NAMCO BANDAI Holdings Inc.
Code Number: 7832
Listed exchange: TSE 1st section
Registered Business Location: Tokyo(URL: http://www.bandainamco.co.jp/)
February 23, 2006
Consolidated Earnings Report for the Nine Month-Period Ended December 31, 2005

Representative
Contact
Telephone

Takeo Takasu, President and Representative Director
Keiji Tanaka, Director+81 (03) 5783-5500

1. Matters concerning the basis of preparation of quarterly financial statements(i) Application of simplified accounting methods: YES
Corporation income taxes are calculated based on a simplified method, by application of the effective statutory
tax rate.
(ii) Change in accounting methods compared with the consolidated financial statements for the fiscal year ended
March 31, 2005: NO(iii) Change in the scope of consolidation and application of the equity method: YES
Newly consolidated subsidiaries: 3 companies(VIBE Inc., NAMCO SPA RESORT LTD., Bandai Games Inc.)
Formerly consolidated subsidiaries: 4 companies(PALBOX Co., Ltd., Italian Tomato Ltd., Nikkatsu Corporation, BanPocket Co., Ltd.)
Affiliates newly accounted for under the equity method: 2 companies(People Co., Ltd., Italian Tomato Ltd.)
2. Consolidated Business Results for the Nine Month-Period Ended December 31, 2005
(April 1, 2005 to December 31, 2005)(1) Consolidated Business Results(¥ million)

Net Sales

Operating income％

Recurring income％

Net income％％

Nine months ended December 31, 2005

345,396-

35,600-36,801-

17,711-

Nine months ended December 31, 2004

-

-

-

-

-

-

-

-

Fiscal Year Ended March 31, 2005--

Net income per share-

Net income per share(diluted)¥
Nine months ended December 31, 2005
Nine months ended December 31, 2004
Fiscal Year Ended March 31, 2005

¥

70.19

70.18

-

-

Note: Percentage figures accompanying net sales, operating income, etc. represent changes compared with thecorresponding period a year earlier.

1-(2) Consolidated Financial Position

Total assets

Stockholders’equity¥ million

Stockholders’equity ratio¥ million

Stockholders’equity per share%¥

Nine months ended December 31, 2005

400,379

243,30160.8

969.29Nine months ended December 31, 2004

-

-

-

-

Fiscal Year Ended March 31, 2005

-

-

-

-

(3) Consolidated Statement of Cash Flows

Operating activities

Investing activities¥ million

Financing activities¥ million

Cash and cash
equivalents atperiod-end¥ million¥ million

Nine months ended December 31, 2005

14,249(8,142)(20,235)(110,996)

Nine months ended December 31, 2004

-

-

-

-

Fiscal Year Ended March 31, 2005

-

-

-

-

3. Consolidated Projections for Fiscal Year ending March 2006 (April 1, 2005 to March 31, 2006)
Net sales

Recurring income¥ million

Fiscal Year Ending March 31, 2006

Net income¥ million

450,000

33,000¥ million
11,000(Reference) Projected net income per share (full year): ¥41.59
Note: The above projections are based on information available to the Company at the time of release, andassumptions involving uncertain factors thought likely to have an effect on future results. Actual results may differ
significantly from projections due to a variety of factors.

2

4. Results of Operations, Financial Position and Outlook (Qualitative Information)
I. Consolidated Results of Operations
In the period under review (April 1, 2005 – December 31, 2005), Japan’s economy saw strong
corporate earnings, a slight improvement in business sentiment, and a sustained increase in capital
investment. Despite the impact of rising crude oil prices and other factors, steady growth in personal
income supported robust consumer spending on the whole.
In the entertainment industry, global competition has come to the fore, driven by the uptake andgrowth of networking infrastructure in step with technological innovation. In Japan, amid a fallingbirthrate and diversifying forms of hobbies and entertainment, entertainment companies must attract
new customers by creating and providing appealing products and services, as well as conducting
active R&D programs. These efforts are becoming increasingly crucial to delivering steady andsustained earnings.
In this environment, Bandai Co., Ltd. and NAMCO LIMITED established NAMCO BANDAI
Holdings Inc. as a joint holding company on September 29, 2005. The companies were integrated inorder to boost corporate value by building even greater strength and depth into operations, while
ensuring success in the fast-changing, increasingly competitive entertainment industry.
Operating results for the period under review reflect market conditions during the year-end sellingseason that were favorable for mobile hardware in the home video games market and other related
products, but generally sluggish in the toys market. BANDAI NAMCO Group reached the 10-million
mark in cumulative global sales for the Tamagotchi Plus series in the current fiscal year, and crossed
the 1-million mark for sales of Tamagotchi Connection: Corner Shop for the Nintendo DS, while salesof coin-operated game machines such as the Mario Kart Arcade GP have been favorable andcontributed to operating results. On the other hand, sales of home video games franchise titles trailed
their predecessors due to a failure to respond quickly to changes in the games market environment.
Due to the above, consolidated net sales were ¥345,396 million, recurring income was ¥36,801 million
and net income for the period was ¥17,711 million.

3（¥ million）

Results by Business Segment
Nine months ended December 31, 2005
Net Sales

Operating Income (Loss)

134,710
18,093[52,171][9,696]60,166
1,837
Amusement Facility[19,114][(462)]
104,904
12,909Game Contents[41,130][5,460]9,389
1,439
Network[3,439][582]
Visual & Music
33,453
6,128[10,399][3,033]
Content
17,20968
Affiliated[5,988][128]
Numbers in square parentheses refer to results for the October – December quarter.
Toys & Hobby

Toys & Hobby Business
In Japan, Chou Jinsei Enjoy! Tamagotchi PLUS, the 3rd in the Tamagotchi series, and related products
showed very strong performance, as did girls’ toys and children’s apparel based on the animation
series Pretty Cure Max Heart. Meanwhile, popular items for boys included toys based on Maji Ranger(Power Rangers Mystic Force), and children’s apparel and sundries based on The King of Beetles“MUSHIKING”. In addition, demand was also strong for Data Carddass, a game that fuses digital
data with card games, which was launched at the end of last fiscal year.
Overseas, in the U.S., measures were taken to concentrate resources on carefully selected charactersand businesses. Meanwhile, in Europe and Asia, sales centered on the POWER RANGERS andTamagotchi series went well.
Due to the above, the Toys & Hobby Business posted net sales of ¥134,710 million and operating
income of ¥18,093 million.

