Translation

November 11, 2015

Consolidated Financial Results
for the Six Months Ended September 30, 2015
Company name: CHIYODA CORPORATION
Listing:First Section of the Tokyo Stock Exchange
Stock code:
6366
URL:
http://www.chiyoda-corp.com/
Representative: Shogo Shibuya, President & CEO
Inquiries:
Nobuo Sekita, SL, Accounting Section
TEL: +81-45-225-7745 (from overseas)
Scheduled date to file Quarterly Report: November 13, 2015
Preparation of Quarterly Supplementary Explanation Material: Yes
Quarterly Financial Results Presentation Held: Yes (for Analysts and Institutional Investors)(Millions of yen with fractional amounts discarded,
unless otherwise noted)

1. Consolidated performance for the Six months ended September 30, 2015
(1) Consolidated operating results(Percentages indicate year-on-year changes)
Net income
attributable toOperating income
Ordinary income
owners of
the Parentofof% Millions of yen% Millions% Millions%yenyen

Net sales
Millions ofyen

For the Six months
ended September 30,
282,217 36.2
9,993
1.8
10,663
4.8
5,568 (5.6)
2015
For the Six months
ended September 30,
207,1703.7
9,820 (11.5)
10,175 (18.2)
5,896 (20.4)
2014
Note: Comprehensive Income: the six months ended September 30, 2015: 3,153million yen / (57.9 %)the six months ended September 30, 2014: 7,481million yen / 17.8 %Net income per share

For the Six months
ended September 30,
2015
For the Six months
ended September 30,
2014

Fully diluted net
income per share

YenYen21.50-

22.76-(2) Consolidated financial position
Total assets

Net assets

Equity ratio

Millions of yen

Millions of yen%

As of September 30,
2015

511,141208,175

40.3

As of March 31, 2015

515,839208,405

40.0

Reference: Equity As of September 30, 2015: 206,200million yen

1As of March 31, 2015: 206,395million yen

2. Cash dividends
Cash dividends per share
Record date

First quarter

Second quarter

Third quarter

Fiscal year-end

Yen

Yen

Yen

Yen

Yen---

13.00

13.00

--

14.00

14.00

Fiscal year ended
March 31, 2015
Fiscal year ending
March 31, 2016
Fiscal year ending
March 31, 2016(Forecast)

AnnualNote: Revision to the latest forecast announcement : None

3. Consolidated earnings forecasts for the fiscal year ending March 31, 2016 (fromApril 1, 2015 to March 31, 2016)(Percentages indicate year-on-year changes.)
Net income
attributable toNet income perNet sales
Operating income Ordinary income
shareowners of
the Parent
Millions ofMillions ofMillions ofMillions ofyenyenyenyen%%%%
Yen
Fiscal year ending
March 31, 2016

600,000

24.7

20,000(6.8)

22,000(1.2)

12,0008.8

46.33

Note: Revision to the latest forecast announcement : None

4. Others(1) Changes in Significant Subsidiaries during the Period (changes in specified subsidiaries
accompanying changes in the scope of consolidation): None(2) Adoption of Specified Accounting Methods for the Preparation of Quarterly Consolidated Financial
Statements: None
(3) Changes in Accounting Policies and Accounting Estimates / Restatements
a. Changes in accounting policies due to revisions of accounting standards, etc.: Yes
b. Changes in accounting policies other than a. above: Nonec. Changes in accounting estimates: None
d. Restatements: None
(4) Number of issued shares (common stock)a. Total number of issued shares at the end of the period (including treasury stock)
As of September 30, 2015
260,324,529 shares
As of March 31, 2015
260,324,529 sharesb. Number of treasury stock at the end of the period
As of September 30, 2015
1,333,947 shares
As of March 31, 2015
1,323,232 sharesc. Average number of shares during the period
For the Six months ended September 30, 2015
258,995,554 shares
For the Six months ended September 30, 2014
259,010,528 shares*Presentation of Implementation Status of Quarterly Review Procedure
The review procedure of quarterly financial statements based on the Financial Instruments and Exchange Law
has not been completed at the time of the disclosure of these Consolidated Financial Statements.
*Proper use of earnings forecasts, and other special directions
The forward-looking statements, including earnings forecasts, contained in these materials are based on
information currently available to the Company and on certain assumptions deemed to be reasonable. Actual
business and other results may differ substantially due to a number of factors.

