Dainippon Screen Mfg. Co., Ltd.
Tenjinkita-machi 1-1, Teranouchi-agaru 4-chome, Horikawa-dori,

May 10, 2013

Kamigyo-ku, Kyoto 602-8585, JapanCONSOLIDATED FINANCIAL REPORTFOR THE FISCAL YEAR ENDED MARCH 31, 2013 [Japanese GAAP]
Dainippon Screen Mfg. Co., Ltd. is listed on the First Section of the Tokyo Stock Exchange and Osaka Securities Exchangewith the securities code number 7735.
(URL:http//www.screen.co.jp/)
Representative:
President Masahiro Hashimoto
For further information contact: General Manager of Accounting Department Hirofumi Ohta
Tel: +81-75-414-7155
Date of the annual shareholders' meeting: June 26, 2013
Date of payment for cash dividends: ―Date planned for the filing of the financial report: June 27, 2013
Figures have been rounded down to eliminate amounts less than one million yen, except per share figures.

PERFORMANCE (APR.1, 2012-MAR. 31, 2013)(Millions of yen, except per share figures)(Percentage are the rate of increase or decrease from the previous fiscal year)(1) Business Results

Fiscal year ended
Mar. 31, 2013
Fiscal year ended
Mar. 31, 2012

Net Sales

Percentage
ChangeOperating
IncomePercentage
ChangeOrdinary
IncomePercentage
Change¥189,923-24.1%¥ (6,986)—%¥ (7,205)—%

250,089-1.9

13,498

Note: Comprehensive income
Fiscal year ended Mar. 31, 2013:
Fiscal year ended Mar. 31, 2012:

Fiscal year ended
Mar. 31, 2013
Fiscal year ended
Mar. 31, 2012-49.7

12,284-53.7

Diluted Net
Income per
Share (Yen)

Return on
Equity—%-15.8%

-3.0%

-3.7%

—

5.2

4.9

5.4

¥ (8,183) million ( - %)¥ 4,191 million ( -81.4 %)Net Income

Percentage
Change¥ (13,486)

—%

4,637

-81.9

Net Income per
Share (Yen)¥ (56.82)

19.54

Return on
Return on Sales
Assets(Operating(Ordinary
Income Basis)
Income Basis)

Note: Equity in earnings (losses) of affiliates accounted for by the equity method
Fiscal year ended Mar. 31, 2013:¥ (0) million
Fiscal year ended Mar. 31, 2012:¥ 0 million(2) Financial Position
Equity Ratio(%)

Net Assets per Shareof Capital Stock (Yen)¥81,216
90,595

34.3%

36.7

¥339.61
379.44

Operating
Activities

Investing
Activities

Financing
Activities

Cash and Cash Equivalents,
End of Period¥ (15,319)¥ (5,767)¥ 21,533¥38,026

11,278(4,162)(9,467)35,631

Total Assets

Net Assets¥235,022
245,381Mar. 31, 2013
Mar. 31, 2012
Note: Equity
As of Mar. 31, 2013:
As of Mar. 31, 2012:¥ 80,610 million¥ 90,068 million(3) Cash Flows

Fiscal year ended
Mar. 31, 2013
Fiscal year ended
Mar. 31, 20121

Consolidated

Dainippon Screen Mfg. Co., Ltd.

CASH DIVIDENDS
Cash Dividends per Share

Record date

Total
Dividends(Annual)Payout Ratio(Consolidated)

Ratio of Net
Assetsto Dividends(Consolidated)

First Quarterend

SecondQuarter-end

Third Quarterend

Year-end

Annual

—

—

—

¥5.00

¥5.00

¥ 1,186

25.6%

1.3%

—

—

—

0.00

0.00

－

－

－

—

—

—

3.00

3.00

Fiscal year ended
Mar. 31, 2012
Fiscal year ended
Mar. 31, 2013
Fiscal year ending
Mar. 31, 2014 (Forecast)(millions of yen)

17.8

FORECAST OF BUSINESS RESULTS FOR FISCAL YEAR ENDING MARCH 31, 2014
(Millions of yen, except per share figures)(Percentage are the rate of increase or decrease from the previous corresponding period.)

