
Ⅴ Non-operating expenses
Interest expenses
Foreign exchange losses
Loss on valuation of derivatives
Depreciation
Other
Total non-operating expenses
Ordinary income
Ⅵ Extraordinary income
Gain on sales of noncurrent assets
Gain on sales of investment securities
State subsidy
Gain on sale of loans receivable
Other
Total extraordinary income
Ⅶ Extraordinary loss
Loss on sales and retirement of noncurrent assets
Loss on reduction of noncurrent assets
Provision of allowance for doubtful accounts
Provision for loss on transfer of business
Other
Total extraordinary losses
Income before income taxes and minority interests
Income taxes-current
Income taxes-deferred
Total income taxes
Income before minority interest
Minority interests in income
Net income-9-

FY2013(April 1, 2012 toMarch 31, 2013)
1,912,968
1,501,809
411,159
290,748
120,411(Unit: Millions of yen)
FY2014(April 1,2013 toMarch 31, 2014)
2,408,129
1,728,271
679,858
353,369
326,489

1,405
1,264
43
592
－
464
3,768

1,689
1,225
320
541
7,414
1,467
12,656

3,336
15,527
1,714
977
2,016
23,570100,609

2,804
16,924
－
1,024
3,956
24,708314,437

1,015
551
1,738
325
1,359
4,988

712
47,333－－976
49,021

2,926
1,738
－
967
6,884
12,51593,082
17,566（44,216)（26,650)
119,732
144
119,588

3,408－
29,624－
1,561
34,593328,865
134,315（13,435)
120,880
207,985
1,369
206,616

Consolidated Statements of Comprehensive Income (for twelve-month period)

Income before minority interest
Other comprehensive income
Valuation difference on available-for-sale securities
Foreign currency translation adjustment
Share of other comprehensive income of associates
accounted for using equity method
Total other comprehensive income
Comprehensive income
Comprehensive income attributable toComprehensive income attributable to owners of
the parent
Comprehensive income attributable to minority
interests- 10 -(Unit: Millions of yen)
FY2013
FY2014(April 1, 2012 to(April 1,2013 toMarch 31, 2013)
March 31, 2014)
119,732
207,985
8,916
23,284(17,253)
19,85577

170

32,277152,009

2,772
210,757

151,865

209,150

144

1,607

(3) Consolidated Statements of Changes in Net Assets
FY 2013 (April 1, 2012 to March 31, 2013)(Unit: Millions of yen)
Shareholders' equity
Total shareholders'equityCapital stock

Capital surplus

Retained earnings

153,795

160,071

188,538(1,259)501,145

Dividends from surplus－－(7,418)－(7,418)Net income－－

119,588－

119,588

Purchase of treasury stock

－

－

－

(35)

(35)

Disposal of treasury stock

－

－

1

2

3

Other

－

－

648

－

648

－

－

－

－

－

－

－

112,819(33)

112,786

153,795

160,071

301,357(1,292)

613,931

Balance at the beginning ofcurrent period

Treasury stock

Changes of items during theperiodNet changes of items otherthan shareholders’ equity
Total changes of items during
the period
Balance at the end of current
periodAccumulated other comprehensive income
Remeasurements of
Total
Minority Total net
Valuation
Foreign
Remeasurements other postretirement accumulated interests assets
difference on currency ofdefinedbenefitbenefitsofforeignotheravailable-for- translation
plans
consolidated
comprehensive
sale securities adjustment
subsidiaries
incomeBalance at the beginning ofcurrent period

18,966(69,809)－－(50,843)

1,305

451,607

Dividends from surplus

－

－

－

－

－

－

(7,418)Net income

－

－

－

－

－

－

119,588

Purchase of treasury stock

－

－

－

－

－

－

(35)

Disposal of treasury stock

－

－

－

－

－

－

3

Other

－

－

－

－

－

－

648

8,916

23,361－－

32,277143

32,4208,916

23,361－－

32,277143

145,206

27,882(46,448)－－(18,566)

1,448

596,813

Changes of items during
the period

Net changes of items otherthan shareholders' equity
Total changes of items during
the period
Balance at the end of current
period- 11 -

FY 2014 (April 1, 2013 to March 31, 2014)(Unit: Millions of yen)
Shareholders' equity
Capital stock

Capital surplus

Retained earnings

Treasury stock

Total shareholders'equity153,795

160,071

301,357(1,292)

613,931

Dividends from surplus－－(23,424)－(23,424)

