Notice: This document is an excerpt translation of the original Japanese document and is only for reference purposes. In theevent of any discrepancy between this translated document and the original Japanese document, the latter shall prevail.

Consolidated Financial Results
for the Fiscal Year Ended March 31, 2019
[Japanese GAAP]May 14, 2019
Company name: Sanoyas Holdings Corporation
Stock exchange listing: Tokyo Stock Exchange
Code number: 7022
URL: http://www.sanoyas.co.jp/
Representative: Takashi Ueda, President & CEO
Contact: Atsushi Daimon, Executive Officer, General Manager, Finance Department
Phone: +81-6-4803-6171
Email: info@sanoyas.co.jp
Scheduled date of Annual General Meeting of Shareholders: June 21, 2019
Scheduled date of filing annual securities report: June 21, 2019
Scheduled date of commencing dividend payments: June 24, 2019
Availability of supplementary briefing material on annual financial results: Not available(Amounts of less than one million yen are rounded down.)
1. Consolidated Financial Results for the Fiscal Year Ended March 31, 2019 (April 1, 2018 to March 31, 2019)(1) Consolidated Operating Results(% indicates changes from the previous corresponding period.)
Profit (loss)
Operating profit
Net sales
Ordinary profit (loss)
attributable to(loss)
owners of parent
Fiscal year ended
Million yen%
Million yen%
Million yen%
Million yen%
March 31, 2019
48,144
1.5
1,272
–
1,326
–
1,383
–
March 31, 2018
47,455 (10.6)(3,160)–(3,145)–(4,260)–(Note) Comprehensive income: Fiscal year ended March 31, 2019: ¥1,347 million [–%]
Fiscal year ended March 31, 2018: ¥(3,764)million [–%]
Basic earnings
per share

Diluted earnings
per share

Return on equity

Rate of ordinary
profit (loss) tototal assets

Rate of operating
profit (loss) to
net sales%%%
Fiscal year ended
Yen
Yen
March 31, 2019
42.45
42.06
9.9
2.0
2.6
March 31, 2018(130.77)–(27.7)(4.6)(6.7)(Reference) Profit (loss) on equity method investments: Fiscal year ended March 31, 2019: ¥197 million
Fiscal year ended March 31, 2018: ¥114 million(Note) Diluted earnings per share for the Fiscal Year Ended March 31, 2018 are not shown in above table as a net
loss per share was posted.
(2) Consolidated Financial Position
Total assets
Net assets
Equity ratio
Net assets per share
Million yen

As of March 31, 201967,110
As of March 31, 2018
67,635(Reference) Equity: As of March 31, 2019: ¥14,590 million
As of March 31, 2018: ¥13,403 million

Million yen%

Yen

14,654
13,44621.7
19.8

447.74411.42

(3) Consolidated Cash Flows
Cash flows fromoperating activities

Fiscal year ended
March 31, 2019
March 31, 2018

Cash flows frominvesting activities

Cash and cash
equivalents at the endof period

Cash flows fromfinancing activities

Million yen

Million yen

Million yen

Million yen

298
8,800

(3,154)(2,105)(135)(1,769)19,32322,224

2. Dividends
Annual dividends
1st
2nd
3rd
Year-endquarter-end quarter-end quarter-end
Fiscal year ended
March 31, 2018
March 31, 2019
Fiscal year ending
March 31, 2020
(Forecast)Total
dividends

Total

Yen

Yen

Yen

Yen

Yen Million yen

–
–

0.00
0.00

–
–

5.00
5.00

5.00
5.00

–

0.00

–

5.00

5.00

Payoutratio(consolidated)

162
162

Dividends
to netassets(consolidated)

%

%

–
11.8

1.1
1.2

–

3. Consolidated Financial Results Forecast for the Fiscal Year Ending March 31, 2020 (April 1, 2019 to March
31, 2020)(% indicates changes from the previous corresponding period.)
Net sales
Million yen%

