NIPPON THOMPSON CO., LTD.
Corporate Headquarters: Tokyo
Listed Code: 6480
Listed Stock Exchange: Tokyo(URL: http://www.ikont.co.jp/eg/)

February 9, 2015

Consolidated Financial Reportfor the Nine-Month Period Ended December 31, 2014
<Japanese GAAP>
Representative: Shigeki Miyachi, President and Representative Director
For further information contact: Kesaaki Ushikoshi, General Manager of Accounting Department
Telephone: +81-3-3448-5824
Scheduled Date to Submit Quarterly Annual Securities Report:
Expected Date of Payment for Dividends:
Preparation of Supplementary Explanation Material for Quarterly Financial Results:
Holding of Presentation Meeting for Quarterly Financial Results:

February 12, 2015
−None
None

Figures have been rounded off to eliminate amounts less than one million yen.

1. Consolidated Operating Performance for the Nine-Month Period Ended December 31, 2014
(From April 1, 2014 to December 31, 2014)(1) Results of Consolidated Operations(Millions of yen)

December 31, 2014
December 31, 2013

Net sales

PercentagechangeOperatingincomePercentagechangeOrdinary
incomePercentagechange33,512
29,281

14.4
6.3

3,097
1,208

156.2
23.2

4,142
2,132

94.2
116.7

Note: Comprehensive income
Nine-month period ended December 31, 2014:
Nine-month period ended December 31, 2013:December 31, 2014
December 31, 2013

Net income

Percentagechange

2,777
1,738

59.8339.43,310) million yen
4,114) million yen
Net income
per share(Yen)
38.12
23.91

(19.5).8%− .8%

Diluted net
income per share(Yen)
34.45
21.60

Note: Percentage change for net sales, operating income, ordinary income, and net income indicate percentage
increase/decrease compared to the same period in the previous year.
Note: Changes in accounting policies arising from a revision of accounting standards have been retrospectively applied to theresults of consolidated operations for the nine-month period ended December 31, 2013.

1

(2) Consolidated Financial Position

December 31, 2014
March 31, 2014

Total assets

Net assets

90,37786,891

58,71756,121

Reference: Shareholders’ equity
As of December 31, 2014:
As of March 31, 2014:(Millions of yen)
Equity ratio
(%)
64.9
64.6

58,684 million yen
56,121 million yen

2. Dividends(Yen)
Base dateJune 30

September 30

Dividends per shareDecember 312015(Forecast)
2015
2014

−−

5.00
5.00

−−

March 31
5.00

Full Fiscal Year
10.00

5.00

10.00

Note: Change in the current three-month period ended December 31, 2014, to dividend forecast: None

3. Forecast of Consolidated Operating Performance for the Fiscal Year Ending March 31, 2015

Year ending March
31, 2015

Year ending March
31, 2015

Net sales

PercentagechangeOperatingincomePercentagechangeOrdinary
income(Millions of yen)
Percentagechange44,000

12.1

3,800

−

4,400

413.3

Net income

PercentagechangeNet income
per share(Yen)

2,900

409.8

39.80

Notes: Percentage change for net sales, operating income, ordinary income, and net income indicate percentage increase
compared to the same period in the previous year.
Notes: Change in the current three-month period ended December 31, 2014, to consolidated operating performance
forecast: Yes

2

4. Others(1) Changes in the state of significant subsidiaries during the period (Changes regarding specific companies accompanying
changes in the scope of consolidation): None
(2) Application of the special accounting methods for the presentation of the quarterly consolidated financial statements: Yes
Note: For further details, please refer to “1. Other Information” on page 4.
(3) Changes in accounting policies and accounting estimates, and restatements
Changes in accounting policies arising from revision of accounting standards:
Changes other than those in above:
Changes in accounting estimates:
Restatements:

Yes
None
None
None

Note: For further details, please refer to “1. Other Information” on page 4.
(4) Number of shares issued (Common stock)
Number of shares outstanding at period-end (Including treasury stock)
As of December 31, 2014:
As of March 31, 2014:

73,499,875 shares73,499,875 shares

Number of treasury stock
As of December 31, 2014:
As of March 31, 2014:

581,886 shares
710,420 shares

Average number of shares outstanding at period-end
Nine-month period ended December 31, 2014:
Nine-month period ended December 31, 2013:

72,852,262 shares
72,708,018 shares

Note: From the consolidated accounting period ended June 30, 2014, in tandem with changes in accounting policies
arising from a revision of accounting standards, the number of treasury stock includes treasury stock held by theESOP trust. This resulted in the addition to treasury stock of 513,000 shares as of December 31, 2014 and 671,000
shares as of December 31, 2013. In addition, treasury stock held by the ESOP trust is excluded from the calculationof the average number of shares outstanding at period-end, as is other treasury stock. The difference between the oldand new calculation of the average number of shares is thus 581,555 shares for the nine-month period ended
December 31, 2014 and 731,667 shares for the nine-month period ended December 31, 2013.

Disclosure with Regard to Implementation of Quarterly Review ProceduresAlthough falling outside quarterly review procedures based on the Financial Instruments and Exchange Law, thesefinancial results are subjected to such review procedures, which are completed at the time of disclosure.
Explanations or Other Items Pertaining to Appropriate use of Operating Performance Forecasts
Performance forecasts presented herein are based on information available to the Nippon Thompson Group (the“Group”) as of the date of this document, February 9, 2015. Accordingly, for a wide variety of reasons, there remains
the possibility that actual performance results may differ from projections.

31.

Other Information(1) Changes in the state of significant subsidiaries during the period
There are no applicable articles. While there was no change in the state of significant subsidiaries, IKO Thompson Asia
Co., Ltd. was established in the three-month period ended June 30, 2014 and included in the scope of consolidation.
(2) Application of the special accounting methods for the presentation of the quarterly consolidated financial statements
Calculation of tax expenses
Tax expenses are calculated by reasonably estimating the effective tax rate after the application of deferred taxaccounting on income before income taxes and minority interests in the current consolidated fiscal year, including
the third quarter, and multiplying income before income taxes and minority interests by said estimated effective taxrate.
(3) Changes in accounting policies and accounting estimates, and restatements(Changes in accounting policies)• As of April 1, 2014, the Group adopted the provisions stipulated in the main clause of Article 35 of the AccountingStandard for Retirement Benefits (Accounting Standards Board of Japan (ASBJ), Statement No. 26, issued on May 17,
2012; hereinafter “Retirement Benefits Accounting Standards”) and in the main clause of Article 67 of the Guidance on
Accounting Standard for Retirement Benefits (ASBJ Guidance No. 25, issued on May 17, 2012; hereinafter the“Guidance”). The Group also revised the determination of retirement benefit liabilities and current service cost.
Accordingly, the Group changed the method of attributing expected benefit to periods from the straight-line basis to thebenefit formula basis as well as amended the determination method of the discount rate from that based on the remaining
working lives to a single weighted average discount rate.
The adoption of the Retirement Benefits Accounting Standards and its Guidance is subject to the transitional
treatment stipulated by Article 37 of the Retirement Benefits Accounting Standards. Accordingly, the impact of theabovementioned revision in calculation methods of retirement benefit liability and current service cost was included inretained earnings at the beginning of the fiscal year under review.
As a result, as of April 1, 2014, net defined benefit liabilities increased ¥67 million, and retained earnings decreased¥43 million. The influence of these changes on profit or loss for the nine-month period ended December 31, 2014 wasimmaterial.
• As of April 1, 2014, Nippon Thompson Co., Ltd. (the “Company”) adopted the “Practical Solution on Transactions ofDelivering the Company’s Own Stock to Employees etc. through Trusts” (Practical Issue Task Force (PITF) No. 30,
December 25, 2013). When treasury stock is delivered to the trust, the Company recognizes the balance. The following
are recorded as liabilities: profit or loss related to sales of shares by the trust to the Employee Stock Ownership
Association, dividends paid from the Company on shares held by the trust, and net expenses related to the trust. Thesechanges in accounting policies have been retrospectively applied to the quarterly consolidated financial statement for thenine-month period ended December 31, 2013 and consolidated financial statement for the fiscal year ended March 31,
2014. Furthermore, the effect of the retrospective application to the nine-month period ended December 31, 2013 and thefiscal year ended March 31, 2014 was immaterial.