Net income－－

206,616－

206,616

Purchase of treasury stock

－

－

－

(103)

(103)

Disposal of treasury stock

－

0

－

0

0

Other

－

－

(639)

－

(639)

－

0

182,553(103)

182,450

153,795

160,071483,910(1,395)796,381

Balance at the beginning ofcurrent period
Changes of items during theperiodNet changes of items otherthan shareholders' equity
Total changes of items during
the period
Balance at the end of current
periodAccumulated other comprehensive income
Valuationdifference on
available-forsale securities
Balance at the beginning ofcurrent period
Changes of items during
the period

Remeasurements of
Total
Minority Total net
Foreign
Remeasurements other postretirement accumulated interests assets
currency ofotherdefined benefit benefits of foreigntranslation
consolidated
comprehensiveplans
adjustment
subsidiaries
income27,882(46,448)－－(18,566)

1,448

596,813

Dividends from surplus

－

－

－

－

－

－

(23,424)

Net income

－

－

－

－

－

－

206,616

Purchase of treasury stock

－

－

－

－

－

－

(103)

Disposal of treasury stock

－

－

－

－

－

－

0

Other

－

－

－

－

－

－

(639)

(17,253)

19,787(13,886)(919)(12,271)

3,079(9,192)(17,253)

19,787(13,886)(919)(12,271)

3,079

173,258

10,629(26,661)(13,886)(919)(30,837)

4,527

770,071

Net changes of items otherthan shareholders' equity
Total changes of items during
the period
Balance at the end of current
period- 12 -

(4) Consolidated Statements of Cash Flows(Unit: Millions of yen)
FY2013
FY2014(April 1, 2012 to(April 1,2013 toMarch 31, 2013)
March 31, 2014)
Ⅰ Net cash provided by (used in) operating activities
Income (loss) before income taxes

93,082

328,865

Depreciation and amortization

61,544

61,486

Impairment loss

145

35

Increase (decrease) in allowance for doubtful accounts(55)

29,512

Increase (decrease) in provision for bonuses

1,344

2,391

Increase (decrease) in provision for product warranties

2,765

3,116

Increase (decrease) in provision for loss on construction contracts(1,923)

114

Increase (decrease) in provision for retirement benefits

910－

Increase (decrease) in net defined benefit liability－(17,692)

Increase (decrease) in provision for loss on litigation

369

(369)

Interest and dividends income(2,669)(2,914)

Interest expenses

3,336

2,804

Loss (gain) on valuation of derivatives

1,714(7,414)Equity in (earnings) losses of affiliates

(43)

(320)

Loss (gain) on sales and retirement of noncurrent assets

1,911

2,696

Loss (gain) on sales and valuation of investment securities(348)(47,149)

Decrease (increase) in notes and accounts receivable-trade

1,264(49,129)

Decrease (increase) in inventories(21,194)

16,095

Increase (decrease) in notes and accounts payable-trade

48,67939,814

Decrease (increase) in lease investment assets(280)(1,488)Decrease (increase) in operating loans receivable(14,701)(25,478)

Decrease (increase) in vehicles and equipment on operating leases(2,528)

(400)

299

(2,240)

Other, net

8,728

13,963

Subtotal

182,349

346,298

Interest and dividends income received

2,694

2,936

Interest expenses paid

(3,417)(2,742)

Income taxes paid

(14,911)(33,468)

Net cash provided by (used in) operating activities

166,715

313,024

Increase (decrease) in deposits received- 13 -

FY2013(April 1, 2012 toMarch 31, 2013)

FY2014(April 1,2013 toMarch 31, 2014)

Purchase of short-term investment securities(9,760)(12,408)

Proceeds from sales of short-term investment securities

5,166

19,237(60,852)(67,409)

Proceeds from sales of property, plant and equipment

1,965

1,643

Purchase of intangible assets(4,377)(5,446)

Purchase of investment securities(14,503)(28,687)

11,95465,344

Payments of loans receivable(94,273)(95,589)

Collection of loans receivable

93,376

97,409(66)(7,997)(71,370)(33,903)

Net increase (decrease) in short-term loans payable(28,655)(2,893)

Proceeds from long-term loans payable

10,218

8,995

Repayments of long-term loans payable(23,937)(45,893)

Proceeds from issuance of bonds

10,000－

Redemption of bonds(20,010)(10)

Cash dividends paid

(7,392)(23,350)(955)(1,036)

Proceeds from stock issuance to minority shareholders

－

1,280

Other, net

(35)

