Makita Corporation
Consolidated Financial Results
for the three months
ended June 30, 2018
(IFRS Financial Information)(English translation of "KESSAN TANSHIN"
originally issued in Japanese)

CONSOLIDATED FINANCIAL RESULTS
FOR THE THREE MONTHS ENDED JUNE 30, 2018 (Unaudited)
July 31, 2018

Makita Corporation
Stock code: 6586
URL: https://www.makita.co.jp/
Munetoshi Goto, President, Representative Director

1. Summary operating results of the three months ended June 30, 2018 (From April 1, 2018 to June 30, 2018)(1) CONSOLIDATED OPERATING RESULTS
Yen (millions)
For the three months ended
For the three months ended
June 30, 2017
June 30, 2018(%)(%)
Revenue ................................................................
113,064
122,638
8.5
Operating profit ....................................................
18,08421,02916.3
Profit before income taxes ....................................
18,751
22,285
18.8
Profit ........................................................................
13,17915,68419.0
Profit attributable to owners of the parent….
13,037
15,55019.3
Comprehensive income ........................................
21,922
6,897(68.5)
Yen
Profit attributable to
Owners of the parent per share(Basic)..................................................................
48.03
57.28
(Diluted) ..............................................................
48.02
57.28
Notes:
1.
Amounts of less than one million yen have been rounded.
2.
The table above shows the changes in the percentage ratio of revenue, operating profit, profit before income taxes and profit
attributable to owners of the parent, and comprehensive income against the corresponding period of the previous year.

(2) SELECTED CONSOLIDATED FINANCIAL POSITION

Total assets ............................................................
Total equity ...........................................................
Equity attributable to owners of the parent ...........
Total Makita Corporation shareholders' equity
ratio to total assets (%) .........................................

Yen (millions)
As of March 31, 2018
As of June 30, 2018
654,841
635,615
558,439551,501
547,024
554,046
84.6%

86.1%

2. Dividend Information
Yen
For the year ended
March 31, 2018

For the year ending
March 31, 2019
(Forecast)

Cash dividend per share:
Interim .................................................................
10.00
10.00
Year-end ..............................................................
51.00(Note)
Total ....................................................................
61.00(Note)
Notes:
1. The forecast for cash dividend announced on April 26, 2018 has not been revised.
2. The projected amount of dividends for the year ending March 31, 2019 has not been determined yet. For further
details, refer to “Explanation regarding proper use of business forecast, and other significant matters” on page 2.

English translation of "KESSAN TANSHIN" originally issued in Japanese

13. Consolidated Financial Performance Forecast for the year ending March 31, 2019 (From April 1, 2018 toMarch 31, 2019)
Yen (millions)
For the year ending
March 31, 2019(%)
Revenue ...................................................................
490,000
2.7
Operating profit .......................................................
78,500(2.2)
Profit before income taxes .......................................
78,700(1.5)
Profit attributable to owners of the parent ...............
54,800(0.3)
YenProfit attributable to
Owners of the parent per share ................................
201.87
Notes:
1. The consolidated financial forecast for the year ending March 31, 2019 has not been revised.
2. The table above shows the changes in the percentage ratio of revenue, operating profit, profit before income
taxes and profit attributable to owners of the parent against the previous year.
4. Other(1) Changes in important subsidiaries during the period (Changes in specified subsidiaries accompanied by changes inscope of consolidation during the quarter): None
(2) Changes in accounting policies and accounting estimates:
1. Changes in accounting policies required by IFRS: None
2. Changes in accounting policies other than 1.: None
3. Changes in accounting estimate: None
(3) Number of shares outstanding (common stock)
1. Number of shares issued (including treasury stock):
2. Number of treasury stock:
3. Average number of shares outstanding:

As of June 30, 2018:
As of March 31, 2018:
As of June 30, 2018:
As of March 31, 2018:
For the three months ended
June 30, 2018:
For the three months ended
June 30, 2017:

280,017,520
280,017,520
8,549,648
8,549,592
271,467,893
271,460,148

This consolidated financial report is not subject to audit procedures by certified public accountants or an auditing firm.
Explanation regarding proper use of business forecasts, and other significant matters
1.

Makita has adopted International Financial Reporting Standards (IFRS) in its consolidated financial statements from theyear ending March 31, 2019. Furthermore, the Company has presented financial figures for the three-month period ended
June 30, 2017 and the year ended March 31, 2018 in accordance with IFRS.

2.

The financial forecast given above is based on information as available at the present time, and includes potential
risks and uncertainties. As a consequence of the factors above and other, actual results may vary from the forecasts
provided above. Regarding the assumptions for the forecasts and other matters, refer to [Qualitative Information and

Financial Performance Statements] Section 3 “Explanation of Information Relevant to Forecast such as Consolidated
Financial Performance Forecast” on page 3.
3. Makita's basic policy on the distribution of profits is to maintain a consolidated dividend payout ratio of 30% or greater,
with a lower limit on annual cash dividends of 10 yen per share. However, in the event special circumstances arise,computation of the amount of dividends will be based on profit attributable to owners of the parent after certain
adjustments.
The Board of Directors plans to meet in April 2019 for a report on earnings for the year ending March 31, 2019. At thetime, in accordance with the basic policy regarding profit distribution mentioned above, the Board of Directors plans topropose a dividend equivalent to at least 30% of net income attributable to Makita Corporation. The Board of Directors
will submit this proposal to the General Meeting of Shareholders scheduled for June 2019.
The consolidated dividend payout ratio is calculated as annual dividends per share divided by consolidated profit
attributable to owners of the parent per share (after adjustments for special circumstances) and multiplied by 100.
English translation of "KESSAN TANSHIN" originally issued in Japanese

2[Qualitative Information and Financial Statements]
1.