25.
Qualitative Information related to Consolidated Performance
Qualitative Information on Business Performance
During the first six months of this fiscal year, the global economic environment surrounding theChiyoda Group has remained uncertain, mainly due to the economic slowdown in the emerging
countries including China, lower oil prices, Iranian reentry into the oil market, geopolitical risk
especially in the Middle East by Syrian Civil War and Islamic State’s Rise and the destabilization ofEurope by the influx of Syrian refugees, while the US economy has been relatively stable.
Notwithstanding the positive outlook for long-term future global energy demand, short-term
investment decision making in numerous oil and gas-related facilities is becoming unpredictable.
The recovery in the Japanese economy has been only moderate as demand has not fully recovered,despite the government’s easing of fiscal and monetary policies and the depreciation of the Yen inglobal financial markets as well as the positive effects from lower oil prices and the higher stock
market situation.
Under such circumstances, the Group has continued to strengthen its core business in theconventional fields of oil and gas, according to the strategies defined in its Medium-Term
Management Plan, which has entered the latter half of the 4-year term. In parallel, the Group has
been set for expansion in new business fields including offshore and upstream business. Thebusiness is developing the ability to implement an Engineering, Procurement, Construction andInstallation (EPCI) business, new and renewable energy, such as the Hydrogen Supply Chain
utilizing its own technologies, and solar power generation utilizing photovoltaic and concentrating
solar power technology.
The ongoing projects including LNG plants in Australia, the USA and Russia, refinery plants inVietnam, Qatar and Venezuela, a Floating Production Unit (FPU) in Indonesia, a Titanium Spongeplant in Saudi Arabia, airport projects in Mongolia and the Philippines, and LNG receiving terminals
and photovoltaic power generation systems in Japan have all progressed properly.
Consequently, consolidated new contracts for the period amounted to 202,432 million yen (65.5%decrease compared to the same period of the previous fiscal year). The backlog and revenue were1,326,692 million yen (6.4% decrease from the end of the previous fiscal year), and 282,217 million
yen (36.2% increase year on year) respectively. The operating income amounted to 9,993 millionyen (1.8% increase), ordinary income to 10,663 million yen (4.8% increase), and profit attributable toowners of parent resulted in 5,568 million yen (5.6% decrease).
Highlights in this period for each segment are summarized below:
LNG Plants/Other Gas Related Works
The Group was awarded an Engineering, Procurement and Construction (EPC) contract for an LNG
plant in the USA and selected as an EPC contractor for an LNG plant in Mozambique. The EPC
execution of LNG plants in Australia, the USA and Russia progressed as planned and Front EndEngineering and Design (FEED) works for an LNG plant in Mozambique, Canada and USA and a
Floating LNG (FLNG) facility in Indonesia were also in progress. The Group Company in Qatar has
been carrying out the Engineering, Procurement and Construction management (EPCm) works forthe maintenance and modification of the existing LNG and gas processing plants built mainly by theGroup. In Japan, several EPC works on LNG receiving terminals and the expansion/modification
works of existing plants were going on.
LNG plants and other gas-related works constitute its core business. In that regard, the Group will
pursue any such project whether onshore/offshore, overseas/domestic or conventional/unconventional.
Petroleum/Petrochemicals/Metal
An Engineering, Procurement, Construction and Commissioning (EPCC) work for Residue Fluid
Catalytic Cracking (RFCC) in Malaysia, EPC works for a refinery and petrochemical complex inVietnam and a refinery project in Qatar and an Engineering, Procurement support and Construction
management (EPsCm) work for heavy crude oil upgrading facilities in Venezuela were going on.
Additionally, the Group Company in Singapore was performing project management under theEnterprise Framework Agreement for downstream projects within Asia. For metals fields, the Group3