(104)

(60,766)(63,011)

Ⅳ Effect of exchange rate change on cash and cash equivalents

14,964

12,691

Ⅴ Net increase (decrease) in cash and cash equivalents

49,543228,801

Ⅵ Cash and cash equivalents at beginning of period
Ⅶ Increase (decrease) in cash and cash equivalents resulting fromchange of scope of consolidation

258,084

328,947

21,320122

Ⅷ Cash and cash equivalents at end of period

328,947

557,870

ⅡNet cash provided by (used in) investing activities

Purchase of property, plant and equipment

Proceeds from sales of investment securities

Other, net
Net cash provided by (used in) investing activities
Ⅲ Net cash provided by (used in) financing activities

Repayments of lease obligations

Net cash provided by (used in) financing activities- 14 -

(5) Notes to Consolidated Financial Statements(Notes on Premise of Going Concern)
Not Applicable(Fiscal Year Change of Consolidated Subsidiaries)
Until the fiscal year ended March 31, 2013, since the difference between the fiscal year-end of the parent company andthat of 8 foreign consolidated subsidiaries was within three months, the operating results of those subsidiaries wereconsolidated by using the financial statements as of each subsidiary's respective fiscal year-end, and the necessary
adjustments are made in consolidation to reflect any significant transactions from January 1 to March 31.
The accounting date for the fiscal year-end of Subaru Europe N.V./S.A and two consolidated subsidiaries was changed toMarch 31, 2014 in order to make the disclosures of the consolidated financial statements more meaningful by unifying the
fiscal year.
Because of this change, the fiscal term of Subaru Europe N.V./S.A and two consolidated subsidiaries becomes 15
months period from January 1, 2013 to March 31, 2014.
(Accounting Change)(Application of the "Accounting standards for Retirement Benefits")
The "Accounting Standards for Retirement Benefits" and the "Guidance on the Accounting Standards for Retirement
Benefits" are applied from this fiscal year. Consequently, the amount of retirement benefit obligations from which pension
assets are deducted was recorded in net defined benefit liabilities. The unrecognized actuarial difference and unrecognized
past service costs were also recorded in net defined benefit liabilities. In addition, in case that the amount of pension assets
exceeds the amount of retirement benefit obligations, net defined benefit assets are recorded.
The application of the retirement benefits accounting standards,etc., is in accordance with the progressive treatment
stipulated in Section 37 of the retirement benefits accounting standards, and at the end of the fiscal year, the amount offinancial impact resulting from this recording was add to, or deducted from, remeasurements of defined benefit plans inaccumulated other comprehensive income.
As a result, the net defined assets were recorded 1,222 million yen, and the net defined liabilities were recorded 22,852
million yen. Also, the accumulated other comprehensive income decreased by 13,886 million yen.
The amount of financial impact on per share information is stated in the Per Share Information section.
(Consolidated Balance Sheet)
Accumulated depreciation on property, plant and equipment

Accumulated depreciation on property, plantand equipment

FY2013(as of March 31, 2013)
786,734million yen- 15 -FY2014(as of March 31, 2014)
817,421million yen

(Consolidated Statements of income)1

Research and development cost included in general and administrative expenses and cost of sales

FY2013(April 1, 2012 toMarch 31, 2013)49,141million yen

Research and development cost
2

FY2014(April 1, 2013 toMarch 31, 2014)
60,092million yen

Extraordinary income
FY2013 (April 1, 2012 to March 31, 2013)
Extraordinary gain - Other includes 775 million yen that is mainly the reversal of extraordinary loss (loss on valuation of
inventories) recorded in the prior period relating to the sale of inventories in the aerospace division. In addition, 436 million
yen is mainly the exemption from debts relating to the development resulting from the dissolution of contract about aspecific project in the Aerospace division.
FY2014 (April 1, 2013 to March 31, 2014)
Gain on sales of investment securities includes 47,118 million yen, the profit related to the sales of stock of
Polaris Industries Inc. owned by FHI.

3

Extraordinary loss
FY2013 (April 1, 2012 to March 31, 2013)
Extraordinary loss - Other includes 2,463 million yen that is miscellaneous expenses related to the restructuring ofChinese sales system in the Automobile business, 2,099 million yen for disposal expenses of inventories related to thediscontinuance of a specific project in Aerospace division and 1,054 million yen for the return of funds received forcommissioned research and subsidies to the clean robot business in the prior period.
FY2014 (April 1, 2013 to March 31, 2014)
Allowances for doubtful accounts, the loss is associated with initial investment fees related to the AH-64D combat
helicopter for the Japan Ministry of Defense as a precaution for the case that the ruling is upheld.