Explanation of Consolidated Operating Results
We have adopted International Financial Reporting Standards (hereinafter “IFRS”) instead of accounting principles
generally accepted in the United States of America (hereinafter “U.S. GAAP”) from the beginning of the fiscal year
ending March 31, 2018. In addition, financial figures for the three months ended June 30, 2017 and the year ended
March 31, 2017, which were prepared in accordance with U.S.GAAP in the reporting of those previous periods, are also
reclassified in accordance with IFRS and used in the comparative analysis.
Looking at the global economic situation during the first three-month (the “period”) ended June 30, 2018, theeconomy gradually expanded, supported by a strong employment and income situation and robust business performancein developed countries, principally the U.S., although there were rising uncertainties, such as a decline inemerging-market currencies caused by a rise in U.S. interest rates, the escalation of a trade dispute between the U.S. andChina, and growing political tension among EU members over the refugee and immigration issue.
Our consolidated revenue for this period increased by 8.5% to 122,638 million yen compared to the same period of
the previous year due to robust sales at home and abroad. Operating profit increased by 16.3% to 21,029 million yen(operating profit ratio: 17.1%) owing to an improvement in the cost-of-sales ratio due to the impact of the exchange rate.
Profit before income taxes increased by 18.8% to 22,285 million yen (profit before income taxes ratio: 18.2%) andprofit attributable to owners of the parent increased by 19.3% to 15,550 million yen (ratio of profit attributable toowners of the parent: 12.7%).
Revenue results by region were as follows:
Revenue in Japan increased by 10.0% to 21,475 million yen compared to the same period of the previous year. Thiswas due to the continuation of steady sales of power tools and gardening equipment, particularly lithium-ion battery
products.
Revenue in Europe increased by 14.1% to 55,172 million yen, supported by solid demand for power tools in almost
all areas and steady sales of gardening equipment, mainly rechargeable products.
Revenue in North America increased by 1.3% to 17,165 million yen due to solid sales through other sales routes andin Canada, despite poor shipments to home improvement centers in the U.S.
Revenue in Asia decreased by 6.7% to 10,163 million yen. This was due to sluggish sales in Vietnam, despite steadysales in China.
Revenue in Central and South America increased by 3.7% to 6,701 million yen, due to robust sales in almost all
countries amid concerns over negative impacts from the depreciation of each country’s currency.
Revenue in Oceania increased by 8.3% to 7,921 million yen, supported by continued steady sales, mainly driven bylithium-ion battery products.
Revenue in the Middle East and Africa increased by 12.2% to 4,041 million yen. This was because of large
shipments to local distributors, despite poor sales amid political and economic turmoil in the Middle East.

2. Explanation of Consolidated Financial Position
Total assets as of June 30, 2018 decreased by 19,226 million yen to 635,615 million yen compared to the balance asof March 31, 2018. The decrease was mainly due to the decrease in “Cash and cash equivalents” and “Other financial
assets”.
Total liabilities decreased by 12,288 million yen to 84,114 million yen compared to the balance as of March 31,
2018. This decrease was mainly due to the decrease in “Income taxes payable”.
Total equity decreased by 6,938 million yen to 551,501 million yen compared to the balance as of March 31, 2018.
The decrease was mainly due to the inclusion of changes in foreign currency translation adjustment in other componentsof equity.

3. Explanation of Information Relevant to Forecast such as Consolidated Financial Performance Forecast
Makita has not revised the forecast of its consolidated financial performance for the year ending March 31, 2019
announced on April 26, 2018.
English translation of "KESSAN TANSHIN" originally issued in Japanese34. Condensed Consolidated Financial Statements (Unaudited)(1) Condensed Consolidated Balance Sheets
As of April 1, 2017
Composition ratio

Yen (millions)
As of March 31, 2018

As of June 30, 2018

Composition ratio

Composition ratio

ASSETS
CURRENT ASSETS:
Cash and cash equivalents..............................

142,181

147,320

140,512Trade receivables and other receivables .........

67,262

78,98873,798Inventories .....................................................

167,523

196,454

201,092

Other financial assets .....................................

50,11248,03735,631

Prepaid expenses and other current assets......

6,682

8,663

10,421

Total current assets .....................................

433,760

72.3%

479,46273.2%

461,454

72.6%

NON-CURRENT ASSETS:
Property, plant and equipment, at cost ...........

95,488100,813103,895

Goodwill and intangible assets.......................

6,637

6,991

7,090

Other financial assets .....................................

43,33945,121

41,532

Net defined benefit asset ................................

8,382

9,729

9,671

Deferred income taxes ...................................

9,169

10,049

9,329

Other non-current assets.................................

2,778

2,676

2,644

Total non-current assets ..............................

165,79327.7%

175,37926.8%

174,161

27.4%

Total assets ............................................................

599,553

100.0%

654,841100.0%

635,615100.0%English translation of "KESSAN TANSHIN" originally issued in Japanese4As of April 1, 2017
Composition ratio

Yen (millions)
As of March 31, 2018

As of June 30, 2018

Composition ratio

Composition ratio

LIABILITIES AND EQUITY
LIABILITIESCURRENT LIABILITIES:
Trade payables and other payables.................

33,46035,02432,054

Borrowings.....................................................

6,564

3,361

2,546

Other financial liabilities ................................

284

429

158

Income taxes payable .....................................

7,264

10,071

4,744

Provisions.......................................................

3,412

2,928

3,016

Other liabilities ...............................................

24,89929,29427,317

Total current liabilities ................................

75,883

12.7%

81,107

12.4%

69,835

11.0%

NON-CURRENT LIABILITIES:
Retirement benefit liabilities .............................

3,161

3,206

3,142

Other financial liabilities ................................

18

133

125

Provisions.......................................................

1,440

1,352

1,262

Deferred income taxes ...................................

10,738

10,388

9,537

Other non-current liabilities ...........................

234

216

213

Total non-current liabilities .........................

15,591

2.6%

15,295

2.3%

14,2792.2%

Total liabilities ......................................................

91,47415.3%

96,402

14.7%

84,114

13.2%

EQUITY
Common stock ...............................................

23,80523,80523,805Additional paid-in capital...............................

45,50145,53145,541Retained earnings ...........................................

427,999469,232

471,225

Treasury stock, at cost ....................................

(11,623)(11,617)(11,617)

Other components of equity ...........................

18,55727,095

18,070Total equity attributable to owners of theparent .............................................................

504,23984.1%

554,04684.6%

547,024

86.1%

NON-CONTROLLING INTEREST ....................

3,840

0.6%

4,393

0.7%

4,477

0.7%

Total equity ...........................................................

508,07984.7%

558,43985.3%

551,501

86.8%

Total liabilities and equity.....................................

599,553

100.0%

654,841100.0%

635,615100.0%English translation of "KESSAN TANSHIN" originally issued in Japanese5(2) Condensed Consolidated Statements of Income and Consolidated Statements of Comprehensive Income
Condensed Consolidated Statements of Income
Yen (millions)
For the three months
For the three months
ended June 30, 2017
ended June 30, 2018
Composition ratio

Composition ratio

Revenue ...................................................................................

113,064 100.0%

122,638 100.0%

Cost of sales .............................................................................

(72,226) (63.9%)(76,736) (62.6%)

Gross profit ..............................................................................