Operating profit

Ordinary profit(loss)(loss)

Million yen%

Million yen

Profit (loss)
attributable toowners of parent%

Million yen

Basic earnings
per share%

Yen

Full year
48,000 (0.3)
(400)
–
(400)
–
(400)
–
(12.28)(Note 1) The exchange rate used for unfixed foreign currency items in assuming the Company’s earnings forecast is
108 yen to the U.S dollar.
(Note 2) The statement for the consolidated financial results forecast for the first half of the fiscal year ending March
31, 2019 is omitted, as the Company sets its earnings goals at an annual base.
* Notes:(1) Changes in significant subsidiaries during the period under review (changes in specified subsidiaries resulting inchanges in scope of consolidation): No(2) Changes in accounting policies, changes in accounting estimates and retrospective restatement
1) Changes in accounting policies due to the revision of accounting standards: No
2) Changes in accounting policies other than 1) above: No
3) Changes in accounting estimates: No4) Retrospective restatement: No(3) Total number of issued shares (common shares)
1) Total number of issued shares at the end of the period (including treasury shares):
March 31, 2019: 32,606,800 shares
March 31, 2018: 32,600,600 shares2) Total number of treasury shares at the end of the period:
March 31, 2019: 20,715 shares
March 31, 2018: 20,715 shares
3) Average number of shares during the period:
Fiscal Year Ended March 31, 2019: 32,580,838 sharesFiscal Year Ended March 31, 2018: 32,579,423 shares* These consolidated financial results are outside the scope of audit* Explanation of the proper use of financial results forecast and other notes
The earnings forecasts and other forward-looking statements herein are based on information currently available
and certain assumptions deemed reasonable. Actual results may differ significantly from these forecasts due to awide range of factors.

1. Summary of Business Results
In the business environment surrounding the Sanoyas Group, “twin surpluses” of shipping tonnage andshipbuilding capacity continues structurally and the situation is still tough in the Shipbuilding & Engineeringbusiness. Although the market of bulk carriers showed a moderate recovery trend during 2018, the market has been
weakening since the beginning of 2019.
In the Shipbuilding business, new 82,000 DWT type PANAMAX bulk carriers and new 64,000 DWT type
SUPRAMAX bulk carriers have been developed. These vessels are applied IMO NOx Tier Ⅲ regulation and
IACS Harmonized Common Structural Rules and further improved fuel consumption. In addition, 41,000 DWT
type HANDY SIZE bulk carriers have been developed newly. This type of vessel with wide beam and shallow
draft has larger cargo hold capacity and applies new regulations. We carry out sales promotion. On the other hand,under the severe shipbuilding market situation, we are also working on adding new item on our menu and receive
building orders of special vessels and working ships following the order of ferries. As to the Marine and Ship
Repair business that we have been working on to complement the Shipbuilding business, we are promoting salesof the marine LNG fuel supply systems that are jointly developed with Sumitomo Seika Chemicals Company,
Limited. (merger with SEIKA ENGINEERING CO., LTD.) and the orders are increased gradually. Regarding LPG
tank business, we decided to manufacture in the Mizushima Shipyard (Kurashiki City, Okayama Prefecture) inaddition to the Osaka Shipyard (Osaka City, Osaka Prefecture), and we are preparing to enhance the business.
We had regarded the Industrial Machinery & Service business and Leisure business as “second core business” andpromoted various business portfolios. We recognize it is important and urgent issue to make our group businessstable and sustainable. Therefore, we restructured the Industrial Machinery & Service business and Leisurebusiness as M & T Group (Machinery & Technology Group) on April 2, 2018, and established Sanoyas MTG
Corporation as a management company for M & T group. Subsequently, we received an approval for the"absorption-type split agreement" to transfer shares of M & T group companies to Sanoyas MTG Corporation at
the annual shareholders' meeting in June. The transaction came into effect on July 2. Regarding the businessstructure of M & T Group, on October 31, 2018, we decided that Sanoyas Engineering Corporation, DAICHU CO.,LTD. and Sanoyas Construction Machinery Corporation, which are mainly engaged in manufacturing andmaintenance service of industrial machinery, will be consolidated into one company. Sanoyas Engineering
Corporation and DAICHU CO., LTD. merged on April 1, 2019. Sanoyas Construction Machinery Corporation isscheduled to merge on April 1, 2020. By reorganizing these three companies into each functional activity in the
new company, we intended to strengthen and expand our business structure through improving efficiency ofmanagement, the best allocation of human resources and pursuit of synergies on sharing their factories.
Furthermore, on November 29, 2018, for the aim of promoting IT development in our businesses activities, we
decided that SANOTEC Corporation and Sanoyas Business Partner Corporation will be consolidated. At the sametime, we are going to assign smoothly and effectively their system engineers to our group companies fromSANOTEC Corporation. SANOTEC is engaged in software development and calculation/information processing
business and Sanoyas Business Partner is engaged in general trading business and service business in our group.
Regarding the M & T business, being based on strong domestic and overseas demand, steady results were seen insuch sectors as construction-use elevators, works related to air-conditioning, drainage and sanitation facilities,