- 16 -

(Segment Information)
1. Outline of business segment
The business segments the Company reports are the business units for which the Company is able toobtain respective financial information separately in order for the Board of Directors to conduct periodic
investigation to determine distribution of management resources and evaluate their business result.
The Company places Automobile at the center of the whole businesses, and introduces an internal
company system into Aerospace, Industrial products and divisions. This framework makes clearer the
responsibility of each division and accelerates business execution. The Company manages the subsidiaries
on the basis of this classification. Therefore, the business segments consist of Automobile, Aerospace,Industrial products, and other which does not belong to any division.
Automobile segment manufactures and sells vehicles and related products. Aerospace segment
manufactures aircrafts, parts of space-related devices. Industrial products segment manufactures and sells
Robin engines and related products.
2. Method of calculating sales and income(loss), identifiable assets, and other items by business segment
reported
Accounting method for business segment reported is almost the same as the accounting method to prepare
for consolidated financial statements.
Segment income by business segment reported is calculated based on operating income.
Net sales - Inter-segment are calculated based on current market prices.

- 17 -

3. Information on sales and income(loss) by business segment reported
FY 2013 (April 1, 2012 to March 31, 2013)
Business segment reported
Automobiles Aerospace

Industrial
Products

SubTotal

30,148

1,898,262(Unit: Millions of yen)
Consolidated
Adjustment
Statement of*2
income *3

Other
*1

Total

14,706

1,912,968－

Ⅰ. Net sales(1) Outside customers(2) Inter-segment
Total sales
Segment income
Identifiable assets bybusiness segment

1,778,966

89,148

1,912,968

3,168

－

22

3,190

13,941

17,131(17,131)－

1,782,134

89,14830,1701,901,452

28,6471,930,099(17,131)

1,912,968

110,974

6,819

640

118,433

1,618

120,051360

120,411

1,292,856

179,755

67,951

1,540,562

56,7281,597,290(19,836)

1,577,454

56,4303,398

415

60,243

1,301

61,544－61,544

242

361

912

1,515

－

1,515

－

1,515

88,5173,897

377

92,791

2,195

94,986－

94,986

Ⅱ. Other items
Depreciation
Investment to equitymethod affiliates
Increase of property,
plant and equipment
and intangible assets

Notes: *1. Other means the category which is not included into any business segment reported. It consists ofgarbage collection vehicles, specialized vehicles, real estate lease, etc.
*2. Adjustment of segment income refers to elimination of intersegment transaction.
*3. Segment income is adjusted on the operating income of the consolidated statements of income.
FY 2014 (April 1, 2013 to March 31, 2014)(Unit: Millions of yen)

Business segment reported
Automobiles Aerospace

Industrial
products

SubTotal

Other
*1

Total

Consolidated
Adjustment
Statement of*2
income *3

Ⅰ. Net sales(1) Outside customers(2) Inter-segment
Total sales
Segment income
Identifiable assets bybusiness segment

2,246,624

124,436

29,7762,400,836

7,293

2,408,129

－

3,261

－

567

3,828

14,642

18,470(18,470)－2,249,885

124,436

30,3432,404,664

21,9352,426,599(18,470)

2,408,129

308,973

14,148632

323,753

2,099

325,852

637

326,489

1,639,760

182,123

29,692

1,851,575

53,533

1,905,108(16,745)

1,888,363

56,2653,758

411

60,434

1,052

61,486－

61,486

6

－

520

526

－

526

－

526

90,782

4,074

533

95,3893,148

98,537－

98,5372,408,129

Ⅱ. Other items
Depreciation
Investment to equitymethod affiliates
Increase of property,
plant and equipment
and intangible assets

Notes: *1. Other means the category which is not included into any business segment reported. It consists ofreal estate lease, etc.
*2. Adjustment of segment income refers to elimination of intersegment transaction.
*3. Segment income is adjusted on the operating income of the consolidated statements of income.