40,83845,902

Selling, general, administrative and others, net .......................

(22,754) (20.1%)(24,873) (20.3%)

Operating profit .......................................................................

18,08421,029Financial income......................................................................

994

1,272

Financial expenses ...................................................................

(327)

(16)

Profit before income taxes .......................................................

18,751

Income tax expenses ................................................................

(5,572)

Profit ........................................................................................

13,17911.7%

15,68412.8%

Owners of the parent................................................................

13,037

11.6%

15,55012.7%

Non-controlling interests .........................................................

142

0.1%

134

0.1%

36.1%
16.0%

16.6%

37.4%
17.1%

22,28518.2%(6,601)

Profit attributable to:Condensed Consolidated Statements of Comprehensive Income
Yen (millions)
For the three months
For the three months
ended June 30, 2017
ended June 30, 201813,17915,684Equity financial goods measured at fair value through othercomprehensive loss ..................................................................

(399)(2,053)

Total of items that will not be reclassified to loss ........................

(399)(2,053)

Exchange differences on translating foreign operations ..........

9,142(6,734)

Total of items that may be reclassified to profit (loss) .................

9,142(6,734)

Total other comprehensive income (loss), net of tax ...................

8,743(8,787)COMPREHENSIVE INCOME ...................................................

21,922

6,897

Owners of the parent ................................................................

21,566

6,813

Non-controlling interests .........................................................

356

84

PROFIT .......................................................................................
OTHER COMPREHENSIVE INCOME (LOSS), NET OF TAX

Items that will not be reclassified to loss

Items that may be reclassified to profit or loss

Comprehensive income attributable to:English translation of "KESSAN TANSHIN" originally issued in Japanese6(3) Condensed Consolidated Statement of Changes in Equity
Yen (millions)
For the three months ended June 30, 2017
Equity attributable to owners of the parent

Balance at April 1, 2017

Commonstock

Additional
paid-in
capital23,80545,501Retainedearnings

Profit for the period

Other
componentsof equity

Treasurystock

427,999(11,623)

Total

-

-

Comprehensive income
Dividends paid

13,037-3,840

508,079

13,037142

13,179

8,529

8,529

214

8,743

8,529

21,566356

21,922(11,130)

Purchase of treasury stock(11,130)(11,130)

(3)

(3)

12

12

(3)

Share-based paymenttransaction

12

Total amounts of transactions
with owners

Total
equity504,239

13,037

Other comprehensive income

Balance at June 30, 201718,557

NonControllinginterest-

12(11,130)(3)-(11,121)-(11,121)23,80545,513429,906(11,626)

27,086514,684

4,196

518,880

Yen (millions)
For the three months ended June 30, 2018
Equity attributable to owners of the parent

Balance at April 1, 2018

Commonstock

Additional
paid-in
capital23,80545,531Retainedearnings

Profit for the period

Other
componentsof equity

Treasurystock

469,232(11,617)--

Dividends paid

15,550

Disposal of treasury stock0

Share-based paymenttransaction

10

Transfer from othercomponents of equity toretained earnings

Balance at June 30, 2018

4,393

558,439

15,550134

15,684(8,737)(8,737)(50)(8,787)(8,737)

6,813

84

6,897

(13,845)

Purchase of treasury stock

Total amounts of transactions
with owners

-

Total
equity554,046

15,550

Other comprehensive income
Comprehensive income

27,095

NonControllinginterest

Total(13,845)(13,845)

(0)

(0)

(0)

0

0

0

10

10

288

(288)

-

10

(13,557)

(0)

(288)

(13,835)-(13,835)

23,80545,541

471,225(11,617)

18,070547,024

4,477

551,501

English translation of "KESSAN TANSHIN" originally issued in Japanese7(4) Condensed Consolidated Statements of Cash Flows
Yen (millions)
For the three months
For the three months
ended June 30, 2018
ended June 30, 2017
CASH FLOWS FROM OPERATING ACTIVITIES:Profit……………………………………………………………

13,17915,684

Depreciation and amortization .............................................................

2,531

2,769

Income tax expenses ............................................................................

5,572

6,601

Financial income and expenses............................................................

(667)(1,257)

Loss (gain) on sales and retirement of property, plant and equipment

26

(19)

Decrease (increase) in trade receivables and other receivables ...........

(1,593)

4,364

Increase in inventories .........................................................................

(5,882)(8,199)Decrease in trade payables and other payables ....................................

(1,418)(5,416)

Increase in retirement benefit assets and liabilities ..............................

15

44

Other ....................................................................................................

(400)(2,804)

Subtotal ..........................................................................................

11,363

11,767

Dividends received ..............................................................................

231

346

Interest received ...................................................................................

650

573

Interest paid .........................................................................................

(23)

(16)

Income taxes paid ................................................................................

(8,953)(10,777)

Cash flows from operating activities .............................................

3,268

1,893

Purchase of non-current assets .............................................................

(3,927)(7,171)

Proceeds from sales of non-current assets ...........................................

24

346

Purchase of investments ......................................................................

(741)(10,265)

Proceeds from sales and redemption of investments ..............................

911

896

CASH FLOWS FROM INVESTING ACTIVITIES:Payments into time deposits ................................................................

(7,910)(3,026)

Proceeds from withdrawal of time deposits .........................................

7,712

24,294

Other ....................................................................................................

34

(264)

Cash flows from investing activities ..............................................

(3,897)

4,810

378

(774)

CASH FLOWS FROM FINANCING ACTIVITIES:Net increase (decrease) in short-term borrowings .............................
Purchase and sales of treasury stock, net .............................................

(2)

(0)

Cash dividends paid .............................................................................

(11,130)(13,845)

Other ....................................................................................................

785

920

Cash flows from financing activities .............................................

(9,969)(13,699)

EFFECT OF EXCHANGE RATE CHANGES ON CASH AND
CASH EQUIVALENTS ......................................................................

1,592

188

NET CHANGE IN CASH AND CASH EQUIVALENTS .................

(9,006)(6,808)

CASH AND CASH EQUIVALENTS, BEGINNING OF PERIOD ...

142,181

147,320

CASH AND CASH EQUIVALENTS, END OF PERIOD .................

133,175

140,512English translation of "KESSAN TANSHIN" originally issued in Japanese8(5) Notes to Consolidated Financial Statements
Notes on the assumptions for a going concern: None
Condensed Operating Segment Information
Yen (millions)
For the three months ended June 30, 2017
North
Asia
Total
Other
America

Eliminations

Consolidated

15,57570(98,409)

113,064-

195,828

15,645(98,409)

113,064

18,5391,004(1,459)18,084

Yen (millions)
For the three months ended June 30, 2018
North
Asia
Total
Other
America

Eliminations

Consolidated

Japan

EuropeInter-segment ............