1

vacuum emulsifying equipment and stirrers for cosmetic manufacturing, and amusement park machinery. To
improve productivity, Sanoyas Precision Industry Corporation, mainly engaged in precision machining, has been
consolidating its three factories in the Kansai area into new built one in Sanda City, Hyogo Prefecture, with its
head office. The second phase construction was completed in March 2019 and the relocation was finished.

Consolidated net sales for the fiscal year ended March 31, 2019 increased by ¥688 million (1.5%) over theprevious fiscal year, to ¥48,144 million. Operating profit was ¥1,272 million (operating loss of the previous fiscal
year was ¥3,160 million), ordinary profit was ¥1,326 million (ordinary loss of the previous fiscal year was ¥3,145
million), and profit attributable to owners of parent was ¥1,383 million (loss attributable to owners of parent of theprevious fiscal year was ¥4,260 million).

2. About Financing
One of our management tasks is to secure and maintain stable long-term working capital. Regarding the existing
syndicated loan agreement (expiry date: December 30, 2019), Sanoyas Shipbuilding Corporation (wholly-owned
by Sanoyas Holdings Corporation) concluded a new syndicated loan agreement (borrowing amount ¥9,200
million) and refinanced on October 31, 2018. Consequently, the expiry date is extended to December 30, 2021, andthe annual repayment amount is decreased due to setting up an alternative tranche of bullet repayment. The
covenants (Sanoyas Shipbuilding Corporation and our covenant provision) are also taken into consideration abouthigh volatility of our business condition in future.

3. Segment Results①Shipbuilding & Engineering businessAs a result of the business activities, the segment backlog of orders was ¥ 40,820 million on a percentage ofcompletion method. The segment net sales for the fiscal year ended March 31, 2019 decreased by ¥859 million(2.9%) over the previous fiscal year, to ¥28,411 million. Steel prices increased during the fiscal year. Under thecircumstances, we improved the operation in our indirect departments. In addition, the evaluated net sales of thebacklog of shipbuilding orders on a US dollar basis increased because the yen weakened against the US dollar
compared to the end of the previous fiscal year. The allowance for future loss on construction contracts decreased.
As a result, the operating profit was ¥203 million (operating loss of the previous fiscal year was ¥3,463 million).
②M & T businessAs a result of the business activities, the segment backlog of orders was ¥6,796 million. The segment net sales
were ¥19,732 million. Operating profit was ¥1,363 million.