- 18 -

(Per Share information)

Net assets per share (yen)FY2013(April 1, 2012 toMarch 31, 2013)762.87FY2014(April 1, 2013 toMarch 31, 2014)
980.98153.23264.76
Net income per share, basic (yen)Notes: 1. Not given as the Company has no potential shares with dilution effect.
2. As described in "Accounting Changes," the retirement benefits accounting standards, etc. areapplied according to the progressive treatment stipulated in Section 37 of the retirement
benefits accounting standards. As a result, net assets per share at the end of the fiscal year
decreased by 17.79 yen.
3. The following shows the basis of calculating net income per share.
FY2013(April 1, 2012 toMarch 31, 2013)

FY2014(April 1, 2013 toMarch 31, 2014)

Net assets per share
Net income(millions of yen)
Monetary value not related to commonshareholders (millions of yen)
Net income related to common stock(millions of yen)
Number of weighted average common shares
outstanding during the fiscal year
(Thousands of shares)

119,588

206,616－－

119,588

206,616

780,452

780,402

4. The following shows the basis of calculating net assets per share.

Total amount of net assets (Millions of yen)
The amount deducted from total amount of net
assets (Millions of yen)
(Held by Minority shareholders)

FY2013(as of March 31, 2013)
596,813

FY2014(as of March 31, 2014)
770,071

1,448

4,527

(1,448)(4,527)595,365

765,544780,430

780,388

Net assets related to common stock(millions of yen)
Number of common stock used in thecalculation of net assets per share(Thousands of share)(Subsequent event)Not Applicable- 19 -

4. Non-consolidated Financial Statements(1) Non-consolidated Balance Sheet(Unit: Millions of Yen)FY2013
FY2014(as of March 31, 2013) (as of March 31, 2014)ASSETSⅠ Current assets
Cash and deposits
Accounts receivable-trade
Short-term investment securities
Merchandise and finished goods
Work in process
Raw materials and supplies
Advance payments-trade
Prepaid expenses
Deferred tax assets
Short-term loans receivable to subsidiaries and affiliates
Current portion of long-term loans receivable fromsubsidiaries and affiliates
Deposits paid
Accounts receivable-other
Other
Allowance for doubtful accounts
Total current assets
Ⅱ Noncurrent assets
1. Property, plant and equipment
Buildings, net
Structures, net
Machinery and equipment, net
Vehicles, net
Tools, furniture and fixtures, net
LandConstruction in progress
Other
Total property, plant and equipment
2. Intangible assets
Software
Other
Total intangible assets- 20 -

158,543
168,022
34,99549,59346,60021,905
1,311
1,536
25,247
83,721

206,892
217,065
169,987
26,086
46,903
21,813
1,350
1,621
23,09987,768200

16,20011,812
25,3159,227(8,287)629,740

18,697
27,59910,372(4,193)871,259

48,833
4,948
86,021
1,214
4,148
80,1496,771
550
232,634

47,632
4,949
81,853
1,285
5,996
80,374
9,192
717
231,998

5,651
2,039
7,690

8,345
1,591
9,936

(Unit: Millions of Yen)FY2013
FY2014(as of March 31, 2013) (as of March 31, 2014)

3. Investments and other assets
Investment securities
Stocks of subsidiaries and affiliates
Investments in capital of subsidiaries and affiliates
Long-term loans receivable
Long-term loans receivable from subsidiaries and affiliates
Claims provable in bankruptcy, claims provable inrehabilitation and otherPrepaid pension cost
Long-term accounts receivable-other
Other
Allowance for doubtful accounts
Total investments and other assets
Total noncurrent assets
Total assets
LIABILITIESⅠ Current liabilities
Notes payable-trade
Accounts payable-trade
Electronically recorded obligations-operating
Current portion of long-term loans payable
Current portion of bonds
Lease obligations
Accounts payable-otherAccrued expenses
Income taxes payable
Advances received
Deposits received
Provision for bonuses
Provision for product warranties
Provision for loss on construction contracts
Provision for loss on transfer of business
Provision for loss on litigation
Asset retirement obligations
Other
Total current liabilities- 21 -

59,637143,254
1,468
3,525
36,54630,038142,980
1,498
3,455
43,976

2,729

2,710

17,76523,9542,201(3,696)287,383
527,707
1,157,447

17,032
29,624
2,821(32,916)
241,218
483,152
1,354,411

2,559
202,046
62,082
38,675－505
9,775
38,107
4,491
21,887955
11,712
10,780
918
2,550
369
231
22,244
429,886

2,315
230,255
68,33337,697
4,000
475
11,35836,157
106,868
26,796
1,126
13,497
11,291
1,032
2,128
－
351
8,675
562,354

(Unit: Millions of Yen)FY2013
FY2014(as of March 31, 2013) (as of March 31, 2014)