25,37947,34648,425
1,166

17,4501,154

6,235
48,673

97,48998,339Total ................

72,72549,591

18,60454,908Operating profit ............

8,451

4,124

633

5,331

Revenue:
Externalcustomers ..................

Japan

EuropeInter-segment ............

26,84946,43955,331
1,241

17,732
1,020

6,906
50,653

106,818
99,353

15,820187(99,540)

122,638-

Total ................

73,28856,572

18,75257,559206,171

16,007(99,540)

122,638

Operating profit ............

6,414

6,002

547

5,530

18,493

1,126

1,410

21,029

Revenue:
Externalcustomers ..................

English translation of "KESSAN TANSHIN" originally issued in Japanese9First-time Adoption of IFRSThe Makita Group has disclosed quarterly consolidated financial statements prepared in accordance with IFRS fromthe three-month period ended June 30, 2018. The Group prepared the latest consolidated financial statements preparedin accordance with accounting principles generally accepted in the United States of America (“US GAAP”) for the year
ended March 31, 2018. The IFRS transition date is April 1, 2017.
(1) Exemptions of Retrospective Adoption of IFRS 1IFRS 1 “First-time Adoption of International Financial Reporting Standards” (“IFRS 1”) requires an entity that
adopts IFRS for the first time to prepare a complete set of financial statements based on IFRS retrospectively to priorperiods. However, IFRS 1 provides mandatory exceptions and voluntary exemptions from full retrospective application.
The effects of applying these provisions are adjusted in retained earnings or other components of equity on thetransition date.
The main exemptions adopted by the Company are as follows:・Business combinations
IFRS 1 allows an entity not to apply IFRS 3 “Business Combinations” (“IFRS 3”) retrospectively to businesscombinations that occurred prior to the transition date.
The Makita Group chose not to apply IFRS 3 retrospectively to business combinations that occurred prior to thetransition date. Consequently, the Group recognized goodwill arisen from business combinations that occurred prior to
the transition date at book value based on US GAAP. Makita performed impairment tests on the goodwill at thetransition date regardless of whether there was any indication that the goodwill may be impaired.
・Exchange differences on translating foreign operations
IFRS 1 allows an entity to choose to deem the cumulative amount of the exchange differences on translating foreign
operations to be zero as of the transition date. The Makita Group deemed the cumulative amount of the exchange
differences on translating foreign operations to be zero on the transition date.
・Designation of financial instruments recognized prior to the IFRS transition date
IFRS 1 allows an entity to designate financial instruments valued at fair value through other comprehensive incomein accordance with IFRS 9 “Financial Instruments,” based on facts and circumstances that existed as of the transition
date. The Makita Group designated its financial instruments based on the circumstances as of the transition date.
(2) Mandatory Exceptions of Retrospective Adoption of IFRS 1IFRS 1 prohibits an entity from retrospectively applying IFRS with respect to “Accounting estimates,”“Derecognition of financial assets and liabilities,” “Non-controlling interest,” and “Classification and measurement offinancial assets.” The Makita Group has applied the relevant IFRSs to these transactions prospectively from thetransition date.
(3) Reconciliation
In preparing the consolidated financial position statement on the IFRS transition date, the Makita Group hasreconciliated amounts in consolidated financial statements prepared based on US GAAP.
The effects of the transition from US GAAP to IFRS on the Group’s financial position, financial results, and cash flow
position are presented in the following table:

English translation of "KESSAN TANSHIN" originally issued in Japanese

10

Reconciliation of equity on the transition date (April 1, 2017)
Yen (millions)

Presentation under U.S.GAAPASSETS
CURRENT ASSETS:
Cash and cash equivalents

Time deposits
Short-term investments
Notes
Accounts
Less- Allowance for
doubtful receivables

Inventories
Deferred income taxes
Prepaid expenses andother current assets
Total current assets

Difference
betweenrecognition
andmeasurement

U.S.
GAAP

Reclassification

142,181
34,32923,441
1,199
67,08634,329)23,441)
1,199)
67,086)-142,181-

1,137)

1,137

-

-

167,398
4,723

67,26250,112
4,723)

125-

67,262
167,523
50,112-

13,349452,569

183)
12,450)6,484)
6,359)

6,682
433,760

IFRS

Note

Presentation under IFRSASSETS
CURRENT ASSETS:
Cash and cash equivalents

Trade receivables and otherreceivables
Inventories

E
E
D

Other financial assets
Prepaid expenses and othercurrent assets

Total current assets
NON-CURRENT ASSETSPROPERTY, PLANT AND
EQUIPMENT, AT COST:Land
Building and improvements
Machinery and equipment

Construction in progressLess-Accumulated
depreciation andamortization
Total net property, plant andequipment
INVESTMENTS AND
OTHER ASSETS:
Investments
Goodwill
Other intangible assets, net

Deferred income taxes
Other assets
Total assets

22,35894,92791,493
5,531

22,358)94,927)91,493)5,531)--

119,802)

119,802---

94,507981

95,48834,004721
3,641

34,004)721)
3,641)--

650
11,157
144,680
597,249

3,735
42,521
8,385
4,723
8,242)
12,756
306

2,902
818
3)
3,796
137)
8,357
1,998

6,637
43,339
8,382
9,169
2,778
165,793599,553

English translation of "KESSAN TANSHIN" originally issued in Japanese

Property, plant
equipment

A
E
B
D,E

and

Goodwill and intangible
assetsOther financial assets
Net defined benefit asset

Deferred income taxes
Other non-current assets
Total non-current assets
Total assets

11Yen (millions)

Presentation under
U.S.GAAP
LIABILITIES

U.S. GAAP

Reclassification

Difference
betweenrecognition
andmeasurement

IFRS

Note

CURRENT LIABILITIES:

Short-term borrowings
Trade notes andaccounts payable
Other payables
Accrued expenses
Accrued payroll
Income taxes payable
Deferred income taxes
Other liabilities
Total current liabilities
LONG-TERM
LIABILITIES:Long-term indebtedness
Accrued retirement andtermination benefits

Deferred income taxes
Other liabilities
Total long-term liabilities
Total liabilities
EQUITY

Presentation under IFRSLIABILITIESCURRENT LIABILITIES:

6,579

(15)