has started an EPC work for Titanium Sponge Plant in Saudi Arabia, and continued to explore newbusiness opportunities.
In Japan, the Group continued to perform the EPC works for modification to fortify the existing
facilities in the case of a possible catastrophic event, petrochemical plant and construction aimed atenergy saving in the facilities.
General Chemicals/Industries/Environment
The Group was moving forward with the EPC execution for a new international airport in Mongolia
and a new Bohol airport in the Philippines, while preparing bids for further airport and/or railway
projects.
Meanwhile, the Group is also responding to the overseas expansion in Japanese clients’businesses in non-hydrocarbon fields. In Japan, the Group has won a number of EPC works forlarge-scale photovoltaic power generation systems. The Group is executing and expanding oursales activities by enhancing our group operations in this field. In the pharmaceutical industry, theGroup has been carrying out EPC works for manufacturing facilities of active pharmaceuticalingredients, vaccine and bio-medicine plants.
New Business Fields
The Group has been starting the establishment of new company named EMAS CHIYODA Subseawith Ezra Holdings Limited, to enter EPCI works for offshore and upstream field. In parallel, theGroup’s strategic alliance partner Xodus Group, has been providing integrated services in theoffshore and upstream field especially for Japanese customers. The Group hereby provides a value
chain for resource development on offshore and upstream for all the phases from design to EPCI,
including operation and maintenance.
As for new energy fields, the Group has developed its own technology for transporting anddelivering a large volume of hydrogen. The Group is actively collaborating with various parties inorder to achieve hydrogen-based society. Furthermore, the Group has successfully completed
operating a demonstration plant in Italy for the Concentrating Solar Power (CSP) system. The
Group is making efforts to develop business opportunities of CSP for commercialization.
Moreover, the Group is gearing up for the growing market for the life science field symbolized by iPS
cells and regenerative medicine, applying our pharmaceutical and medical expertise. As a result,the Group was awarded an EPC work for regenerative medicine related facilities in this field.
Note: See Page 10 for more information on New Contracts, Net Sales and Backlog of Contracts bysegment.

46.

Consolidated quarterly financial statements(1) Consolidated quarterly balance sheets(Millions of yen)

As of March 31,2015 As of September 30,2015

AssetsCurrent assets
Cash and deposits
Notes receivable, accounts receivable fromcompleted construction contracts
Securities
Costs on uncompleted construction contracts
Jointly controlled assets of joint venture
OtherAllowance for doubtful accounts
Total current assets
Non-current assets
Property, plant and equipment
Buildings and structures, net
Land
Other, net
Total property, plant and equipment
Intangible assets
Goodwill
Other
Total intangible assets
Investments and other assets
Investment securities
Other
Allowance for doubtful accounts
Total investments and other assets
Total non-current assets
Total assets

531,81565,506

53,84065,967

81,49959,668
182,855
34,955(56)444,578

76,19950,119
162,787
29,468(55)449,994

7,742
5,266
1,817
14,826

7,497
5,266
1,689
14,452

12,0347,450
19,484

11,5797,279
18,85931,3285,853(231)
36,95071,261
515,839

23,5384,530(232)
27,835
61,147511,141(Millions of yen)

