SHIMADZU CORPORATION
1 Nishinokyo-Kuwabaracho, Nakagyo-ku
Kyoto 604-8511 Japan
http://www.shimadzu.com/February 9, 2016

Operating Results and Financial Position《For The Nine Months ended December 31, 2015》
1. Operating Results(1) Consolidated Overview
In the nine months ended December 31, 2015, the U.S. economy continued to grow at a stable rate,
while the European economy demonstrated a moderate recovery. While China’s pace of growth
remained moderate and the expansion of Southeast Asian economies began to slow, India’s
economy staged a moderate recovery. The Japanese economy, meanwhile, continued todemonstrate a moderate recovery, as corporate earnings and employment conditions improved
with the support of government economic and financial policies.
In this economic environment, the Shimadzu Group actively promoted growth-oriented measuresin accordance with its medium-term management plan. These measures included launching
global “Number One/Only One” products, expanding collaborative R&D with leading-edge
research institutes, universities, and companies, strengthening our business base in emerging
markets, bolstering the aftermarket business, and launching new businesses.
As a result, for the nine months ended December 31, 2015, the Shimadzu Group posted
consolidated net sales of 241,255 million yen (a year-on-year increase of 11.7%), operating incomeof 22,245 million yen (a year-on-year increase of 50.6%), ordinary income of 22,261 million yen (ayear-on-year increase of 39.1%), and net income attributable to parent company shareholders of
15,270 million yen (a year-on-year increase of 45.5%).
Shimadzu Group sales tend to be concentrated in the second and fourth quarters.
The results for reportable business segments were as follows.
I. Analytical & Measuring Instruments
In Japan, sales of liquid chromatographs, testing machines and gas chromatographs increased
owing to higher private-sector demand in the chemical, pharmaceutical, and steel industries,
along with higher demand among universities and in the public sector.
In North America, sales of liquid chromatographs and mass spectrometers grew in thepharmaceutical and healthcare industry, in particular on a rebound in demand for painmanagement. In Europe, sales rose steadily on demand for liquid chromatographs and gas
chromatographs in the pharmaceutical and chemical industries.
In China, despite a challenging environment in the materials industry, sales grew steadily
overall on higher demand for liquid chromatographs, mass spectrometers, and gas
chromatographs in the public sector as well as higher private-sector demand in thepharmaceutical, contract analysis, and petro- and coal-chemical industries. In Southeast Asia
and India, demand for liquid chromatographs and mass spectrometers grew in the public sector
and among such private-sector industries as pharmaceuticals.
As a result, the Analytical & Measuring Instruments segment posted sales of 148,078 million yen(a year-on-year increase of 13.0%) for the first nine months of the fiscal year.
II. Medical Systems
In Japan, sales of X-ray fluoroscopy systems and general radiography systems were robust amid arebound from the impact of the consumption tax hike in the previous fiscal year.
In North America, sales rose on strong demand for newly launched digital mobile X-ray systems
and X-ray fluoroscopy systems. In Southeast Asia, sales of angiography systems andmulti-purpose X-ray fluoroscopy systems grew sharply.

In Europe, sales declined due to a sluggish market in Eastern Europe. In China, sales wereimpacted by the prolongation of the bidding process and intensified competition.
As a result, the Medical Systems segment posted sales of 44,599 million yen (a year-on-yearincrease of 9.3%) for the first nine months of the fiscal year.
III. Aircraft Equipment
Overseas, sales of passenger aircraft components and replacement parts increased owing to theBoeing Company’s growing aircraft production and successful marketing activities towards
airlines implemented by U.S. subsidiaries. In Japan, sales of aircraft components to Japan’sMinistry of Defense increased.
Overall, the Aircraft Equipment segment posted sales of 19,275 million yen (a year-on-yearincrease of 12.7%) for the first nine months of the fiscal year.
IV. Industrial Machinery
Sales of turbo-molecular pumps grew in Japan and North America, mainly on stronger demand
from semiconductor manufacturing equipment and liquid crystal display manufacturing
equipment. Sales of glass winders grew on large orders in China. Sales of hydraulic equipment
increased on brisk sales for industrial vehicles (forklifts), specially equipped industrial vehicles,
and other applications.
Overall, the Industrial Machinery segment posted sales of 24,791 million yen (a year-on-yearincrease of 9.3%) for the first nine months of the fiscal year.
V. Other
Sales in the Other businesses segment amounted to 4,510 million yen (a year-on-year increase of0.8%) for the first nine months of the fiscal year.
(2) Consolidated Outlook
Regarding the outlook for the full year, although the U.S. economy is expected to continue
expanding at a moderate pace, the economic outlook for China, Europe, Southeast Asia and otherregions has become increasingly clouded. Japan’s moderate economic recovery is expected tocontinue amid the continued improvement of employment conditions and wages.
Amid this business environment, based on our long-term vision "Toward Becoming a True GlobalBusiness," the Shimadzu Group launched a three-year medium-term management plan in April
2014. The basic policy behind the plan is to "Become an Innovative Company Contributing to theGrowth of Customers around the World" and our key objectives are to increase Shimadzu'scorporate value by implementing growth strategies and reforming the profit structure, whilestrengthening our global organization and capabilities necessary to achieve these goals.
Our full-year consolidated earnings outlook is unchanged from the targets announced on
November 6, 2015.