-

6,564

26,347
7,122
10,537
9,431
6,944
3,134
8,178
78,272

7,113(7,122)(10,537)(9,431)284
320(3,134)
3,412
16,273(2,837)448
448

33,460
284
7,264
3,412
24,89975,883

Borrowings
Trade payables andother payables

E

Other financial liabilities
Income taxes payable

E
Provisions
Other liabilities

Total current liabilities
NON-CURRENT
LIABILITIES

18

(18)

-

-

3,161
8,313

18
1,440
3,143

(718)

3,161
18
1,440
10,738

1,674
13,16691,438(1,440)
3,143
306

(718)
(270)

234
15,591
91,47423,80545,501
5,669
456,546(11,623)(5,669)(29,516)-969-

23,80545,501
427,999(11,623)(17,728)

34,986

1,299

18,557502,170

(199)

2,268

504,2393,641
505,811597,249

199
306

2,268
1,998

3,840
508,079
599,553

Retirement benefit
liabilities
E

Other financial liabilities
Provisions

E

Deferred tax liabilities
Other non-current
liabilities
Total non-current liabilities

Total liabilities
EQUITYMAKITA CORPORATIONSHAREHOLDERS’
EQUITY:

Common stock
Additional paid-in capital

Legal reserve
Retained earnings
Treasury stock, at cost
Accumulated othercomprehensive loss
Total Makita Corporation
shareholders’ equity
NON-CONTROLLINGINTEREST
Total equity
Total liabilities and equity

English translation of "KESSAN TANSHIN" originally issued in Japanese

Common stock
Additional paid-in capital

A,B,C,D

B,C

C

Retained earnings
Treasury stock, at cost
Other components ofequityTotal equity attributableto owners of the parent
NON-CONTROLLINGINTEREST
Total equity
Total liabilities and equity

12

Reconciliation of equity as of June 30, 2017
Yen (millions)

Presentation under U.S.GAAPASSETS
CURRENT ASSETS:
Cash and cash equivalents

Time deposits
Short-term investments
Notes
Accounts
Less- Allowance for
doubtful receivables

Inventories
Prepaid expenses
other current assets
Total current assets

andDifference
betweenrecognition
andmeasurement

U.S.
GAAP

Reclassification

133,175
34,751
23,502
1,151
70,49334,751)
23,502)
1,151)
70,493)-

133,175-

1,176)

1,176

-

-

178,625-

70,59050,228137-

70,590178,762
50,228

13,969454,49077
7,826)

6,996)
6,859)

IFRS

Note

7,050
439,805

Presentation under IFRSASSETS
CURRENT ASSETS:
Cash and cash equivalents

Trade receivables andother receivables
Inventories

E

Other financial assets

D

Prepaid expenses andother current assets
Total current assets
NON-CURRENT ASSETSPROPERTY, PLANT AND
EQUIPMENT, AT COST:Land
Building and improvements
Machinery and equipment
Construction in progressLess-Accumulated
depreciation andamortization
Total net property, plant andequipment
INVESTMENTS AND
OTHER ASSETS:
Investments
Goodwill
Other intangible assets, net

Deferred income taxes
Other assets
Total assets

22,671
98,235
94,387
4,891

22,671)
98,235)
94,387)
4,891)--

122,688)

122,688---

97,496972

98,46833,360721

33,360)
721)

-

-

3,634

3,634)

-

-

-

3,725
41,945

2,921
826

6,646
42,771AE

3,671
11,263150,145604,635

8,553
8,381)
8,127
301

206)
5,744
135)
10,122
3,263

8,347
9,415
2,747
168,394608,199

B
D

English translation of "KESSAN TANSHIN" originally issued in Japanese

Property, plant andequipment

Goodwill and intangible
assetsOther financial assets
Net defined benefit asset
Deferred income taxes
Other non-current assets
Total non-current assets

Total assets

13

Yen (millions)

Presentation under
U.S.GAAP
LIABILITIES

U.S. GAAP

Reclassification

Difference
betweenrecognition
andmeasurement

IFRS

Note

CURRENT LIABILITIES:

Short-term borrowings
Trade notes andaccounts payable
Other payables
Accrued expenses
Accrued payroll

Presentation under IFRSLIABILITIESCURRENT LIABILITIES:

7,390

15)

-

7,375

26,712
7,713
9,791
7,733
4,666
10,00374,008

7,703
7,713)
9,791)
7,733)
771
145
3,495
13,439
301

‐
322
322

34,415
771
4,811
3,495
23,764
74,631

Deferred income taxes

3,330
8,829

15
1,376
-

906

3,330
15
1,376
9,735

Other liabilities

1,622

1,391)-

231

Other non-current
liabilities

Total long-term liabilities
Total liabilities

13,78187,789

301

906
1,228

14,68789,318

Total non-current
liabilities
Total liabilities

Income taxes payable
Other liabilities
Total current liabilities

Borrowings
Trade payables andother payables

E

Income taxes payable
Provisions
Other liabilities

Total current liabilities
NON-CURRENT
LIABILITIESRetirement benefit
liabilities

LONG-TERM
LIABILITIES:

Accrued retirement andtermination benefits

Other financial liabilities

E

Other financial liabilities

Provisions
Deferred tax liabilities

EQUITYEQUITYMAKITA CORPORATIONSHAREHOLDERS’
EQUITY:

Common stock
Additional paid-in capital
Legal reserve
Retained earnings
Treasury stock, at cost
Accumulated othercomprehensive loss
Total Makita Corporation
shareholders’ equity
NON-CONTROLLINGINTEREST
Total equity
Total liabilities and equity

23,80545,513
5,669
458,752
11,626)

5,669)
29,516)-671-

23,80545,513429,907
11,626)

9,264)

34,986

1,364

27,086

512,849

199)

2,035

514,685

3,997
516,846604,635

199
301

2,035
3,263

4,196
518,881608,199

English translation of "KESSAN TANSHIN" originally issued in Japanese

Common stock
Additional paid-in capital

A,B,C,D

B,C

C

Retained earnings
Treasury stock, at cost
Other components ofequityTotal equity attributableto owners of the parent
NON-CONTROLLINGINTEREST
Total equity
Total liabilities and equity

14

Reconciliation of equity as of March 31, 2018
Yen (millions)

Presentation under
U.S.GAAPASSETS
CURRENT ASSETS:
Cash and cash equivalents

Time deposits
Short-term investments
Notes
Accounts
Less- Allowance for
doubtful receivables