2

Consolidated Financial Statements [Japanese GAAP](1) Consolidated Balance Sheets [Japanese GAAP](Million yen)
As of March 31, 2018
AssetsCurrent assets
Cash and deposits
Notes and accounts receivable - trade
Electronically recorded monetary claims - operating
Securities
Merchandise and finished goods
Work in process
Raw materials and supplies
Other
Allowance for doubtful accounts
Total current assets
Non-current assets
Property, plant and equipment
Buildings and structures
Accumulated depreciation
Buildings and structures, net
Docks and building berths
Accumulated depreciation
Docks and building berths, net
Machinery, vehicles, tools, furniture and fixtures
Accumulated depreciation
Machinery, vehicles, tools, furniture andfixtures, net
LandConstruction in progress
Total property, plant and equipment
Intangible assets
Software
Goodwill
Other
Total intangible assets
Investments and other assets
Investment securities
Long-term loans receivable
Deferred tax assets
Net defined benefit asset
Other
Allowance for doubtful accounts
Total investments and other assets
Total non-current assets
Total assets

23,01913,498736

3

As of March 31, 2019

–
222
1,330
654
3,040
(23)
42,47920,10815,305
465
500
251
1,117
659
2,725
(21)
41,112

18,687(12,821)
5,866
5,033
(3,559)1,474
35,069(31,711)

19,152(12,976)
6,175
5,033
(3,612)
1,421
34,910(30,924)

3,358

3,985

4,980
313
15,9934,980
196
16,760

409
426
31
868

362
357
31
752

6,715
538
203
273
662
(98)
8,295
25,156
67,635

6,997
475
247
277
591
(103)
8,485
25,997
67,110(Million yen)
As of March 31, 2018
Liabilities
Current liabilities
Notes and accounts payable - trade
Notes payable - facilities
Short-term loans payable
Current portion of long-term loans payable
Income taxes payable
Advances received
Provision for bonuses
Provision for construction warranties
Provision for loss on construction contracts
Provision for removal cost of property andequipment
Lease obligations
Other
Total current liabilities
Non-current liabilities
Long-term loans payable
Lease obligations
Deferred tax liabilities
Provision for removal cost of property andequipment
Net defined benefit liability
Asset retirement obligations
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-sale securities
Deferred gain (loss) on hedges
Foreign currency translation adjustment
Remeasurements of defined benefit plans
Total accumulated other comprehensive income
Share acquisition right
Total net assets
Total liabilities and net assets

4

As of March 31, 201911,278
765
4,630
4,231
72
3,757
464
253
5,210

11,489
460
4,830
3,853
273
4,505
495
167
3,109

–

34

95
1,497
32,258165
1,844
31,22913,6891,009
2,373

12,699
1,222
2,322

59

－

4,309
445
44
21,931
54,189

4,501
451
28
21,22652,456

2,538
564
7,356
(5)
10,453

2,538
402
8,739
(5)
11,675

3,274
(1)
(31)
(290)
2,950
42
13,446
67,635

3,308
(2)
(169)
(221)
2,915
63
14,654
67,110(2) Consolidated Statements of Income and Consolidated Statements of Comprehensive Income [Japanese
GAAP]
Consolidated Statements of Income [Japanese GAAP](Million yen)

Net sales
Cost of sales
Gross profit
Selling, general and administrative expenses
Operating profit (loss)
Non-operating income
Interest income
Dividend income
Share of profit of entities accounted for using equity
methodForeign exchange gain
Other
Total non-operating income
Non-operating expenses
Interest expenses
Commission for syndicate loan
Other
Total non-operating expenses
Ordinary profit (loss)
Extraordinary income
Gain on insurance adjustment
Gain on sale of businesses
Gain on reversal of allowance for loss on businesswithdrawal
Gain on sales of investment securities
Total extraordinary income
Extraordinary loss
Impairment loss
Provision for assets removal
Loss on retirement of non-current assets
Total extraordinary loss
Profit (loss) before income taxes
Income taxes – current
Income taxes – deferred
Total income taxes
Profit (loss)
Profit (loss) attributable to owners of parent