Amusement Facility Business
In Japan, the Amusement Facility Business saw lively sales in response to launches of promising
proprietary products such as Mario Kart Arcade GP, but cumulative revenues at existing directly
managed locations fell 3.1 percentage points compared with a year earlier owing to record-setting low
temperatures and snowfall.
Asakusa Hanayashiki did well after an overhaul, thanks also to the introduction of Tsukuba Express.
SPA･RESORT LIBERTY (Kishiwada City, Osaka), which opened in December as a spa facility,
marked the full-scale entry into hot spring operations.
4

In the U.S., the Amusement Facility Business displayed weakness at revenue-sharing operations underthe effects from hurricanes and poor performance of movie theaters. However, thanks to ongoingmeasures such as closing unprofitable stores and cost cutting, slippage in cumulative revenues atexisting directly-managed locations stopped at 2.5 percentage points compared with a year earlier,suggesting that the bottom is near. In Europe, directly-managed locations that opened in the U.K. in
October fared well, while performance in Europe overall was solid. In Asia, performance was alsosolid thanks to the launch of prize games and proprietary products.
At the end of the period under review, the total number of amusement facilities was 1,689 locations,
including 470 directly-managed locations, 1,215 sites operated under revenue-sharing arrangements,
and 4 theme parks.
Due to the above, the Amusement Facility Business posted net sales of ¥60,166 million and operating
income of ¥1,837 million

Game Contents Business
The Game Contents Business overall fared poorly due to a failure to respond quickly to changes in thehome video games market environment, with steep underperformance of franchise titles launchedglobally such as Soul Caliber III compared with its predecessor. In Japan, however, sales of
Tamagotchi Connection: Corner Shop for the Nintendo DS topped one million units alongside other
titles, such as Dragon Ball Z Sparking! for the PlayStation 2, which proved popular and contributed toresults. Additionally, for new hardware applications, Ridge Racer 6 went on sale for the Xbox360.
Sales of coin-operated game machines in Japan were good for the globally launched Mario Kart
Arcade GP. Additionally, Hana-fubuki and Tekken 5 Dark Resurrection did well in Japan, Ms.
Pacman/Galaga did well in the U.S., and The Fast and The Furious (RAW THRILLS INC.) performed
well in Europe.
Contents distribution services operated by NAMCO LIMITED for users of mobile phones and otherportable devices performed well in Japan with paying subscribers reaching 1.03 million (up 7.0%
year-on-year) thanks to the launch of Tales of Commons, a site geared at NTT DoCoMo users, andTales of the Abyss: Myuu’s Adventure, featuring content based on home video games. Contents
distribution services fared well in the U.S., but performance was weak in Europe due to a delay in the
launch of new services.
Due to the above, the Game Contents Business recorded net sales of ¥104,904 million and operating
income of ¥12,909 million.

5

Network BusinessIn the Network Business operated by Bandai Networks Co., Ltd., the number of paying subscribers
fell 5.4% year-on-year to 4.06 million. This was due to a drop in subscribers for standby and ringer
tones, reflecting a change in the market environment for mobile contents distribution service formobile phones. However, thanks to strong performance on high added-value content such as the
Mobile Suit Gundam simulation game Gundam Network Online Mobile and entertainment contents
One Piece Mobile Jack, average charges per subscriber increased, with beneficial effects on earning
power. Moreover, contributions to earnings continued to come from new technology offerings formobile phones, such as animation display-enabling 2D Vector Engine and character image-generating
3D Engine, as well as from solutions for corporations and web content.
Due to the above, the Network Business recorded net sales of ¥9,389 million and operating income of¥1,439million.
Visual & Music Content Business
The Visual & Music Content Business benefited from TV broadcasts of Mobile Suit Gundam SEEDDESTINY initiated last year and the highly successful box office results and DVD release of Mobile
Suit Z Gundam a New Translation: Heirs to the Stars premiered in cinemas in May 2005, with stronggroup synergy effects coming from the Mobile Suit Gundam series, of which these offerings are a part.
Sales of rental DVD video products were also favorable and contributed to results. By contrast,
overseas performance was weak as returns increased amid slack market conditions in the U.S.
Due to the above, the Visual & Music Content Business recorded net sales of ¥33,453 million andoperating income of ¥6,128 million.
Affiliated BusinessIn this business, the logistics business performed well by boosting further efficiency. New businessinitiatives include the inception in December 2005 of coin-operated game machines website The Idol
M@ster featuring The Idol M@ster Official Goods Shop. This site is engaged in design and sales ofproprietary goods as a Total Entertainment Service that interrelates coin-operated game machines andhome computer under the concept of “Entertainment Network Services.”
Due to the above, Affiliated Business recorded net sales of ¥17,209 million and operating income of¥68 million.

6

Geographic Segment Information(¥ million)

Nine months ended December 31, 2005
Net Sales

Operating Income (Loss)

290,304
38,542[105,575][16,164]
34,337(3,018)Americas[13,707][208]
20,0403,201Europe[7,380][1,410]24,073
2,048
Asia[10,244][845]
Numbers in square parentheses refer to results for the October – December quarter.
Japan

Japan
In Japan, franchise titles such as Critical Velocity experienced weak sales in the market for home video
games. By contrast, in the Toys & Hobby Business, sales were solid in girls’ toys and children’s
apparel, centered on the Tamagotchi Plus series and Pretty Cure Max Heart. Game Contents saw solid
sales in Tamagotchi Connection: Corner Shop for the Nintendo DS and Dragon Ball Z Sparking! forthe PlayStation 2, while Mario Kart Arcade GP did well in sales of coin-operated game machines.
Despite recent improved performance in the Amusement Facility Business in reaction to the launch ofpromising proprietary products, there was a negative impact from record-setting low temperatures andsnowfall, and overall, cumulative sales at existing directly managed locations slipped 3.1 percentage
points compared with a year earlier.
In distribution services for mobile phones and portable devices, performance was good centered on
game contents, while in the Visual & Music Content Business the DVD release of the Mobile Suit
Gundam series proved popular and had displayed strong group synergy effects.
Due to the above, net sales in Japan were ¥290,304 million and operating income was ¥38,542 million.

7

Americas
In the Americas (U.S. and Canada), the Toys & Hobby Business continued to narrow its focus on
selected franchise characters and operations. In the market for home video games, franchise titles suchas Soul Caliber III for the PlayStation 2 saw sales trail those of predecessor products, showing overall
weak performance due to failure to respond quickly to changes in market environment. In the Visual& Music Content Business, performance suffered as slack market conditions prompted increased
product returns. By contrast, in coin-operated game machines sales, sales were solid for Mario Kart
Arcade GP and Ms. Pacman/Galaga. In Amusement Facility Business, thanks to ongoing measures
such as closing unprofitable stores and cost cutting, slippage in cumulative revenues at existing
directly-managed locations stopped at 2.5 percentage points compared with a year earlier, suggestingthat the bottom is near. Contents distribution services for mobile phone and portable devices were
solid.
Consequently, in this region, the BANDAI NAMCO Group posted net sales of ¥34,337 million and an
operating loss of ¥3,018 million.