As of March 31,201５ As of September 30,201５

Liabilities
Current liabilities
Notes payable, accounts payable forconstruction contracts
Short-term loans payable
Current portion of long-term loans payable
Income taxes payable
Advances received on uncompleted
construction contracts
Provision for warranties for completed
construction
Provision for loss on construction contracts
Provision for bonuses
Other
Total current liabilities
Non-current liabilities
Long-term loans payable
Provision
Net defined benefit liability
Other
Total non-current liabilities
Total liabilities
Net assets
Shareholders' equity
Capital stock
Capital surplus
Retained earnings
Treasury shares
Total shareholders' equity
Accumulated other comprehensive income
Valuation difference on available-for-salesecurities
Deferred gains or losses on hedges
Foreign currency translation adjustment
Remeasurements of defined benefit plans
Total accumulated other comprehensive
incomeNon-controlling interests
Total net assets
Total liabilities and net assets

6137,652

139,088

991
4
1,366

339
7967

123,869

125,867

364

280

3,988
3,905
22,197294,339

3,055
3,251
17,449290,307

10,015
339
1,070
1,667
13,093
307,433

10,010
339
1,006
1,302
12,659302,966

43,396
37,112
115,831(1,405)
194,934

43,396
37,112
118,032(1,416)
197,124

7,218

3,511

(2,064)
5,229
1,076

(1,651)
6,208
1,007

11,460

9,075

2,010
208,405
515,8391,974
208,175
511,141

(2) Consolidated quarterly statements of (comprehensive) income(Millions of yen)

Net sales of completed construction contracts
Cost of sales of completed construction contracts
Gross profit on completed construction contracts
Selling, general and administrative expenses
Operating income
Non-operating income
Interest income
Dividend income
Foreign exchange gains
Other
Total non-operating income
Non-operating expenses
Interest expenses
Share of loss of entities accounted for using equity
methodForeign exchange losses
Other
Total non-operating expenses
Ordinary income
Extraordinary income
Gain on sales of investment securities
Total extraordinary income
Income before income taxes and minority interests
Income taxes - current
Income taxes - deferred
Total income taxes
ProfitProfit attributable to non-controlling interests
Profit attributable to owners of parent

7

Six months ended
September 30, 2014

Six months ended
September 30, 2015

207,170
185,919
21,25011,4309,820

282,217
260,41421,802
11,808
9,993

613
627
－
85
1,326

783
766
62
139
1,751

129

114

127

920

657
58
971
10,175－46
1,081
10,663－－
10,175
2,131
2,027
4,158
6,016
120
5,896

2,112
2,112
12,775
5,808
1,396
7,204
5,571
3
5,568

Consolidated quarterly statements of comprehensive income(Millions of yen)

ProfitOther comprehensive income
Valuation difference on available-for-sale securities
Deferred gains or losses on hedges
Foreign currency translation adjustment
Remeasurements of defined benefit plans, net of tax
Share of other comprehensive income of entities
accounted for using equity method
Total other comprehensive income
Comprehensive income
Comprehensive income attributable toComprehensive income attributable to owners of parent
Comprehensive income attributable to non-controllinginterests

8

Six months ended
September 30, 2014
6,016

Six months ended
September 30, 2015
5,571

2,030(405)
(343)
182
0(3,706)
412
988
(69)
(43)

1,464
7,481

(2,418)
3,153

7,345
136

3,183
(30)

(3) Consolidated quarterly statements of cash flows(Millions of yen)Six months ended
Six months ended
September 30, 2014 September 30, 2015

Cash flows from operating activities
Income before income taxes and minority interests
Depreciation
Amortization of goodwill
Interest and dividend income
Share of (profit) loss of entities accounted for using equity
methodLoss (gain) on sales of investment securities
Decrease (increase) in notes and accounts receivable tradeDecrease (increase) in costs on uncompleted
construction contracts
Increase (decrease) in notes and accounts payable trade
Increase (decrease) in advances received on
uncompleted construction contracts
Decrease (increase) in jointly controlled asset of joint
ventureOther, net
SubtotalInterest and dividend income received
Interest expenses paid
Income taxes (paid) refund
Net cash provided by (used in) operating activities
Cash flows from investing activities
Net decrease (increase) in time deposits
Purchase of property, plant and equipment
Purchase of intangible assets
Proceeds from sales of investment securities
Payments of loans receivableCollection of loans receivable
Other, net
Net cash provided by (used in) investing activities
Cash flows from financing activities
Net increase (decrease) in short-term loans payable
Cash dividends paid
Other, net
Net cash provided by (used in) financing activities
Effect of exchange rate change on cash and cashequivalents
Net increase (decrease) in cash and cash equivalents
Cash and cash equivalents at beginning of period
Cash and cash equivalents at end of period