For the fiscal year
ended March 31, 2018
47,45545,736
1,719
4,880(3,160)For the fiscal year
ended March 31, 2019
48,14442,071
6,073
4,800
1,272

19
113

17
115

114

197

–
109
356

131
96
558

294
–
47
341
(3,145)

265
102
137
504
1,326

111
–

149
110

87

–

75
274

38
297

1,247
59
53
1,361
(4,232)
140
(113)
27
(4,260)(4,260)

62
–
–
62
1,562
301
(122)
178
1,383
1,383

5

Consolidated Statements of Comprehensive Income [Japanese GAAP](Million yen)
For the fiscal year
ended March 31, 2018
Profit (loss)

For the fiscal year
ended March 31, 2019

(4,260)1,383

Valuation difference on available-for-sale securities

377

34

Deferred gain (loss) on hedges

(34)

(2)

Foreign currency translation adjustment

40

(136)

Remeasurements of defined benefit plans, net of tax

114

69

(2)

0

Comprehensive income

495(3,764)

(35)
1,347

Comprehensive income (loss) attributable to
Owners of the parent(3,764)

1,347

－

－

Other comprehensive loss (income)Comprehensive loss (income) of affiliates
accounted for by the equity method
attributable to the Company
Total other comprehensive loss (income)Non-controlling interests6(3) Consolidated Statements of Cash Flows [Japanese GAAP](Million yen)
For the fiscal year
ended March 31, 2018
Cash flows from operating activities
Profit (loss) before income taxes
Depreciation
Impairment loss
Amortization of goodwill
Increase (decrease) in net defined benefit liability
Increase (decrease) in allowance for doubtful accounts
Increase (decrease) in provision for bonuses
Increase (decrease) in provision for construction
warranties
Increase (decrease) in provision for loss on construction
contracts
Increase (decrease) in provision for removal cost of
property and equipment
Increase (decrease) in provision for loss on businesswithdrawal
Interest and dividend income
Interest expenses
Foreign exchange loss (gain)
Gain on insurance income
Loss(gain) on sale of businesses
Loss on retirement of non-current assets
Loss (gain) on sales of investment securities
Decrease (increase) in notes and accounts receivable –trade
Decrease (increase) in inventories
Increase (decrease) in notes and accounts payable - trade
Increase (decrease) in advances received
Decrease (increase) in consumption taxes refund
receivable
Other, net
SubtotalInterest and dividend income received
Interest expenses paid
Proceeds from insurance income
Income taxes paid
Net cash provided by (used in) operating activities
Cash flows from investing activities
Payments into time deposits
Proceeds from withdrawal of time deposits
Net decrease (increase) in short-term investment
securities
Purchase of property, plant and equipment
Proceeds from sales of property, plant and equipment
Purchase of investment securities
Proceeds from sales of investment securities
Payments of loans receivableCollection of loans receivable
Proceeds from sale of businesses
Other, net
Net cash provided by (used in) investing activities

7

For the fiscal year
ended March 31, 2019

(4,232)
1,614
1,247
69
246
78
5

1,562
1,690
62
69
192
2
30

126

(86)

2,396

(2,101)

59

25

(341)

–

(132)
294
(2)
(111)
–
53
(75)

(132)
265
(115)
(149)
(110)
36
(38)

7,336

(1,544)

(154)
983
19

169
244
666

92

(94)

10
9,584
132
(292)
111
(735)
8,800

(177)
464
128
(264)
232
(262)
298

(490)
654

(483)
493

–

(500)

(2,051)
2
(18)
121
(3)
4
–
(326)
(2,105)(2,787)
50
(16)
13
(1)
74
110
(107)
(3,154)