EuropeIn Europe, the Toys & Hobby Business fared well centered on the POWER RANGERS and theTamagotchi series, with the Tamagotchi attaining Toy of the Year 2005 in the U.K. In home video
games operations, Dragon Ball Z Budokai 4 (Japanese product name: Dragon Ball Z Sparking!)
performed well, as did Mario Kart Arcade GP and The Fast and The Furious (RAW THRILLS INC.) in
coin-operated game machines. In contents for mobile phones and portable devices, delays in the
launch of new services caused weak results, although the Amusement Facility Business in Europe
overall was solid.
Due to the above, net sales in Europe were ¥20,040 million and operating income was ¥3,201 million.
Asia
In Asia, home video games operations struggled as sales tumbled below the level of predecessor
products for franchise titles such as Soul Caliber III for the PlayStation 2. In the Toys & Hobby
Business, sales did well centered on the POWER RANGERS and the Tamagotchi series, while in the
Amusement Facility Business, prize games and the launch of proprietary products contributed to solid
results.
Due to the above, net sales in Asia were ¥24,073 million and operating income was ¥2,048 million.

8II. Financial Position
Cash flows
Cash and cash equivalents at December 31, 2005 totaled ¥110,996 million, a decrease of ¥13,927
million compared to the beginning of the current fiscal year. Cash flows for the nine months ended
were as follows:
Cash flows from operating activities
Operating activities provided net cash of ¥14,249 million. This mainly reflected income before income
taxes of ¥37,454 million, an increase in trade receivables of ¥9,828 million, and income taxes paid of¥13,108 million.
Cash flows from investment activities
Investing activities used net cash of ¥8,142 million. This was chiefly attributable to cash outflows of¥10,433 million for the acquisition of tangible and intangible fixed assets, ¥1,946 million for theacquisition of investment shares in People Co., Ltd., and ¥1,819 million for the acquisition of shares in
VIBE Inc. and other subsidiaries, despite cash of ¥5,499 million from the sale of shares in Italian
Tomato Ltd. and Nikkatsu Corporation.
Cash flows from financing activities
Financing activities used net cash of ¥20,235 million. This primarily reflected ¥10,548 million fromthe purchase of treasury stock and dividends paid of ¥4,415 million, alongside ¥3,097 million in cash
payments upon the share-for share exchange and the repayment of long-term debt of ¥1,658 million.
III. Full-Year Outlook
Japan’s economic outlook calls for a gradual, sustained recovery supported mainly by improving
corporate earnings and higher capital expenditures, although the revaluation of China’s currency will
have some impact on the economy.
Furthermore, the operating environment surrounding the BANDAI NAMCO Group will be shaped bydiversifying customer preferences in the toy market, and dramatic shifts in the game industry inanticipation of the launch of next-generation game consoles. The outlook for the Group’s operating
environment thus remains surrounded in uncertainty.
In this setting, the Toys & Hobby Business of the BANDAI NAMCO Group has enjoyed worldwide
popularity surrounding the Tamagotchi Plus series, while in the domestic realm, the Visual & Music
Content Business is performing well, benefiting from animation contents such as the Mobile Suit
Gundam series.

9However, in the Game Contents Business with its home video games and the Amusement Facility
Business which operates amusement facilities, performance has suffered due to failure to quickly
adjust to changing market environments and shifting customer needs. At the same time, an increase
in returns of DVD software has contributed to a poor performance in the Visual & Music Content
Business in the U.S.
Taking these conditions into account, and including expectations for a sustained harsh market
environment, the Company further tightened valuation standards for inventory assets surrounding
home video games and others, and booked a ¥6.0 billion valuation loss. Furthermore, in light ofweak performance in the U.S. and from a cautionary viewpoint, the Company will book a deferred
tax asset valuation allowance of ¥1.8 billion relative to deferred tax assets booked at the beginningof the period. Due to the above, results projections announced on November 22, 2005 for the full
fiscal year have been revised as shown below.
The Company will launch a three-year medium-term management plan beginning in April 2006,
which aims to enhance profitability by reviewing target strategies and implementing structuralreform of the product development for home video games operations. Moreover, in the U.S., theCompany will work to accomplish a shift to high profitability by introducing a regional holding
company structure that separates management and operations, and optimizes the allocation ofregional management resources, and establish a stable business basis.
Consolidated Projections for Fiscal Year ending March 2006 (April 1, 2005 – March 31, 2006)
Net sales

Recurring income

Net income¥ million
470,000
450,000¥ million
44,10033,000¥ million
24,40011,000Change (amount B-A)
(20,000)(11,100)
Rate of change (%)(4.3%)(25.2%)(Reference) Projected net earnings per share (full-year): ¥41.59(13,400)(54.9%)

Previous projection (A)Latest projection (B)Forward-looking statements
This document contains forward-looking statements obtained from information currently available to
the Company and Group, and as such, include inherent risks and uncertainties. Actual results may
differ materially from projections for a variety of reasons, including changes in the Company andGroup’s operating environment, market trends and exchange rate fluctuations.

10Consolidated Financial Statement for the Nine Month-Period Ended December 31, 2005
(1) Consolidated Balance Sheet
As of December 31, 2005
Millions of yen

Share
(%)

(Assets)
I Current assets:
1. Cash and time deposits

104,038

2. Trade receivables

84,318

3. Short-term investments

8,895

4. Inventories

32,523

5. Deferred tax assets

3,716

6. Other current assets

25,232(1,517)

Allowance for doubtful receivables

257,208

Total current assets

64.2

II Fixed assets
l. Property, plant and equipment(1) Buildings and structures

16,540(2) Amusement facilities and machines

22,746(3) Land

24,082(4) Other property, plant and equipment

14,712

78,082

2. Intangible assets
58(1) Consolidated adjustment accounts

8,926(2) Other intangible assets

8,984

3. Investments and other assets(1) Investment securities

23,267(2) Guarantee money deposited

25,196(3) Deferred tax assets

3,892(4) Other investments and assets

4,801

Allowance for doubtful receivables(1,053)

56,104

Total fixed assets

143,171

35.8

Total assets

400,379

100.0

11

As of December 31, 2005
Share
(%)