Ⅱ Noncurrent liabilities
Bonds payable
Long-term loans payable
Lease obligations
Deferred tax liabilities
Provision for retirement benefits
Deferred tax liabilities
Other
Total noncurrent liabilities
Total liabilities
NET ASSETS
Ⅰ Shareholders' equity
Capital stock
Capital surplus
Legal capital surplus
Other capital surplus
Total capital surplus
Retained earnings
Legal retained earnings
Other retained earnings
Reserve for reduction entry of land
General reserve
Retained earnings brought forward
Total retained earnings
Treasury stock
Total shareholders' equity
Ⅱ Valuation and translation adjustments
Valuation difference on available-for-sale securities
Total valuation and translation adjustments
Total net assets
Total liabilities and net assets- 22 -

14,000174,625344
15,22318,156303
8,620
231,271
661,157

10,000143,728
500
1,310
322
241
7,935
164,036
726,390

153,795

153,795

160,071－160,071160,0710
160,071

7,901

7,901

813
35,335
112,859
156,908(1,257)
469,517921
35,335
262,438
306,595(1,360)619,101

26,773
26,773496,290
1,157,447

8,920
8,920
628,021
1,354,411

(2) Non-consolidated Statements of Income (for twelve-month period)(Unit: Millions of Yen)FY2013(April 1, 2012 toMarch 31, 2013)

Ⅰ Net sales
Ⅱ Cost of sales
Gross profit
Ⅲ Selling, general and administrative expenses
Operating income
Ⅳ Non-operating income
Interest income
Interest on securities
Dividends income
Real estate rent
Gain on valuation of derivatives
Other
Total non-operating income
Ⅴ Non-operating expenses
Interest expenses
Depreciation
Foreign exchange losses
Loss on valuation of derivatives
Other
Total non-operating expenses
Ordinary income
Ⅵ Extraordinary income
Gain on sales of noncurrent assets
Gain on sales of investment securities
Reversal of allowance for doubtful accounts
State subsidy
Other
Total extraordinary income
Ⅶ Extraordinary loss
Loss on sales and retirement of noncurrent assets
Impairment loss
Provision of allowance for doubtful accounts
Loss on reduction of noncurrent assets
Provision for loss on transfer of business
Other
Total extraordinary losses
Income before income taxes
Income taxes-current
Income taxes-deferred
Total income taxes
Net income- 23 -FY2014(April 1, 2013 toMarch 31, 2014)

1,344,110
1,122,506
221,604
137,844
83,7601,689,639
1,285,344
404,295
155,867
248,428

835
140
7,156
2,741
－
1,742
12,614

736
227
9,238
3,037
7,414
2,046
22,6982,354
932
10,341
1,714
2,467
17,80878,566

1,940
976
11,513－
4,374
18,803
252,323

588
6
874
1,725
1,225
4,418

648
47,1184,655－
869
53,290

2,076
6
－
1,725
967
5,857
10,631
72,353617(26,912)(26,295)
98,6482,632－
29,659－－1,506
33,797
271,816
100,687(1,982)
98,705
173,111

(3) Non-consolidated Statements of Changes in Net Assets
FY 2013 (April 1, 2012 to March 31, 2013)(Unit: Millions of Yen)
Shareholders' equity
Capital surplus

Retained earnings
Other retained earnings

Capitalstock

Balance at the beginningof current period
Changes of items during
the period

Other
Total capital
capitalsurplussurplusCapitalreserve

Legalretainedearnings

Reserve for
reduction
entry of land

Generalreserve

Retainedearnings
brought
forward153,795

160,071－160,071

7,901

749

35,335

21,692

Provision of reserve
for reduction entry of land

－

－

－

－

－

64

－

(64)

Dividends from surplus

－

－

－

－

－

－

－

(7,418)Net income

－

－

－

－

－

－

－

98,648Purchase of treasury stock

－

－

－

－

－

－

－

－

Disposal of treasury stock

－

－

－

－

－

－

－

1

Net changes of items otherthan shareholders' equity
Total changes of items during
the period
Balance at the endof current period

－

－

－

－

－

－

－

－

－

－

－

－

－

64

－

91,167

153,795

160,071－160,071

7,901

813

35,335

112,859

Valuation and translation
adjustments

Shareholders' equity
Retainedearnings
Total retained
earnings

Treasurystock

65,677(1,224)