(Million yen)
For the fiscal year
ended March 31, 2018
Cash flows from financing activities
Net increase (decrease) in short-term loans payable
Proceeds from long-term loans payable
Repayments of long-term loans payable
Proceeds from sales and leaseback transactions
Cash dividends paid
Repayments of lease obligations
Other, net
Net cash provided by (used in) financing activities
Effect of exchange rate change on cash and cash equivalents
Net increase (decrease) in cash and cash equivalents
Cash and cash equivalents at beginning of period
Cash and cash equivalents at end of period

(100)
4,100
(4,327)–(162)(1,279)–(1,769)(3)
4,922
17,30122,2248

For the fiscal year
ended March 31, 2019200
12,100(13,467)
1,343
(162)
(148)
0
(135)
90
(2,901)22,224
19,323

(Segment Information)
１ Information concerning Net sales and Operating profit or loss by Reportable business segment
Fiscal Year Ended March 31, 2018 (April 1, 2017 to March 31, 2018)
Reportable segment
Industrial
Shipbuilding &Machinery &Engineering
Leisure Business
ServiceBusiness
Business

Adjustments(Note 1)

Total

(Million yen)Amountrecorded inconsolidated
statements ofincome(Note 2)

Net sales
29,271

14,2383,945

47,455－47,455

6

892

－

899

(899)

－

29,277

15,131

3,945

48,354(899)

47,455

Segment profit (loss)(3,463)(1,098)(82)(2,448)(712)(3,160)

Segment assets

41,80918,526

6,290

66,626

1,009

67,635

Depreciation andamortization

857

396

267

1,521

92

1,614

Amortization of goodwill

－

69

－

69

－

69

Increase in property, plantand equipment andintangible assets

575

1,177

222

1,975

142

2,117

External sales
Internal sales or transfers
Total

Other items(Note 1) Details of “Adjustments” are as follows:
Adjustments for the segment profit or loss of ¥712 million include corporate cost of ¥741 million not allocated to eachreportable segment, allowance for doubtful accounts of ¥(9) million and elimination of inter-segment transaction of ¥(19)
million.
Adjustments for segment assets of ¥1,009 million include corporate assets of ¥4,360 million and consolidation adjustmentsof ¥(3,350) million.
Adjustments for depreciation and amortization of ¥92 million include depreciation and amortization of corporate assets of¥94million and the elimination of transaction between the segments of ¥(2) million.
Adjustment for the increase in property, plant and equipment and intangible assets of ¥142 million include investments incorporate assets of ¥52 million and software of ¥89 million.
Corporate cost consists of general and administrative expenses which do not belong to the reporting segment.
(Note 2) Segment profit or loss is adjusted with operating loss recorded in the consolidated statements of income.

9

Fiscal Year Ended March 31, 2019 (April 1, 2018 to March 31, 2019)
Reportable segment
Shipbuilding &Engineering
Business

Machinery &Technology
Business

Adjustments(Note 1)

Total

(Million yen)Amount recordedin consolidated
statements ofincome(Note 2)

Net sales
28,411

19,732

48,144－

48,144

8

946

955

(955)

－

28,42020,67949,099(955)

48,144

Segment profit

203

1,363

1,567

(294)

1,272

Segment assets

40,632

26,92067,552(442)

67,110Depreciation andamortization

836

765

1,602

88

1,690

Amortization of goodwill

－

69

69

－

69

Increase in property, plantand equipment andintangible assets

644

1,912

2,556

39

2,595

External sales
Internal sales or transfers
Total

Other items(Note 1) Details of “Adjustments” are as follows:
Adjustments for the segment profit of ¥294 million include corporate cost of ¥322 million not allocated to each reportablesegment, allowance for doubtful accounts of ¥(4) million and elimination of inter-segment transaction of ¥(23) million.
Adjustments for segment assets of ¥(442) million include corporate assets of ¥5,176 million and consolidation adjustmentsof ¥(5,618) million.
Adjustments for depreciation and amortization of ¥88 million include depreciation and amortization of corporate assets of¥92million and the elimination of transaction between the segments of ¥(3) million.
Adjustment for the increase in property, plant and equipment and intangible assets of ¥39 million include investments incorporate assets of ¥4 million and software of ¥34 million.
Corporate cost consists of general and administrative expenses which do not belong to the reporting segment.
(Note 2) Segment profit is adjusted with operating profit recorded in the consolidated statements of income.