Inventories
Prepaid expenses andother current assets
Total current assets

Difference
betweenrecognition
andmeasurement

U.S. GAAP

Reclassification

147,320
43,013
14,782
1,343
79,09243,013)
14,782)
1,343)
79,092)-

147,320-

1,340)

1,340

-

-

196,217-78,98848,037237-

78,988
196,454
48,037

16,150496,577

43)
9,908)

7,444)
7,207)

8,663
479,462

IFRS

Note

Presentation under IFRSASSETS
CURRENT ASSETS:
Cash and cash equivalents

Trade receivables
other receivables

andInventories

E
D

Other financial assets
Prepaid expenses andother current assets

Total current assets
NON-CURRENT ASSETSPROPERTY, PLANT
AND EQUIPMENT, AT
COST:
Land
Building andimprovements
Machinery and equipment
Construction in progressLess-Accumulated
depreciation andamortization
Total net property, plantand equipment
INVESTMENTS AND
OTHER ASSETS:
Investments
Goodwill
Other intangible assets, net

Deferred income taxes
Other assets
Total assets

22,626

22,626)--

98,64898,868
6,027

98,648)98,868)6,027)--

126,305)

126,305---

99,864949

100,81333,815721

33,815)
721)

-

-

3,944

3,944)--

3,975
12,135
154,454
651,031

4,033
44,181
9,564

2,958
940
165
6,074
144)
10,942
3,735

6,991
45,121
9,729
10,0492,676
175,379
654,841

9,315)
9,983
75

English translation of "KESSAN TANSHIN" originally issued in Japanese

Property,equipment

A
E
B
D

plant

and

Goodwill and intangible
assetsOther financial assets
Net defined benefit asset
Deferred income taxes
Other non-current assets

Total non-current assets
Total assets

15

Yen (millions)

Presentation under
U.S.GAAP
LIABILITIES

U.S. GAAP

Reclassification

Difference
betweenrecognition
andmeasurement

IFRS

Note

CURRENT LIABILITIES:

Short-term borrowings
Trade notes andaccounts payable
Other payables
Accrued expenses
Accrued payroll
Income taxes payable
Other liabilities
Total current liabilities
LONG-TERM
LIABILITIES:
Accrued retirement
termination benefits

CURRENT LIABILITIES:

3,411

50)

-

3,361

28,156
7,131
11,952
10,731
9,720
9,497
80,5986,868
7,131)
11,952)
10,731)
429
351
2,928
19,363
75

‐
434
434

35,024429
10,071
2,928
29,294
81,107

3,206
9,391

‐
133
1,352
-

997

3,206
133
1,352
10,3881,703
14,30094,898

1,485)
75

2)
995
1,429

216
15,29596,402

Borrowings
Trade payables andother payables

E

Other liabilities
Total long-term liabilities

Total liabilities

Other financial liabilities
Income taxes payable
Provisions
Other liabilities

Total current liabilities
NON-CURRENT
LIABILITIESRetirement benefit
liabilities

andDeferred income taxes

Presentation under IFRSLIABILITIESOther financial liabilities
Provisions
Deferred tax liabilities

Other non-current
liabilities
Total non-current liabilities

Total liabilities

EQUITYEQUITYMAKITA CORPORATIONSHAREHOLDERS’
EQUITY:

Common stock
Additional paid-in capital

Legal reserve
Retained earnings
Treasury stock, at cost
Accumulated othercomprehensive loss
Total Makita Corporation
shareholders’ equity
NON-CONTROLLINGINTEREST
Total equity
Total liabilities and equity

23,80545,531
5,669
497,456
11,617)

5,669)
29,044)-820-

23,80545,531
469,232
11,617)

8,905)

34,514

1,486

27,095551,939

199)

2,306

554,046

4,194
556,133
651,031

199
75

2,306
3,735

4,393
558,439
654,841

English translation of "KESSAN TANSHIN" originally issued in Japanese

Common stock
Additional paid-in capital

A,B,C,D

B,C

C

Retained earnings
Treasury stock, at cost
Other components ofequityTotal equity attributableto owners of the parent
NON-CONTROLLINGINTEREST
Total equity
Total liabilities and equity

16

Reconciliation of profit and loss for the three-month period ended June 30, 2017 (April 1, 2017 to June 30, 2017)
Yen (millions)

Presentation under
U.S.GAAPNET SALES
Cost of sales
GROSS PROFIT
Selling, general,administrative and others,
net
OPERATING INCOME
OTHER INCOME(EXPENSE):

U.S. GAAP
113,064(72,246)
40,818

Reclassification
18
18

22,570)18,248Difference
betweenrecognition
andmeasurement

IFRS
113,064(72,226)
40,838

Note

2
2

(103)
(85)

81)
79)

22,754)18,084

A,B

1,004
263)
883)
7

10)
64)
-

994
327)
-

F
F

Interest expense

883
7)

Exchange losses on foreign
currency transactions, net

249)

249

-

-

121
7)

121)
7

-

-

18,989(85)

153)

18,751(6,274)763(5,511)
13,478

85
85
-

(500)
354
(146)
299)

(6,689)1,117(5,572)
13,179NET INCOME
ATTRIBUTABLE TO
MAKITA CORPORATION

13,336-299)

13,037Less-Net income
attributable to thenon-controlling interest

142

-

-

142

Interest and dividend income

Realized gains on
securities, net
Valuation losses on securities

INCOME BEFOREINCOME TAXES
Income tax expense:
Current
Deferred
NET INCOME

English translation of "KESSAN TANSHIN" originally issued in JapaneseB

Presentation under IFRSRevenue
Cost of sales
Gross profit
Selling, general, administrativeand others, net

Operating profit
Financial income
Financial expenses

Income before income taxes

D

Income tax expenses
ProfitProfit attributable to:
Owners of the parent
Non-controlling interests

17

Reconciliation of comprehensive income for the three-month period ended June 30, 2017
(April 1, 2017 to June 30, 2017)
Yen (millions)

Presentation under
U.S.GAAPNET INCOME

U.S. GAAP
13,478

Reclassification-

Difference
betweenrecognition
andmeasurement

299)

IFRS
13,179Note

Presentation under IFRSPROFIT

OTHER COMPREHENSIVEINCOME (LOSS), NET OFTAXOTHER COMPREHENSIVEINCOME (LOSS), NET OF
TAX

Unrealized holding gains(expense) on
available-for-sale securities

Items that will not bereclassified to profit or loss
Equity financial assets
measured at fair value
through othercomprehensive income

Pension liability adjustment

Foreign currencytranslation adjustment

Total other comprehensive
income (loss)
COMPREHENSIVE INCOME

451)
14)