Millions of yen(Liabilities)
I Current Liabilities
1. Trade payables

46,576

2. Short-term borrowings

4,456

3.Bonds—current portion

10,0004. Accounts payable―other

17,812

5. Accrued income taxes

9,902

6. Other current liabilities

15,639104,388

Total current liabilities

26.1

II Long-term Liabilities
1. Bonds

15,0002. Long-term debt

2,753
849

3.Deferred tax liabilities, land revaluation difference

2,062

4. Accrued retirement and severance benefits
5. Directors' and auditors' retirement and severance benefits902
10,062

6. Other long-term liabilities
Total long-term liabilities

31,630

7.9

Total liabilities

136,018

34.0

21,0595.2

I Common stock

10,0002.5

II Additional paid-in capital

92,43023.1

Ill Retained earnings

167,76241.9

IV Land revaluation difference(21,246)(5.3)

V Other securities valuation difference

4,499

1.1

VI Translation adjustment

1,000

0.3

VII Treasury stock(11,144)(2.8)

Total stockholder's equity

243,30160.8

400,379

100.0(Minority Interests)
Minority Interests(Stockholders' Equity)

Total liabilities, minority interests and stockholders' equity12(2) Consolidated Statements of Income
Nine months ended
December 31, 2005
Share
(%)

Millions of yen
I Net sales

345,396

100.0

II Cost of sales

220,874

63.9

124,52136.1

88,92025.8

35,600

10.3

2,051

0.6

851

0.2

36,801

10.7

3,328

0.9

Gross profit
Ill Selling, general and administrative expenses
Operating income
IV Non-operating income
1. Interest income

609

2. Dividend income

192

3. Rental income

194

4. Foreign exchange gain369

5. Operation consignment income

213

6. Equity in earnings of affiliated companies

79

7. Other non-operating income

391

V Non-operating expenses
1. Interest expense

212

2. Amortization of goodwill363

3. Other non-operating expenses

274

Recurring income
VI Extraordinary income
1. Gain on sale of property, plant and equipment

186

2. Gain on sale of investment securities

479
2,602

3. Gain on sale of investments in affiliated companies
4. Reversal of allowance for doubtful receivables

55

5. Other extraordinary income

413

Nine months ended
December 31, 2005
Millions of yen

Share
(%)

VII Extraordinary loss
1. Loss on sale of property, plant and equipment40

2. Loss on disposal of property, plant and equipment

220

3. Loss on impairment of property, plant and equipment

1,644

4. Loss on business restructuring

205

5. Loss on valuation of investment securities

201

6. Loss on valuation of investments in affiliated companies

21

7. Loss on valuation of guarantee money deposited2

8. Loss on change in equity interests

21

9. Provision for allowance for doubtful receivables

317

2,675

0.8

37,45410.8

18,101

5.2

Minority interests

1,640

0.5

Net income

17,711

5.1

Net income before income taxes and minority interests
Corporate income, inhabitant and enterprise taxes

14,819Tax adjustments

3,281

14

(3) Consolidated Statements of Cash Flows
Nine months ended
December 31, 2005
Millions of yen
I Cash Flows from Operating Activities
Income before income taxes and minority interests
Depreciation and amortization
Loss on impairment of property, plant and equipment
Amortization of consolidated adjustment accounts
Increase in allowance for doubtful receivables
Increase in accrued retirement and severance benefits
Decrease in directors' and auditors' retirement and severance benefits
Interest and dividend income
Interest expense
Foreign exchange gain
Equity in earnings of affiliated companies
Loss on disposal of property, plant and equipment
Gain on sale of property, plant and equipment
Loss on disposal of amusement facilities and machines
Gain on sale of investment securities
Loss on valuation of investment securities
Increase in trade receivables
Increase in inventories
Investment in amusement facilities and machines
Increase in trade payables
Decrease in trade payable―other
Increase in income tax refunds receivable
Bonuses to directors and corporate auditors
Other
SubtotalInterest and dividends received
Interest paid
Income taxes paid
Net cash provided by operating activities

15

37,454
13,783
1,644
92
337
172
(94)
(802)
212
(80)
(79)
220
(145)
813
(3,082)
223(9,828)(793)(8,258)
3,833(3,122)(5,130)(627)(229)
26,514
1,019(176)(13,108)
14,249Nine months ended
December 31, 2005
Millions of yen
II Cash Flows from Investing Activities
Payments for deposit in time deposits
Proceeds from withdrawal from time deposits
Proceeds from sales of short-term investments
Purchases of property, plant and equipment
Proceeds from sales of property, plant and equipment
Purchases of intangible assets
Purchases of investment securities
Sales of investment securities
Acquisition of shares in consolidated subsidiaries, net of cash acquired
Proceeds from sales of shares in consolidated subsidiaries
Purchase of subsidiary shares related to changes in scope of consolidation
Proceeds from sales of subsidiary shares related to changes in scope of consolidation
Proceeds from decrease in capital at non-consolidated subsidiaries
Advances of loans receivableCollection of loans receivable
Guarantee money deposited
Proceeds from collection of guarantee money deposited
Payments for succession of business
Other
Net cash used in investing activities
Ill Cash Flows from Financing Activities
Net increase in short-term borrowings
Repayment of long-term debt
Repayment of bonds
Proceeds from issuance of shares
Proceeds from capital paid by minority interests
Purchases of treasury stock
Dividends paid
Cash payments upon the share-for-share exchange
Dividends paid to minority interests
Net cash used in financing activities
IV Effect of exchange rate changes on cash and cash equivalents
V Net decrease in cash and cash equivalents
VI Cash and cash equivalents at beginning of period
VII Net Increase in cash and cash equivalents from newly consolidated
VIII Net decrease in cash and cash equivalents due to elimination from consolidation
IX Cash and cash equivalents at end of period

16

(915)
509
499
(8,019)703(2,414)(1,946)
768
(38)
313
(1,780)
5,185
152
(366)
482
(581)
1,091
(1,500)(286)(8,142)493(1,658)(1,000)396
20(10,548)(4,415)(3,097)(426)(20,235)
1,051(13,076)
124,92310(860)
110,996

(4). Segment Information
1. By Business Segment(¥ million)
Nine Months Ended December 31, 2005
(April 1, 2005 to December 31, 2005)
Toys & Hobby
Business

Amusement
Facility
Business

Game
Contents
Business

NetworkBusiness

Visual &Music
Content
Business

131,882

59,813102,114

9,167

32,733

9,684

2,828

352

2,790

221

720

Total

134,710

60,166104,904

9,389

Operating expenses

116,61758,32891,995

Operating income (loss)

18,093

1,837

12,909Eliminations
andCorporate

Consolidated

345,396－345,396

7,524

14,438(14,438)－

33,453

17,209359,834(14,438)

345,396

7,950

27,325

17,140319,357(9,562)309,795

1,439

6,128

68

40,477(4,876)35,600AffiliatedBusiness

Total

Net sales(1) To external customers
Intersegment sales and(2) transfers

Notes:
1. Business segment classifications are in accordance with classifications adopted for internal management
purposes.
2. Principal products and operations in each business segment:(1) Toys & Hobby Business(2) Amusement Facility Business(3) Game Contents Business

Toys, candy toys, products for vending machines, cards, plastic models,apparel, sundries, stationary and other products
Amusement facility operations and other operations
Software for home video games, coin-operated game machines, prizes forcoin-operated game machines and other products(4) Network Business

Mobile content and other products(5) Visual & Music Content BusinessVideo titles, visual software, on-demand video distribution and otherproducts and services(6) Affiliated BusinessTransportation and warehousing of products, leasing, real estate
management, printing, licensing, restaurant management, human services
and nursing care facilities, development and sale of environmental
equipment and other activities

3. Operating expenses include an unallocatable amount of ¥5,314 million under eliminations and corporate.
This figure primarily consists of expenses related to management divisions at NAMCO BANDAI
Holdings, Inc., Bandai Co., Ltd. and NAMCO LIMITED.