10

２ Changes in Reportable segments
During the three months ended June 30, 2018, “Industrial Machinery & Service Business” and “LeisureBusiness” were integrated into “Machinery & Technology Business” as a result of the review of the
management unit.
Since Sanoyas MTG Corporation was established in April 2018 to supervise "Machinery & Technology
Business", it is difficult to collect information to prepare segment information for the Fiscal Year Ended
March 31, 2018 based on the segment classification for the Fiscal Year Ended March 31, 2019. Therefore,
the Fiscal Year Ended March 31, 2019 is prepared based on the reportable segments for the Fiscal Year
Ended March 31, 2018.
Reportable segment
Industrial
Shipbuilding &Machinery &Engineering
ServiceBusiness
Business

Adjustments(Note 1)

Total

LeisureBusiness(Million yen)Amountrecorded inconsolidated
statements ofincome(Note 2)

Net sales
28,411

15,517

4,214

48,144－

48,144

8

1,004

－

1,013

(1,013)－28,42016,522

4,214

49,157(1,013)48,144

Segment profit

203

1,719

158

2,081

(809)

1,272

Segment assets

40,632

19,954

6,432

67,02090

67,110Depreciation andamortization

836

498

266

1,601

88

1,690

Amortization of goodwill

－

69

－

69

－

69

Increase in property,
plant and equipment andintangible assets

644

1,285

625

2,556

39

2,595

External sales
Internal sales or transfers
Total

Other items(Note 1) Details of “Adjustments” are as follows:
Adjustments for the segment profit of ¥809 million include corporate cost of ¥836 million not allocated to each reportablesegment, allowance for doubtful accounts of ¥(4) million and elimination of inter-segment transaction of ¥(23) million.
Adjustments for segment assets of ¥90 million include corporate assets of ¥5,797 million and consolidation adjustments of¥(5,707) million.
Adjustments for depreciation and amortization of ¥88 million include depreciation and amortization of corporate assets of¥92million and the elimination of transaction between the segments of ¥(3) million.
Adjustment for the increase in property, plant and equipment and intangible assets of ¥39 million include investments incorporate assets of ¥4 million and software of ¥35 million.
Corporate cost consists of general and administrative expenses which do not belong to the reporting segment.
(Note 2) Segment profit is adjusted with operating profit recorded in the consolidated statements of income.

11

3. Supplementary information
Status of sales and orders
Segmental sales
Segment

Fiscal Year Ended March 31, 2018 (April 1,2017 to March 31, 2018)(Million yen)

Shipbuilding &Engineering Business
Machinery &Technology Business
Total

Composition ratio (%)

Fiscal Year Ended March 31, 2019 (April 1,2018 to March 31, 2019)(Million yen)

Composition ratio (%)

29,271

61.7

28,41159.0

18,18438.3

19,73241.0

47,455100.0

48,144100.0

Order status and backlog of orders
Fiscal Year Ended March 31, 2018 (April 1,2017 to March 31, 2018)
Segment

Shipbuilding &Engineering Business
Machinery &Technology Business
Total

Orders(Million yen)Backlog of orders(Million yen)

Fiscal Year Ended March 31, 2019 (April 1,2018 to March 31, 2019)
Orders(Million yen)Backlog of orders(Million yen)

9,870

39,00629,86640,82012,953

6,235

13,766

6,796

22,82445,241

43,632

47,616(Note) The backlog of orders of the shipbuilding in the Shipbuilding & Engineering Business as of March 31, 2019 is stated on thepercentage of completion method and the number of backlog of orders is 16 ships on a delivery basis.

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