378,319

18,132

18,132396,451

－

－

－

－

－

－

Dividends from surplus(7,418)－(7,418)－－(7,418)Net income

98,648－98,648－－98,648Purchase of treasury stock

－

(35)

(35)

－

－

(35)

Disposal of treasury stock

1

2

3

－

－

3

Net changes of items otherthan shareholders' equity
Total changes of items during
the period
Balance at the endof current period

－

－

－

8,641

8,641

8,641

91,231(33)

91,198

8,641

8,641

99,839156,908△1,257

469,517

26,773

26,773496,290

Balance at the beginningof current period
Changes of items during
the period
Provision of reserve
for reduction entry of land

Valuation
Total
Total valuationdifference onshareholders' available-for-saleand translation
adjustments
equitysecurities- 24 -

Total net assets

FY 2014 (April 1, 2013 to March 31, 2014)(Unit: Millions of Yen)
Shareholders' equity
Capital surplus

Retained earnings
Other retained earnings

Capitalstock

Capitalreserve

Other
capitalsurplus153,795

160,071－

Dividends from surplus

Total capitalsurplusLegalretainedearnings

Reserve for
reduction
entry of land

Generalreserve

Retainedearnings
brought
forward－160,071

7,901

813

35,335

112,859

－

－

－

－

108

－

(108)

－

－

－

－

－

－

－

(23,424)

Net income

－

－

－

－

－

－

－

173,111Purchase of treasury stock

－

－

－

－

－

－

－

－

Disposal of treasury stock

－

－

0

0

－

－

－

－

Net changes of items otherthan shareholders' equity

－

－

－

－

－

－

－

－

－

－

0

0

－

108

－

149,579

153,795

160,0710

160,071

7,901

921

35,335

262,438

Balance at the beginningof current period
Changes of items during
the period
Provision of reserve for
reduction entry of land

Total changes of items during
the period
Balance at the endof current period

Valuation and translation
adjustments

Shareholders' equity
Retainedearnings
Total retained
earnings
Balance at the beginningof current period
Changes of items during
the period
Provision of reserve for
reduction entry of land

Treasurystock

Valuation
Total
Total valuationdifference onshareholders' available-for-saleand translation
adjustments
equitysecurities

Total net assets

156,908(1,257)

469,517

26,773

26,773496,290

－

－

－

－

－

－

Dividends from surplus(23,424)－(23,424)－－(23,424)

Net income

173,111－

173,111－－

173,111Purchase of treasury stock

－

(103)

(103)

－

－

(103)

Disposal of treasury stock

－

0

0

－

－

0

－

－

(17,853)(17,853)(17,853)

Net changes of items otherthan shareholders' equity
Total changes of items during
the period

149,687(103)

149,584(17,853)(17,853)

131,731

Balance at the endof current period

306,595(1,360)619,101

8,920

8,920

628,021- 25 -

May 9, 2014
Fuji Heavy Industries Ltd.

< Reference for FYE2014 Consolidated Financial Results >(Yen in 100 Millions, Units in Thousands)

RESULTSFYE2013RESULTSFYE2014

FORECASTS
FYE2015

2012.4 - 2013.3

2013.4.1 - 2014.3.31

2014.4.1 - 2015.3.31

ChangeNet sales
Japan
Overseas

Operating income

24,081

4,952

6,718
12,411
1,204

6,721
17,361
3,265

2,061

171.1

6.3

13.6

1,006

3,144

5.3

13.1

1,196

2,066

6.3

8.6

Profit margin (%)

Net income
Profit margin (%)

Change Factors
in Operating income

Exchange rates

Change19,130

Profit margin (%)

Ordinary income%
25.9

27,200

3,119

2

0.0

4.6

39.9

7,032
20,168
3,400

312

4,949

2,807

16.2

135

4.1

156

4.9

84

4.1

2,138

212.5

12.1

870

72.8

2,150
7.9

Gain on currency exchange
Improvements on modelmix, etc

1,702
511

Improvements on modelmix, etc
Cost reduction effort, etc

Cost reduction effort, etc

197

Increase in SG&A exp, etc(679)

Increase in SG&A exp, etc(240)

Increase in R&D exp(139)

Increase in R&D exp(109)

Loss on currency exchange

(37)

920
70

82/US$

100/US$

100/US$

106/EUR

133/EUR

135/EUR

685
549
601
2,697

702
559
491
3,072

1,200
660
740
2,400

- Net sales and all profits increased for 2nd straight - Net sales and all profits to increase for 3rdyear.
straight year.
- Record high unit sales, net sales, and all profits.