17

2. By Geographic Segment(¥ million)
Nine Months Ended December 31, 2005
(April 1, 2005 to December 31, 2005)
Eliminations
Japan

Americas

Europe

Asia

Total

Consolidated
and Corporate

Net sales
283,483

33,45820,026

8,428

345,396－345,396

6,821

879

13

15,64523,358(23,358)－

Total

290,304

34,33720,04024,073368,755(23,358)

345,396

Operating expenses

251,761

37,355

16,83822,025327,980(18,185)309,795

Operating income (loss)

38,542(3,018)

3,201

2,048

40,774(5,173)35,600(1)(2)

To external customers
Intersegment sales andtransfers

Notes:
1. Methods for classifying geographic segments and principal countries and regions(1) The Company classifies geographic segments by such factors as geographic closeness, similarities
in economic activities, mutual relationship of business activities.
(2) Principal countries and regions belonging to each geographic segment.

(i) Americas

U.S.A. and Canada(ii) Europe

France, U.K. and Spain(iii) Asia:

Hong Kong, Thailand and South Korea

2. Operating expenses include an unallocatable amount of ¥5,314 million under eliminations
and corporate. This figure primarily consists of expenses related to management divisions at
NAMCO BANDAI Holdings, Inc., Bandai Co., Ltd. and NAMCO LIMITED.

18

NAMCO BANDAI Holdings Inc.
(Bandai Co. Ltd)
Code Number: 7832
Listed exchange: TSE 1st section
Registered Business Location: Tokyo(URL: http://www.bandainamco.co.jp/)
February 23, 2006
Consolidated Earnings Report for the Nine Month-Period Ended December 31, 2005

Contact
Telephone

Keiji Tanaka, Director+81 (03) 5783-5500

1. Matters concerning the basis of preparation of quarterly financial statements(i) Application of simplified accounting methods: YES
Corporation income taxes are calculated based on a simplified method, by application of the effective statutory tax
rate.
(ii) Change in accounting methods compared with the consolidated financial statements for the fiscal year ended
March 31, 2005: YES
Business segment classifications used in the segment information by business category have been changed.
The accounting treatment of gains and losses from changes in shareholder stakes has been changed to treatment as
extraordinary gains and losses.
(iii) Change in the scope of consolidation and application of the equity method: YES
Newly consolidated subsidiaries: 2 companies(VIBE Inc., Bandai Games Inc.)
Formerly consolidated subsidiaries: 2 companies*(PALBOX Co., Ltd., BanPocket Co., Ltd.)
Affiliates newly accounted for under the equity method: 1 company:(People Co., Ltd.)
Affiliates formerly accounted for under the equity method: None**Due to corporate separation instituted December 1, 2005, subsidiary and equity-method affiliate administrative
operations were partly assumed by NAMCO BANDAI Holdings Inc. from Bandai Co., Ltd. As a result, effective
December 31, 2005, Bandai Co., Ltd. relinquished 22 consolidated subsidiaries and 4 equity-method affiliates. These
26 entities are not included in the above-stated formerly consolidated subsidiaries and affiliates formerly accounted
for under the equity method as the financial results of these entities are included in the consolidated financial
statements of Bandai Co., Ltd.
2. Consolidated Business Results for the Nine Month-Period Ended December 31, 2005
(April 1, 2005 to December 31, 2005)(1) Consolidated Business Results(¥ million, %)Net Sales

Operating income

Recurring income

Net income¥ million%¥ million%¥ million%¥ million%

Nine months ended December 31, 2005

218,974

13.6

33,98584.2

35,172

83.4

16,115

70.5

Nine months ended December 31, 2004

192,691(0.2)

18,452(25.9)

19,183(21.7)

9,451(25.5)

Fiscal Year Ended March 31, 2005

269,945

24,39819

25,723

11,225

Net income per share

Net income per share(diluted)¥¥

Nine months ended December 31, 2005

163.04163.01

Nine months ended December 31, 2004

95.92

95.77

Fiscal Year Ended March 31, 2005

111.13110.99Note: Percentage figures accompanying net sales, operating income, etc. represent changes compared with thecorresponding period a year earlier.

20(1) Consolidated Statements of Income
Nine months ended

Nine months ended

December 31, 2005

December 31, 2004

Millions of Share

Millions of

(%)

yen

(%)

yen

I Net sales

218,974

100.0

192,691

100.0

26,283

II Cost of sales

121,94155.7

107,935

56.0

97,03344.3

84,75563,04728.8

33,985
1,489

III Selling, general and administrative expenses
Operating income
IV Non-operating income

March 31, 2005

Share Millions of Change Millions of Shareyen

Gross profit

Fiscal Year ended

Change

(%)

yen

(%)

13.6

269,945100.0

14,00613.0

153,144

56.7

44.0

12,277

14.5

116,801

43.3

66,30334.4(3,255)(4.9)

92,402

34.3

15.5

18,452

9.6

15,533

84.2

24,398

9.0

0.7

1,144

0.6

345

30.2

1,806

0.7

1. Interest income

488

384

526

2. Equity in earnings of affiliated companies

98

5

－

3. Other non-operating income

903

754

1,280

V Non-operating expenses

302

1. Interest expense

170

135

190

2. Equity in losses of affiliated companies

－

－

24

3. Other non-operating expenses

131

278

266

0.1

413

0.2

(111)

(26.9)

481

0.2

35,172

16.1

19,18310.0

15,98983.4

25,723

9.5

VI Extraordinary income

549

0.2

2,697

1.4

(2,148)(79.6)

3,157

1.2

1. Gain on sale of property, plant and equipment

180

2

21

2. Gain on sale of investment securities

282

2,636

2,953

3. Other extraordinary income

85

57

181

Recurring income

VII Extraordinary loss

2,665

1.2

2,807

1.5

(142)

(5.1)