-

52
14

399)
-

465)

-

66

399)

Total of items that will not bereclassified to profit or loss
Items that may bereclassified to profit or loss
Exchange differences ontranslating foreign
operations

9,143

-

1)

9,142

9,143

-

1)

9,142

8,678
22,156

-

65
234)

8,743
21,922

Total of items that may bereclassified to profit or loss
Total other comprehensive
income (loss), net of tax
COMPREHENSIVE INCOME

Comprehensive income
attributable to:Less-Comprehensive income
attributable to thenon-controlling interest
COMPREHENSIVEINCOMEATTRIBUTABLE TO
MAKITA CORPORATION

21,800-234)

21,566

356

-

-

356

English translation of "KESSAN TANSHIN" originally issued in Japanese

Owners of the parent

Non-controlling interests

18

Reconciliation of profit and loss for the year ended March 31, 2018 (April 1, 2017 to March 31, 2018)
Yen (millions)

Presentation under
U.S.GAAPNET SALES
Cost of sales
GROSS PROFIT
Selling, general,administrative and others,
net
OPERATING INCOME
OTHER INCOME(EXPENSE):

U.S. GAAP
477,298(302,173)
175,125

Reclassification
159
159

95,363)79,762Difference
betweenrecognition
andmeasurement

IFRS
477,298(301,392)
175,906

Note

622
622

(563)
(404)

251
873

95,675)80,231A,B

3,218
3,302)
2,919)
43

38)
244)
-

3,180
3,546)-

F
F

Interest expense

2,919
43)

Exchange losses on foreign
currency transactions, net

3,235)

3,235

-

-

299
24)

299)
24

-

-

79,678(404)

591

79,865(24,943)536(24,407)
55,271

404
404
-

(948)
545
403)
188

(25,487)
1,081(24,406)
55,459NET INCOME
ATTRIBUTABLE TO
MAKITA CORPORATION

54,755-

188

54,943Less-Net income
attributable to thenon-controlling interest

516

-

-

516

Interest and dividend income

Realized gains on
securities, net
Valuation losses on securities

INCOME BEFOREINCOME TAXES
Income tax expense:
Current
Deferred
NET INCOME

English translation of "KESSAN TANSHIN" originally issued in JapaneseB

Presentation under IFRSRevenue
Cost of sales
Gross profit
Selling, general, administrativeand others, net

Operating profit
Financial income
Financial expenses

Income before income taxes

D

Income tax expenses
ProfitProfit attributable to:
Owners of the parent
Non-controlling interests

19

Reconciliation of comprehensive income for the year ended March 31, 2018 (April 1, 2017 to March 31, 2018)
Yen (millions)

Presentation under
U.S.GAAPNET INCOME

U.S. GAAP
55,271

Reclassification-

Difference
betweenrecognition
andmeasurement

188

IFRS
55,459OTHER COMPREHENSIVEINCOME (LOSS), NET OF
TAX

Note

Presentation under IFRSPROFIT
OTHER COMPREHENSIVEINCOME (LOSS), NET OF
TAX

Unrealized holding gains(expense) on
available-for-sale securities

1,364)-

266

1,098)

Pension liability adjustment

544

-

356)

188

Items that will not bereclassified to profit or loss
Equity financial assets
measured at fair value
through othercomprehensive income
Remeasurement of defined
benefit pension plans

820)

-

90)

910)

Total of items that will not bereclassified to profit or loss
Items that may bereclassified to profit or loss
Exchange differences ontranslating foreign
operations

Foreign currency translation
adjustment

Total other comprehensive
income (loss)
COMPREHENSIVE INCOME

9,860

-

7)

9,853

9,860

-

7)

9,853

9,040
64,311

-

97)
91

8,943
64,402

Total of items that may bereclassified to profit or loss
Total other comprehensive
income (loss), net of tax
COMPREHENSIVE INCOME

Comprehensive income
attributable to:Less-Comprehensive income
attributable to thenon-controlling interest
COMPREHENSIVEINCOMEATTRIBUTABLE TO
MAKITA CORPORATION

63,578-91

63,669

733

-

-

733

English translation of "KESSAN TANSHIN" originally issued in Japanese

Owners of the parent

Non-controlling interests

20Notes to Reconciliation
A. Intangible assets
As some development costs, which are a part of expenditures related to R&D that were expensed under U.S. GAAP,
meet the requirements to be capitalized under IFRS, they are recognized as intangible assets in its consolidated financial
position statement and amortized over its expected useful lives on a straight-line basis.
Due to the above-mentioned differences in the accounting standards, the unamortized balance of capitalized
development costs of 2,902 million yen, 2,921 million yen, and 2,958 million yen, respectively, were recorded as
intangible assets on the transition date, at the end of the three-month period ended June 30, 2017, and at the end of theyear ended March 31, 2018, respectively. Consequently, retained earnings after deducting the adjusted deferred tax of
876 million yen, 882 million yen, and 893 million yen on the transition date, at the end of the three-month period ended
June 30, 2017, and at the end of the year ended March 31, 2018, respectively, increased by 2,026 million yen, 2,039
million yen, and 2,065 million yen, respectively.
B. Employee benefits
Under U.S. GAAP, regarding post-employment benefits under defined benefit pension plans, service cost, interest
cost, and expected return on plan assets were recognized in profit or loss. The portion of actuarial differences arisingfrom the relevant plans and past service cost incurred that was not recognized as expenses for the period was recognizedin the amount net of tax in accumulated other comprehensive income (loss), and the amount recognized in accumulated
other comprehensive income (loss) was subsequently recognized in income or loss over the average remaining service
years of employees.
Under IFRS, regarding post-employment benefits under defined benefit pension plans, current service cost and past
service cost are recognized in profit or loss, and the amount calculated by multiplying net defined benefit liability(asset) by the discount rate is recognized as interest expense (income) in profit or loss. Remeasurements of the net
defined benefit liability (asset) are recognized in other comprehensive income, and transferred from other componentsof equity directly to retained earnings, not through profit or loss.
Due to the above-mentioned differences in the accounting standards, actuarial differences of 8,869 million yen (loss)
and past service liability of 2,455 million yen (profit) on the transition date are transferred to retained earnings.
C. Exchange differences on translating foreign operations
IFRS allows an entity to choose to deem the full cumulative amount of the exchange differences on translating
foreign operations to be zero on the transition date.
Consequently, the exchange differences on translating foreign operations of 28,572 million yen out of accumulated
other comprehensive income on the transition date are transferred to retained earnings.
D. Income taxes
Under U.S. GAAP, regarding tax effect from the elimination of unrealized gains on intercompany transactions,income taxes paid by the seller were recorded as prepaid income taxes. Under IFRS, regarding the said tax effect, adeferred tax asset is recorded using the effective tax rate of the buyer as a temporary difference of assets held by thebuyer.
Due to the above-mentioned differences in the accounting standards, on the transition date, at the end of thethree-month period ended June 30, 2017, and at the end of the year ended March 31, 2018, deferred tax assets decreased
by 7,444 million yen, 6,484 million yen, and 6,996 million yen, respectively, while retained earnings declined by 1,024
million yen, 754 million yen, and 997 million yen, respectively.
E. Reclassification of items in consolidated financial position statement
Although some items are reclassified in the consolidated financial position statement to conform with IFRS
provisions, there is no effect on consolidated statements of income, consolidated statements of comprehensive income,and retained earnings. The following items represent major items that are reclassified in the consolidated financial
position statement.
(i) In accordance with the presentation provisions under IFRS, financial assets and financial liabilities are presented
on an individual basis.