Unit sales (Japan)
Passenger Cars

- Record high unit sales, net sales, and all profits.

163

182

18

11.3

195

13

7.3

113

126

13

11.9

144

18

13.9

50

55

5

10.1

51

(4)

(7.8)

561

643

82

14.6

721

78

12.1

North America

390

478

88

22.4

531

53

11.0

Europe

61

47

(14)

(23.0)

60

13

26.6

China

50

45

(5)

(10.7)

57

12

27.8

Minicars

Unit sales (Overseas)

Other

Unit sales total
Production units total
Japan

60

74

14

23.3

74

(0)

(0.2)

724

825

101

13.9

916

91

11.0

764

813

49

6.4

910

97

11.9

583

650

67

11.5

702

52

8.0

209

45

27.7

181

164

(18)

(9.8)

Automobile

17,79022,466

4,677

26.3

Aerospace

891

1,244

353

39.6

Industrial Products

301

298

(4)

(1.2)

U.S.

Operating income bybusiness segment

3,300

JPY/US$

Performance description

13.0

12.5

JPY/EUR

Capital expenditures
Depreciation and amortization
R&D expenses
Interest bearing debts

Net sales bybusiness segment

%

Other

147

73

(74)

(50.4)

Automobile

1,110

3,090

1,980

178.4

Aerospace

68

141

73

107.5

Industrial Products

6

6

(0)

(1.3)

Other

16

21

5

29.7

Elimination &Corporate

4

6

3

76.9

* Exchange Rates are the rates used for FHI's non-consolidated sales recording.
* Unit Sales include retail sales of Japanese consolidated dealers, wholesale sales of overseas consolidated distributors, and deliveries from FHI to non-consolidated
distributors/dealers.
* Domestic Production includes production of the 86/FR-S models for Toyota.
< Forward-looking statements in this document are based on the information available at the time of the announcement and are subject to various risks and uncertainties
that could cause actual results to vary materially. >FHI Announces Consolidated Financial Results for FYE2014
Tokyo, May 9, 2014 - Fuji Heavy Industries Ltd. (FHI), the manufacturer of Subaru automobiles, today announced its
consolidated financial results for the fiscal year ended March 31, 2014.

< FYE2014 Consolidated Results: Net Sales >With strong demand for the Forester and Impreza models, Subaru’s overseas sales increased 14.6% to 643,000 units, led by
the U.S. sales growth of 23.6% to 442,000 units. Japan sales posted an 11.3% increase to 182,000 units. In total, Subaru’s
global sales rose 13.9% to 825,000 units.
Due to the correction of yen appreciation, unit sales mix/volume improvements and other factors, FHI’s consolidated net sales
increased 25.9% to 2,408.1 billion yen.
< FYE2014 Consolidated Results: Profit and Loss >As increase in SG&A and R&D expenses was covered by the correction of yen appreciation, unit sales mix/volume
improvements, cost reduction progress and other factors, operating income rose 171.1 % to 326.5 billion yen. Ordinary
income grew 212.5% to 314.4 billion yen and net income rose 72.8% to 206.6 billion yen.
All-time fiscal year records were set for US, Canada, overseas and global unit sales as well as net sales and all profit figures.*
In light of the full-year business results, FHI revises the year-end dividend per share to 33 yen from the previous forecast of
20 yen, an increase of 13 yen which includes a commemorative dividend of 5 yen to celebrate the 60th anniversary of thecompany’s establishment. Combined with the interim dividend of 20 yen per share, the annual dividend for FYE2014 will be
53 yen per share, an increase of 38 yen from 15 yen of the previous year.

< FYE2015 Forecasts >Subaru’s global vehicle sales are projected to reach 916,000 units led by further growth in North America and other overseas
markets. As the vehicle sales growth and cost reduction progress are expected to cover increase in SG&A and R&D expenses,
FHI forecasts net sales of 2,720 billion yen, operating income of 340 billion yen, ordinary income of 330 billion yen and net
income of 215 billion yen. Global unit sales, net sales and all profit figures are projected to reach all-time highs in FHI
history.*
Currency rate assumptions: 100 yen/US$, 135 yen/euro* Since fiscal year ended March 1986 - the year FHI started full-year consolidated financial reporting.

Forward-looking statements in this document including financial and other forecasts are based on the information available atthe time of the announcement and are subject to various risks and uncertainties that could cause actual results to varymaterially.
###