910,175
1,679663(1,241)

12,775
1,818
761(1,549)

127

920

－

(2,112)

10,241(12,062)(6,247)

9,627(18,205)

1,407

29,2891,895(44,314)

20,295(5,081)(22,913)
1,995
(119)
(5,788)(26,826)(6,824)
26,955
1,103
(116)
1,657
29,600－(1,123)(1,531)
－
(683)
71
(15)
(3,281)

(650)
(612)
(750)
4,215
(367)
235
(6)
2,063

(71)
(4,136)(70)(4,277)(679)(3,359)(45)(4,084)

(102)

164

(34,488)
145,303110,815

27,744113,246
140,991

7.

Production, Contracts and Sales
Millions of yen
Apr. 1, 2014 —Sept. 30, 2014

Reporting segments

Apr. 1, 2015 —Sept. 30, 2015

New
contracts(ratio)Net sales(ratio)Backlog ofcontracts(ratio)Newcontracts(ratio)Net sales(ratio)Backlog ofcontracts(ratio)Engineering

585,11499.6%

204,88698.9%

1,451,710
100.0%

200,486
99.0%

280,149
99.3%

1,326,692
100.0%LNG Plant

497,553
84.7%

105,62451.0%

1,138,828
78.4%

140,638
69.5%

157,41655.8%

1,083,402
81.6%

Gas Development/
Processing/Receiving
Refinery/Petrochemical/
Metal
Pharmaceutical/Biochemistry/
ChemicalEnvironment/New Energy/
Infrastructure

22,664

10,904

34,058

4,005

11,556

23,463

3.8%

5.3%

2.4%

2.0%

4.1%

1.8%

32,367

49,106

195,976

30,98375,297

135,582

5.5%

23.7%

13.5%

15.3%

26.7%

10.2%

14,603
2.5%

17,2708.3%

24,625
1.7%

13,0706.4%

15,0705.3%

28,735
2.2%

15,695
2.7%

20,833
10.1%

55,618
3.8%

8,557
4.2%

19,216
6.8%

51,974
3.9%

2,230

1,147

2,602

3,230

1,591

3,533

OthersOther Business
Total
Domestic
Overseas

0.4%

0.5%

0.2%

1.6%

0.6%

2,455

2,283

480

1,946

2,067

0.3%
－

0.4%

1.1%

0.0%

1.0%

0.7%

－

587,570
100.0%

207,170
100.0%

1,452,190
100.0%

202,432
100.0%

282,217100.0%

1,326,692
100.0%

50,11056,61596,381

43,86749,757

93,966

8.5%

27.3%

6.6%

21.7%

17.6%

7.1%

537,45991.5%

150,555
72.7%

1,355,808
93.4%

158,56578.3%

232,460
82.4%

1,232,725
92.9%

Note1: The backlog of contracts for the six months ended September 30, 2015 includes a decrease due tochanges in construction contracts acquired in prior fiscal years, an increase due to adjustments in newcontract amounts, and an increase due to foreign exchange translation adjustments.
Note2: The total amount of the above table does not include consumption tax.
Note3: The classification of the segments within the engineering business was restructured, starting from thisfiscal Year. Therefore this second quarter’s and previous second quarter’s accumulated consolidated
financial results are disclosed under the new classification. There is no change in the handling of thereporting segments.

10