42. Consolidated Financial Statements(1) Consolidated Balance SheetsAs of December 31, 2014 and March 31, 2014
Millions of yen
ASSETS

December 31,2014

Current Assets:
Cash and deposits
Notes and accounts receivable-trade
Short-term investment securities
Finished products
Material in process
Raw material
OthersLess: Allowance for doubtful accounts
Total current assets
Fixed Assets:
Tangible fixed assets:
Machinery and vehicles
OthersTotal tangible fixed assets
Intangible fixed assets
Investments and other assets:
Investment securities
OthersLess: Allowance for doubtful accounts
Total investments and other assets
Total fixed assets
TOTAL ASSETS

5March 31,2014

15,172
11,222
1,899
12,838
9,440
5,508
4,403
(13)
60,473

14,748
9,577−
14,028
9,613
5,938
3,986
(19)
57,873

8,707
9,258
17,965
944

9,309
9,392
18,701
609

9,180
1,861
(49)
10,992
29,903

7,591
2,164
(49)
9,706
29,017

90,37786,891Millions of yen
LIABILITIES

December 31,
2014

March 31,2014

Current Liabilities:
Notes and accounts payable-trade
Short-term bank loans
Current portion of long-term bank loans
Income taxes payable
Allowance for directors’ and corporate auditors’ bonuses
OthersTotal current liabilities

7,044
−
3,975
1,078
60
3,028
15,187

5,913
600
2,859
742
70
2,821
13,007Long-Term Liabilities:
Corporate bond
Convertible bondLong-term bank loans
Net defined benefit liabilities
OthersTotal long-term liabilities

5,000
5,000
5,142
699
631
16,472

5,000
5,000
6,319
786
656
17,762TOTAL LIABILITIES

31,65930,770Shareholders’ Equity:
Common stock
Capital surplus
Retained earnings
Treasury stock
Total shareholders’ equity

9,532
12,886
33,776(268)
55,927

9,532
12,886
31,777(322)
53,874

Accumulated Other Comprehensive Income:Net unrealized holding gains on available-for-salesecurities
Foreign currency translation adjustments
Remeasurements of defined benefit plans
Total accumulated other comprehensive income

2,944
(169)
(18)
2,756

2,165
53
27
2,246

33−

TOTAL NET ASSETS

58,71756,121TOTAL LIABILITIES AND NET ASSETS

90,37786,891

NET ASSETS

Minority interests6(2) Consolidated Statements of Income and Consolidated Statements of Comprehensive Income
Consolidated Statements of Income
For the nine-month period ended December 31, 2014 and 2013

Millions of yen
December 31,December 31,2013
2014
Net Sales
Cost of Sales
Gross Profit
Selling, General and Administrative Expenses

33,512
22,811
10,7007,603

29,281
21,137
8,144
6,935

Operating Income

3,097

1,208

28
107
812
200
107
1,255

990
654
200
169
1,123

99
83
27
210
4,142

125
44
29
199
2,132

102
12115
4,257

−
160
160
2,292

1,460
2,797
19
2,777

554
1,738
−
1,738

Non-Operating Income:Interest income
Dividend income
Foreign currency translation gain
Subsidy income
Others

Non-Operating Expenses:
Interest expenses
Sales discounts
OthersOrdinary Income
Extraordinary Income:Gain on sales of fixed assets
Gain on sales of investment securities
Income before Income Taxes
Income Taxes
Income before Minority Interests
Minority Interests in Income
Net Income7

Consolidated Statements of Comprehensive Income
For the nine-month period ended December 31, 2014 and 2013

Millions of yen

Income before Minority Interests
Other Comprehensive Income:Net unrealized holding gains on available-for-sale securities
Deferred gains or losses on hedges
Foreign currency translation adjustments
Remeasurements of defined benefit plans
Total Other Comprehensive Income
Comprehensive Income
Comprehensive income attributable to:Comprehensive income attributable to owners of the parent
Comprehensive income attributable to minority interests

8

December 31,
2013

December 31,
2013

2,797

1,738

778
−
(219)
(45)
513
3,310

1,246
(0)
1,129
−
2,376
4,114

3,287
23

4,114
−

(3) Notes on the Premise of a Going Concern
There are no applicable articles.

(4) Notes on the Statement of Changes in Consolidated Shareholders’ Equity
There are no applicable articles.

9