2

2.Other Information(1) Changes in the consolidation status (scope of consolidation) of material subsidiaries during theperiod
Not applicable(2) Use of simplified accounting procedures and/or accounting procedures specific to thepreparation of quarterly consolidated financial statements
Not applicable(3) Changes in Accounting Policy, Changes in Accounting Estimates, and Retrospective
Restatements(Changes in accounting policy)
Effective from the first quarter of the current consolidated fiscal year, “Accounting Standard forBusiness Combinations” (ASBJ Statement No. 21 of September 13, 2013), “Accounting Standardfor Consolidated Financial Statements” (ASBJ Statement No. 22 of September 13, 2013),“Accounting Standard for Business Divestiture” (ASBJ Statement No. 7 of September 13, 2013),
etc. have been applied. As a result, differences caused by change in the Company’s equity in thesubsidiaries with controlling interests shall now be adjusted in additional paid-in capital, andacquisition-related expenses shall now be changed to be reported as expenses incurred during theconsolidated fiscal year in which said acquisition takes place. Furthermore, as to businesscombinations taking place since the beginning of the first quarter of the current fiscal year andonwards, finalization of the provisional accounting treatment of the amount of the acquisition
cost allocation shall now be changed to be reflected in the relevant quarterly consolidated fiscal
period where the date of said business combination actually falls. Additionally, the presentation
has been changed in the net income, etc. and also from minority interests to non-controllinginterests. For the sake of reflecting this change in the said presentation, restatement has been
made in the consolidated financial statements of the third quarter of the previous fiscal year andof the previous full fiscal year.
The implementation of Accounting Standard for Business Combinations and its related standards
is subject to the transitional treatments stipulated in the provisions of Article 58-2 (4) ofAccounting Standard for Business Combinations, Article 44-5 (4) of Accounting Standard forConsolidated Financial Statements, and Article 57-4 (4) of Accounting Standard for Business
Divestiture, and has been and will be under way since the beginning of the first quarter of thecurrent fiscal year and going forward.
There is no impact of this change on the profit and loss statement.

33. Consolidated Financial Statements(1) Consolidated Balance Sheets(In million yen)

AssetsCurrent assets:
Cash and time deposits
Trade notes and accounts receivable
Merchandise and products
Work in process
Raw materials and supplies
Deferred tax assets
OtherAllowance for doubtful receivables
Total current assets
Noncurrent assets:
Property, plant and equipment:
Buildings and structures, net
Machinery, equipment and vehicles, netLand
Leased assets, net
Construction in progress
Other, net
Net property, plant and equipment
Intangible fixed assets
Investments and other assets:
Investment securities
Long-term receivables
Deferred tax assets
OtherAllowance for doubtful receivables
Total investments and other assets
Total noncurrent assets
Total assets

4

As ofDecember 31, 2015

As ofMarch 31, 2015

￥43,200
92,132
43,37021,831
18,5117,576
7,572(1,158)￥233,037￥41,360
103,205
41,535
16,193
17,137
9,492
6,998(1,106)￥234,817￥39,494
6,346
18,667
2,323
344
9,525
￥76,703￥7,374￥38,749
5,344
18,243
2,399
1,558
9,134
￥75,430￥7,29816,072
186
5,164
3,596
(406)
￥24,613￥108,691￥341,728

13,761
177
5,195
3,606(454)￥22,286￥105,015￥339,832

(In million yen)

Liabilities
Current liabilities
Trade notes and accounts payable
Short-term loans
Lease obligations
Accounts payable
Income taxes payableAllowance for employees’ bonuses
Allowance for director’s bonuses
Other
Total current liabilities
Long-term liabilities
Unsecured bonds
Long-term debt
Lease obligations
Liability for directors’ retirement benefits
Liability for retirement benefits
Other
Total long-term liabilities
Total liabilities
Net assets
Shareholders’ capital
Common stock
Additional paid-in capital
Retained earnings
Treasury stock
Total shareholders’ capital
Valuation and translation adjustments
Net unrealized gain on available-for-salesecurities
Foreign currency translation adjustments
Cumulative adjustments to retirement benefits
Total valuation and translation adjustments
Non-controlling interests
Total net assets
Total liabilities and net assets

5

As of
December 31, 2015

As ofMarch 31, 2015

￥51,634
7,468
959
11,385
1,144
3,268
207
18,025￥94,093￥51,596
8,738
897
12,034
5,056
7,268
306
14,737￥100,635￥15,000
985
1,569
173
9,207
713
￥27,649￥121,743￥15,000
930
1,698
187
10,563800￥29,179￥129,815￥26,648
35,188145,129(844)￥206,122￥26,648
35,188134,871(796)￥195,912￥5,761￥5,200