3,912

250

287

711

1,644

1,528

1,528

－

104

104

4. Amortization of goodwill

－

392

392

5. Loss on business restructuring

205

－

590

6. Loss on valuation of investment securities

223

101

156

7. Loss on valuation of guarantee money deposited

2

25

25

8. Loss on change in equity interests

21

－

－

9. Payment for compromise

－

49

54

10. Provision for allowance for doubtful receivables

317

316

348

1. Loss on sale of property, plant and equipment
2. Loss on impairment of property, plant and equipment
3. Expense of special depreciation of property, plant, and1.5

equipment

Net income before income taxes and minority interests

33,05615.1

19,0729.9

13,983

73.3

24,9689.2

Corporate income, inhabitant and enterprise taxes

15,196

6.9

8,209

4.3

6,986

85.1

12,125

4.4

Minority interests

1,744

0.8

1,412

0.7

332

23.6

1,616

0.6

Net income

16,115

7.4

9,451

4.9

6,664

70.5

11,225

4.2

21

(2) Segment Information
1. By Business Segment(¥ million)
Nine Months Ended December 31, 2005
(April 1, 2005 to December 31, 2005)
Amusement
Toys & Hobby
Facility
Business
Business

Game
Contents
Business

NetworkBusiness

Visual &Music
Content
Business

AffiliatedBusiness

Total

Eliminations
andCorporate

Consolidated

Net sales
132,015

3,003

42,8089,168

26,976

5,001

218,974－

218,974

2,695

114

1,549

221

705

7,000

12,286(12,286)－

Total

134,7103,118

44,3589,389

27,682

12,001

231,261(12,286)

218,974

Operating expenses

116,290

2,928

36,866

7,955

21,005

11,039196,086(11,097)

184,989

Operating income (loss)

18,420

189

7,492

1,434

6,676

962

35,175(1,189)33,985(1)

To external customers(2)

Intersegment sales
and transfers(¥ million)
Nine Months Ended December 31, 2004
(Fiscal Year from April 1, 2004 to March 31, 2005)
NetworkBusiness

Visual &Music
Content
Business

34,386

7,111

22,172

4,448

33

879

172

525

123,408

2,114

35,266

7,283

Operating expenses

111,724

2,375

32,494

Operating income (loss)

11,684

(261)

2,771

Toys & Hobby
Business

Amusement
Facility
Business

122,491

2,080

917

Total

Game
Contents
Business

Eliminations
andCorporate

Consolidated

192,691－

192,691

7,096

9,625

(9,625)－

22,698

11,544

202,316(9,625)

192,691

6,059

19,496

10,716

182,866(8,628)174,238

1,224

3,201

828

19,449(996)

18,452AffiliatedBusiness

Total

Net sales(1)

To external customers(2)

Intersegment sales
and transfers(¥ million)
Fiscal Year Ended March 31, 2005
(April 1, 2004 to March 31, 2005)
Toys & Hobby
Business

Amusement
Facility
Business

Game
Contents
Business

NetworkBusiness

Visual &Music
Content
Business

AffiliatedBusiness

Total

Eliminatio
ns andCorporate

Consolidated

Net sales(1)

To external customers

165,943

2,941

52,1949,886

33,045

5,934

269,945－

269,945(2)

Intersegment sales
and transfers

1,349

49

1,303

250

833

9,117

12,904(12,904)－

Total

167,293

2,991

53,497

10,13633,87815,051

282,849(12,904)

269,945

Operating expenses

154,486

3,363

48,2088,471

28,618

14,112257,260(11,712)245,547

Operating income (loss)

12,807

(371)

5,289

1,665

5,260

938

25,589(1,191)

24,39822

Notes:1. Business segment classifications are in accordance with classifications adopted for internal management
purposes.
(Accounting changes)
In step with group management of BANDAI NAMCO Group driven by individual strategic business
units (SBUs), business segment classifications of Bandai Group have been changed in accordance with
the SBUs of BANDAI NAMCO Group.
Segment information for the nine months ended December 31, 2004 and for the fiscal year ended
March 31, 2005 is presented on the basis of the changed segment classification.
2. Principal products and operations in each business segment(1) Toys & Hobby Business

Toys, candy toys, products for vending machines, cards, plastic
models, apparel, sundries, stationary and other products(2) Amusement Facility Business

Amusement facility operations, and other operations(3) Game Contents SBU

Software for home video games, game software for mobile devices,
equipments and prizes for amusement machines, and other products(4) Network Business

Mobile content and other products
Animation works, visual software, on-demand video distribution
and other products and services
Transportation and warehousing of products, leasing, real estate
management, printing and other activities.

(5) Visual & Music Content Business(6) Affiliated Business3. Operating expenses include an unallocatable amount under eliminations and corporate of ¥1,758 million
for the nine months ended December 31, 2005, ¥1,429 million for the nine months ended December 31,
2004, and ¥1,873 million for the fiscal year ended March 31, 2005.These figures primarily consist of
expenses related to management divisions at the Company.

2. By Geographic Segment(¥ million)
Nine Months Ended December 31, 2005
(Fiscal Year from April 1, 2005 to March 31, 2006)
Eliminations
Japan

Americas

Europe

Asia

Total

Consolidated
and Corporate

Net sales
183,263

12,196

15,5697,945

218,974－

218,974

4,842

745

13

15,645

21,246(21,246)－

Total

188,105

12,941

15,583

23,591

240,221(21,246)

218,974

Operating expenses

155,855

14,66912,404

21,643

204,572(19,583)

184,989

Operating income (loss)

32,250(1,728)

3,178

1,947

35,648(1,663)33,985(1) To external customers
Intersegment sales and(2) transfers23(¥ million)
Nine Months Ended December 31, 2004
(Fiscal Year from April 1, 2004 to March 31, 2005)
Eliminations
Japan

Americas

Europe

Asia

Total

Consolidated
and Corporate

Net sales(1)

To external customers

160,415

12,905

13,371

5,999

192,691－

192,691(2)

Intersegment sales andtransfers

4,302

714

－

17,274

22,291(22,291)－

Total

164,717

13,61913,371

23,273214,982(22,291)

192,691

Operating expenses

147,110

16,011

10,53821,321

194,981(20,743)

174,238

Operating income (loss)

17,607(2,392)

2,833

1,951

20,000(1,548)18,452(¥ million)
Fiscal Year Ended March 31, 2005
(April 1, 2004 to March 31, 2005)
Eliminations
Japan

Americas

Europe

Asia

Total

Consolidated
and Corporate

Net sales
219,221

20,74921,7448,230

269,945－

269,945

5,666

1,096

－

22,60629,369(29,369)－

Total

224,888

21,845

21,74430,837299,315(29,369)

269,945

Operating expenses

201,847

24,573

17,77628,856

273,053(27,506)

245,547

Operating income (loss)

23,040(2,728)

3,967

1,980

26,261(1,863)24,398(1)

To external customers
Intersegment sales and(2)transfers

Notes:
1. Methods for classifying geographic segments and principal countries and regions(1) The Company classifies geographic segments by geographic closeness.
(2) Principal countries and regions belonging to each geographic segment.