English translation of "KESSAN TANSHIN" originally issued in Japanese21

(ii) Under U.S. GAAP, deferred tax assets and deferred tax liabilities were presented separately in current
assets/liabilities and non-current assets/liabilities. However, since they are not allowed to be presented in current
assets/liabilities under IFRS, they are reclassified as non-current assets/liabilities.
(iii) Other reclassifications have been made by aggregating or separating presentation under U.S. GAAP to beconsistent with the presentation under IFRS.
F. Reclassification of items in consolidated statements of income
Although some items are reclassified in the consolidated statements of income to conform with IFRS provisions,
there is no effect on retained earnings. The following items represent major items that are reclassified in the
consolidated statements of income.
(i) In accordance with the presentation provisions under IFRS, financial income and financial expenses are presented
on an individual basis.
Reconciliation of consolidated cash flows for the three-month period ended June 30, 2017 and the year ended March 31,
2018
There is no material difference between consolidated statements of cash flows disclosed in accordance with U.S.
GAAP and those disclosed in accordance with IFRS.

English translation of "KESSAN TANSHIN" originally issued in Japanese

22

SUPPORT DOCUMENTATION (CONSOLIDATED)
1. Consolidated Financial Results and Forecast
Yen (millions)
For the three months
For the three months
ended June 30, 2018
ended June 30, 2017(%)

Revenue .....................................................................................................
Domestic ...............................................................................................
Overseas ................................................................................................
Operating profit .........................................................................................
Profit before income taxes .........................................................................
Profit attributable to owners of the parent .................................................
Profit attributable to owners of the parent per share (Yen) .......................
Number of Employees ...............................................................................

113,064
19,51693,54818,08418,751
13,03748.03
15,745(%)-

122,638
8.5
21,475 10.0
101,163
8.1
21,029 16.3
22,285 18.8
15,550 19.3
57.28
16,064

Yen (millions)
For the year ending
For the year ended
March 31, 2019
March 31, 2018
(Forecast)(%)

Revenue .............................................................
Domestic .......................................................
Overseas ........................................................
Operating profit .................................................
Profit before income taxes .................................
Profit attributable to owners of the parent .........
Profit attributable to
Owners of the parent per share (Yen).................
Number of Employees .......................................

477,298
82,575
394,723
80,231
79,86554,943202.3916,137-(%)

490,000
86,000404,000
78,50078,70054,800

2.7
4.1
2.4
(2.2)
(1.5)
(0.3)

201.87-

Notes:
1. Please refer to [Qualitative Information and Financial Statements] Section 3 “Explanation of Information
Relevant to Forecast such as Consolidated Financial Performance Forecast” on page 3.
2. The table above shows the changes in the percentage ratio of net sales, operating income, income before income
taxes, and net income attributable to Makita Corporation compared to the corresponding period of the previous
year.
3. The percentage changes from results for the three months ended June 30, 2016 and for the year ended March 31,2017 based on U.S. GAAP have been omitted.

English translation of "KESSAN TANSHIN" originally issued in Japanese232. Consolidated Revenue by Geographic Area
For the three months
ended June 30, 2017

Yen (millions)
For the three months
ended June 30, 2018

For the year ended
March 31, 2018

(%)

(%)

(%)

Japan ................................................................
19,516
21,475
10.0
82,575
Europe..............................................................
48,34055,17214.1
202,054
North America .................................................
16,942
17,165
1.3
73,873
10,163(6.7)
44,094
Asia ..................................................................
10,889Central and South America ..............................
6,464
6,701
3.7
27,922
Oceania ............................................................
7,311
7,921
8.3
31,284
4,041
12.2
15,496The Middle East and Africa .............................
3,602
Total .................................................................
113,064
122,6388.5
477,298
Notes:
1. The table above sets forth Makita's consolidated revenue by geographic area based on the customer’s location
for the periods presented. Accordingly, it differs from “Condensed Operating Segment Information” on page 9.
2. The table above shows the changes in the percentage ratio of net sales compared to the corresponding period of
the previous year.
3. The percentage changes from results for the three months ended June 30, 2016 and for the year ended March 31,2017 based on U.S. GAAP have been omitted.

3. Exchange Rates
Yen
For the threemonths ended
June 30, 2017

For the threemonths ended
June 30, 2018

111.09122.2616.22

109.10130.03
17.12

USD/JPY ................................................
EUR/JPY ................................................
RMB/JPY ...............................................

For the year
ended March 31,
2018110.85129.66
16.74

For the year
ending March
31, 2019(Forecast)
105
130
16.8

4. Production Ratio (unit basis)
For the threemonths ended
June 30, 2017
Composition ratio

Domestic .....................................................................
Overseas .....................................................................

9.7%
90.3%

For the threemonths ended
June 30, 2018
Composition ratio

9.7%
90.3%

5. Consolidated Capital Expenditures, Depreciation and Amortization, and R&D cost
Yen (millions)
For the three
For the year
For the threemonths ended
ended
months ended
June 30, 2018
March 31, 2018
June 30, 2017
Capital expenditures ..................
Depreciation and amortization ...
R&D cost ...................................

3,927
2,531
2,701

7,171
2,769
2,689

English translation of "KESSAN TANSHIN" originally issued in Japanese

14,149
9,917
10,894

For the year
ended
March 31, 2018
Composition ratio

9.3%
90.7%

For the year
endingMarch 31, 2019
(Forecast)
50,00012,00010,80024