5,753

6,816
1,839
￥13,856￥248￥210,017￥339,832

2,070￥13,585￥276￥219,985￥341,728

(2) Consolidated Statements of Operations & of Comprehensive Income
Consolidated Statements of Operations(In million yen)

Net sales
Cost of sales
Gross profit
Selling, general and administrative expenses
Operating income
Other income:Interest income
Dividend income
Insurance payments received
Foreign exchange profit
Subsidy income
Other
Total other income
Other expenses:
Interest expense
Foreign exchange loss
Other
Total other expenses
Ordinary income
Extraordinary income:Gain on sale of property, plant and equipment
Gain on sales of investment securities
Total extraordinary income
Extraordinary losses:
Loss on disposal of property, plant andequipment
Loss on sales of investment securities
Settlement of contract amendment
Total extraordinary losses
Income before income taxes
Income taxes
Income taxes adjustments
Total income taxes and income taxes adjustments
ProfitProfit attributable to non-controlling interests
Profit attributable to owners of parent

6

Nine months ended
December 31, 2015

Nine months ended
December 31, 2014

￥241,255
140,720￥100,535
78,290￥22,245￥216,073
128,506￥87,566
72,795￥14,770

￥154
195
86
0
426
506
￥1,368

￥135
188
164
1,020
350
545
￥2,404

￥127
304
920
￥1,351￥22,261

￥159
0
1,012
￥1,172￥16,003

￥34
0
￥34

￥31
9
￥41

￥156

￥132

88
0
￥244
￥22,052￥5,157
1,561￥6,719￥15,332￥62￥15,2700915￥1,047￥14,997￥3,425
1,025￥4,451￥10,546￥54￥10,492

Consolidated Statements of Comprehensive Income(In million yen)

ProfitOther Comprehensive income
Unrealized gain on available-for-sale securities
Foreign currency translation adjustments
Retirement benefit adjustments
Total other comprehensive income
Comprehensive income
Comprehensive income attribute to owners of
the parent
Comprehensive income attribute tonon-controlling interests

7

Nine months ended
December 31, 2015

Nine months ended
December 31, 2014￥15,332￥10,546￥561(1,071)230￥(279)￥15,053￥1,301
8,549
215￥10,066￥20,613￥15,000￥20,550￥52￥62

4. Segment Information
Segment information for the nine months ended December 31, 2015(1) Income by Business Segment
From April 1st to December 31th of Fiscal year ended March 31, 2016

(In million yen)

Adjustments

Amounts
reported on
theConsolidated
Statements ofOperations￥241,255￥0￥241,255

1,135(1,135)

0￥5,467￥242,391￥(1,135)￥241,255￥850￥23,459￥(1,214)￥22,245

Reportable segment

Analytical &Measuring
Instruments

MedicalSystems￥148,078￥44,599￥19,27556

660￥148,134￥44,606￥21,549￥(225)

AircraftIndustrial
Equipment Machinery

Total

Other

Total

￥24,791￥236,744￥4,510

55

179

956

￥19,335￥24,847￥236,924￥(163)￥1,448￥22,608

Net Sales(1) Sales to customers(2)Inter-segment
sales
Total Sales
Operating income(loss)

From April 1st to December 31th of Fiscal year ended March 31, 2015

(In million yen)

Adjustments

Amounts
reported on
theConsolidated
Statements ofOperations￥216,073￥0￥216,073

1,122(1,122)0￥5,436￥217,195￥(1,122)￥216,073￥918￥16,444￥(1,673)￥14,770

Reportable segment

Analytical &Measuring
Instruments

MedicalSystems￥131,005￥40,818￥17,097

26

26

47

￥131,032￥40,845￥15,578￥226

AircraftIndustrial
Equipment Machinery

Total

OtherTotal￥22,676￥211,597￥4,476

60

161

960

￥17,144￥22,736￥211,759￥(1,640)￥1,362￥15,525

Net Sales(1) Sales to customers(2)Inter-segment
sales
Total Sales
Operating income(loss)(2) Income by Geographic Segment
From April 1st to December 31th of Fiscal year ended March 31, 2016
Japan
￥109,896

Americas

Europe35,82820,316

China
42,044(In million yen)
Other Asian
countries
24,389

Other
8,780

From April 1st to December 31th of Fiscal year ended March 31, 2015
Japan
￥103,488

Americas

Europe30,067

19,100China
37,043

Total￥241,255(In million yen)
Other Asian
countries
18,261Other8,112

Note. Major countries or regions belonging to segments other than Japan are as follows:
Americas

United States of AmericaEuropeGreat Britain, Germany

ChinaChina

Other Asian countries

India, Southeast Asia, Republic of Korea, Taiwan

Other

Australia, Middle East, Africa
8Total￥216,073