(i) Americas:

U.S.A. and Canada(ii) Europe:

France, U.K. and Spain(iii) Asia:
Hong Kong, Thailand and South Korea
2. Operating expenses include an unallocatable amount under eliminations and corporate of ¥1,758
million for the nine months ended December 31, 2005, ¥1,429 million for the nine months ended
December 31, 2004, and ¥1,873 million for the fiscal year ended March 31, 2005.These figures
primarily consist of expenses related to management divisions at the Company.

24

NAMCO BANDAI Holdings Inc.
(NAMCO LIMITED)
Code Number: 7832
Listed exchange: TSE 1st section
Registered business location: Tokyo(URL: http://www.bandainamco.co.jp/)

February 23, 2006

Consolidated Earnings Report for the Nine Months Ended December 31, 2005

Contact
Telephone

Keiji Tanaka, Director+81 (03) 5783-5500

1. Matters concerning the basis of preparation of quarterly financial statements(i) Application of simplified accounting methods: YES
Corporation income taxes are calculated based on a simplified method, by application of the effective statutory
tax rate.
(ii) Change in accounting methods compared with the consolidated financial statements for the fiscal year ended
March 31, 2005: NO(iii) Change in the scope of consolidation and application of the equity method: YES
New consolidated subsidiary: 1 company (NAMCO SPA RESORT LTD.)
Formerly consolidated subsidiaries: 2 companies* (Italian Tomato Ltd., Nikkatsu Corporation)
Affiliates newly accounted for under the equity method: 1 company (Italian Tomato Ltd.)*Due to corporate division instituted December 1, 2005, subsidiary and equity-method affiliate administrative operations
were partly assumed by NAMCO BANDAI Holdings Inc. from NAMCO LIMITED. As a result, effective 31 December,
2005, NAMCO LIMITED relinquished 12 consolidated subsidiaries. These 12 entities are not included in the number offormerly consolidated subsidiaries stated above as their financial results are included in the consolidated financial
statements of NAMCO LIMITED.

2. Consolidated Business Results for the Nine Month-Period Ended December 31, 2005
(April 1, 2005 to December 31, 2005)(1) Consolidated Business Results(¥ million, %)Net sales

Nine months ended December 31, 2005
Nine months ended December 31, 2004
Fiscal Year Ended March 31, 2005

Operating income%¥ million%¥ million%¥ million%

128,148

(2.9)

2,769

(74.4)

2,875(72.3)

2,512(62.0)

132,024(1.9)

10,803(26.4)

10,371(25.2)

6,603

(0.2)

178,551

15,085

14,588Net income per share(diluted)¥

Nine months ended December 31, 2004
Fiscal Year Ended March 31, 2005

Net income¥ million

Net income
per share

Nine months ended December 31, 2005

Recurring income

¥

22.86

-

60.17

-

83.63

-

25

9,464

Notes:
1. Percentage figures accompanying net sales, operating income, etc. represent changes compared with thecorresponding period a year earlier.
2. Effective November 19, 2004, a stock split at the ratio of 1:2 per share of common stock was implemented. Net
earnings per share for the fiscal year ended March 31, 2005 and for the nine months ended December 31, 2004, havebeen calculated assuming that the stock split was implemented at the beginning of the fiscal year.
3. Owing to an absence of dilutive instruments, diluted net earnings per share are not stated for the nine months ended
December 31, 2005.

26

Consolidated Statements of Income

Nine months ended
December 31, 2004
Share
(%)
Millions of yen

Nine months ended
December 31, 2005
Share
Millions of yen(%)

Fiscal Year ended
March 31, 2005
Share
Millions of yen(%)

132,024100.0

128,148100.0

178,551

97,16873.6

99,70977.8

130,996

73.4

34,85626.4

28,43922.2

47,555

26.6

32,46918.2

15,085

8.4

364

0.2

861

0.5

14,588

8.2

1,030

0.6

78

0.0

Ⅰ Net sales
Ⅱ Cost of sales
Gross profit
Ⅲ Selling, general and administrative expenses
1 Advertising
2 Salaries and allowances
3 Depreciation
4 R&D expenses
5 Other selling, general and administrative expenses

4,508

4,418

5,760

6,431

6,403

8,789

572

805

789

4,899

5,126

6,781

7,640

Operating income
Ⅳ Non-operating income
1 Interest income
2 Dividend income
3 Store closing indemnity
4 Foreign exchange gain
5 Other non-operating income
Ⅴ Non-operating expenses
1 Interest expense
2 Amortization of goodwill
3 Disposal of fixed assets
4 Provision for doubtful receivables
5 Foreign exchange loss
6 Other non-operating expenses

Ⅶ Extraordinary loss
1 Loss on valuation of inventories
2 Loss on impairment of property, plant and equipment
3 Other extraordinary losses

18.2

10,803

8.2

8,915

25,670

20.0

2,769

2.2

10,348

102

121

144

5

13

10

-

86

-

150

177
258

0.2

225

2
624

0.5

207

50

41

68

363

363

485

75

-

79

115

-

109

41
43

Recurring income
Ⅵ Extraordinary income
1 Gain on sale of investment securities
2 Reversal of allowance for doubtful receivables
3 Gain on change in equity interests
4 Gain on sale of equity in subsidiaries
5 Gain on collection on written-off claims
6 Other extraordinary income

24,052690

0.5

10,371

7.9

112

518

0.4

2,875

2.2

118

100

196

319

7

-

34

37

-

37

-

2,602

-

48
3

197

0.1

11

122
2,811

2.2

515

11

-

9

4

-

4

2

18

0.0

Net income before income taxes andminority interests

10,550

Corporate income, inhabitant and enterprise taxes
Minority interests
Net income
27

-

100.0

-

0.0

63

8.0

5,686

4.4

15,540

8.7

3,891

2.9

3,226

2.5

5,985

3.4

54

0.0

(51)

(0.0)

89

0.1

6,603

5.0

2,512

2.0

9,464

5.3

Segment Information(1) By Business Segment(¥ million)
Nine Months Ended December 31, 2004
(April 1, 2004 to December 31, 2004)

Coin-operated
Game
Machines

Home Video
Game Software

Amusement
Facility
Operations

Restaurant
Operations

Movies &Graphics

Other

Total

Elimination
or Corporate
Items

Consolidated

24,55831,34260,513

3,787

7,252

4,568

132,024―

132,024

213

0

172

44

143

578

1,153

(1,153)―

Total

24,772

31,34360,686

3,832

7,396

5,146

133,178(1,153)132,024

Operating expenses

17,93427,19656,422

3,831

7,569

5,542

118,497

2,724

121,221

Operating income (loss)

6,838

4,147

4,264

0

(173)

(395)

14,681(3,877)

10,803

Net sales(1) To external customers(2) Intersegment sales andtransfers

Nine Months Ended December 31, 2005
(April 1, 2005 to December 31, 2005)
Coin-operated
Game
Machines

Home Video
Game Software

Amusement
Facility
Operations

Movies &Graphics

Other

Total

24,724

36,161

56,810

5,783

4,668

263

0

238

4

Total

24,98836,161

57,048Operating expenses

19,04835,942

Operating income (loss)

5,939

219

Elimination or
Corporate Items

Consolidated

128,148―

128,148

522

1,028

(1,028)

―

5,787

5,190

129,177(1,028)128,148

55,041

6,152

6,068

122,254

3,125

125,379

2,006

(364)

(877)

6,923

(4,154)

2,769

Net sales(1) To external customers(2) Intersegment sales andtransfers

Fiscal Year Ended March 31, 2005
(April 1, 2004 to March 31, 2005)
Coin-operated
Game
Machines

Home Video
Game Software

Amusement
Facility
Operations

Restaurant
Operations

27,771

47,48881,788

5,110

250

0

252

62

Total

28,021

47,48882,0405,172

Operating expenses

21,32939,60075,953

5,146

Operating income (loss)

6,691

7,888

6,086

25

Movies &Graphics

Elimination
or Corporate
Items

Consolidated

178,551―

178,551

737

1,491

(1,491)―

6,787

180,043(1,491)

178,551

7,347

159,719

3,746

163,466(560)

20,323(5,237)15,085

Other

Total

6,050

Net sales(1) To external customers(2) Intersegment sales andtransfers

28

10,34
3
189
10,53
2
10,34
1
191

Notes:1. Methods for classifying operations
Due to a partial stock transfer of its equity on April 15, 2005, the status of former consolidated subsidiary
Italian Tomato Ltd. changed to that of an equity method subsidiary. As a result, the segment Restaurant
Operations ceases to appear in segment information by type of business beginning with the term underreview.
Due to a partial stock transfer of its equity on September 28, 2005, former consolidated subsidiary Nikkatsu
Corporation was excluded from consolidation on financial statements for the six-month interim period to
September 30, 2005. Business results of this entity for the period until September 30, 2005, are included inMovies & Graphics operations.
2. Principal products and operations of business segments are unchanged except for Restaurant Operations andMovies & Graphics business segments.
3. Unallocatable operating expense amounts included in Eliminations and Corporate Items related toadministrative divisions are as follows.
Nine months ended December 31, 2004
Nine months ended December 31, 2005
Fiscal year ended March 31, 2005

¥3,885 million¥4,201 million¥5,257 million(2) By Geographic Segment(¥ million)
Nine Months Ended December 31, 2004
(April 1, 2004 to December 31, 2004)
Japan

North
America

Europe

Asia

Total

Eliminations andCorporate

Consolidated

Net sales(1)

To external customers

104,985

22,0654,598

376

132,024―

132,024

3,461

67

0

―

3,529

(3,529)―

Total

108,447

22,132

4,599

376

135,554(3,529)132,024

Operating expenses

94,34321,5174,512

330

120,703517

121,221

Operating income (loss)

14,103

615

86

46

14,851(4,047)

10,803(2)

Intersegment sales andtransfers

29(¥ million)
Nine Months Ended December 31, 2005
(April 1, 2005 to December 31, 2005)
Japan

North
America

Europe

Asia

Total

Eliminations andCorporate

Consolidated

Net sales(1)

To external
101,940

21,2684,457

482

128,148―

128,148

1,977

133

―

―

2,111

(2,111)―

Total

103,918

21,402

4,457

482

130,259(2,111)

128,148

Operating expenses

95,82522,726

4,470

393

123,415

1,963

125,379

Operating income (loss)

8,092(1,324)

(12)

88

6,844

(4,075)

2,769

(2)

customers
Intersegment sales
and transfers(¥ million)

Fiscal Year Ended March 31, 2005
(April 1, 2004 to March 31, 2005)
Japan

North
America

Europe

Asia

Total

Eliminations andCorporate

Consolidated

Net sales(1)

To external

140,606

31,343

6,081

519

178,551―

178,551

4,580

69

0

―

4,650

(4,650)―

Total

145,187

31,412

6,082

519

183,202(4,650)178,551

Operating expenses

127,050

29,2596,004

472

162,786

679

163,466

Operating income (loss)

18,136

2,153

77

47

20,415(5,329)15,085(2)

customers
Intersegment sales
and transfers

Notes:
1. Methods are unchanged for classifying geographic segments and principal countries and regions.
2. Constituent principal countries and regions of each segment are unchanged.
3. Unallocatable operating expense amounts included in eliminations and corporate related to administrative
divisions are as follows.
Nine months ended December 31, 2004
¥3,885 million
Nine months ended December 31, 2005
¥4,201 million
Fiscal year ended March 31, 2005
¥5,257 million

30(3) Overseas Sales
Nine Months Ended December 31, 2004 (April 1,2004 to December 31, 2004)
North America
EuropeI Overseas Sales (¥ million)

22,313

Asia/Oceania
8,471

Total

1,254

32,039II Consolidated Sales (¥ million)
III Overseas sales as a ratio ofconsolidated sales (%)

132,024
16.9

6.4

Nine Months Ended December 31, 2005 (April 1,2005 to December 31, 2005)
North America
EuropeI Overseas Sales (¥ million)

22,263

1.0

Asia/Oceania
13,717

24.3

Total

1,662

37,643

II Consolidated Sales (¥ million)
III Overseas sales as a ratio ofconsolidated sales (%)

128,148
17.4

10.7

Fiscal Year Ended March 31, 2005 (Fiscal Year from April 1, 2004 to March 31, 2005)
North America
EuropeI Overseas Sales (¥ million)

31,974

11,6181.3

Asia/Oceania

Total

2,105

II Consolidated Sales (¥ million)
III Overseas sales as a ratio ofconsolidated sales (%)

29.4

45,699178,551

17.9

6.5

1.2

25.6

Notes:
1. Methods are unchanged for classifying geographic segments and principal countries and regions.
2. Constituent principal countries and regions of each segment are unchanged.
3. Overseas Sales are net sales that occur in countries or regions other than that of the Company or affiliatedsubsidiaries.

31