Six months period ending
Sept. 30, 2013
Fiscal year ending
Mar. 31, 2014

Net Sales

Percentage Change¥ 102,000

6.4 %

204,000¥ 2,100

—

5,500

—

Net Income%

Percentage Change¥ 2,500

—

6,500

—

7.4

Ordinary Income Percentage Change
Six months period ending
Sept. 30, 2013
Fiscal year ending
Mar. 31, 2014

Operating Income

Percentage Change¥ 1,500

—

4,000

—

%

%

Net Income per Share(Yen)¥ 6.3216.85

OTHERS(1) Changes in significant consolidated subsidiaries (Changes in specified subsidiaries involving changes in scope of consolidation): No
New Company: Not applicableExclusion: Not applicable(2) Changes of accounting policies, changes in accounting estimates and retrospective restatement
1. Changes of accounting policies accompanied by revision of accounting standard etc.: Yes
2. Changes of accounting policies other than 1: No
3. Changes in accounting estimates: Yes
4. Retrospective restatement: No(Changes of accounting policies)(Changes in depreciation method)
From the first quarter under review, following the revision of the Corporation Tax Act, Dainippon Screen and its consolidated domestic subsidiaries
changed the depreciation method based on the revised Corporation Tax Act for property, plant and equipment acquired on or after April 1, 2012. As aresult of this change, operating loss for the year ended March 31, 2013 decreased by ¥93 million, and ordinary loss and loss before income taxes
decreased by ¥94 million, respectively, compared with amounts that would have been recorded using the previously applied method(3) Number of shares outstanding
1. Number of shares outstanding as of end of period (including treasury stock)
As of Mar. 31, 2013: 253,974,333 shares
As of Mar. 31, 2012: 253,974,333 shares
2. Number of treasury stock as of end of period
As of Mar. 31, 2013: 16,613,829 shares
As of Mar. 31, 2012: 16,605,094 shares
3. Average number of shares outstanding
Fiscal year ended Mar. 31, 2013: 237,364,864 sharesFiscal year ended Mar. 31, 2012:2

237,372,401 shares

Consolidated

Dainippon Screen Mfg. Co., Ltd.

(Reference) Overview of nonconcolidated business performance (APR.1, 2012-MAR. 31, 2013)(Millions of yen, except per share figures)(Percentage are the rate of increase or decrease from the previous fiscal year)(1) Business Results

Fiscal year ended
Mar. 31, 2013
Fiscal year ended
Mar. 31, 2012

Net Sales

Percentage
ChangeOperating Income¥157,214-27.4%¥(7,902)

216,411

0.2

9,451

Net Income
Fiscal year ended
Mar. 31, 2013
Fiscal year ended
Mar. 31, 2012¥(14,028)

1,314

Percentage Change

Percentage
Change

— %

— %

8,539

-60.5

Diluted Net Income per
Share (Yen)¥(59.10)

— %

5.54

-94.9

Percentage
Change¥(6,980)-52.4

Net Income per Share
(Yen)

— %

Ordinary Income—(2) Financial Position

Fiscal year ended
Mar. 31, 2013
Fiscal year ended
Mar. 31, 2012
Note:

EquityAs of Mar. 31, 2013:
As of Mar. 31, 2012:

Total Assets

Net Assets

Equity Ratio(%)

Net Assets per Shareof Capital Stock (Yen)¥212,540¥59,52728.0 %¥250.79

224,431

73,41532.7

309.29¥ 59,527 million¥ 73,415 million*Indication of audit procedure implementation status
This financial report is exempt from audit procedure based upon the Financial Instruments and Exchange Law. It is under the audit procedure process
at the time of disclosure of this report.
*Explanation for appropriate use of forecasts and other notes
The forward-looking statements such as operational forecasts contained in this document are based on the information currently available toDainippon Screen and certain assumptions that are regarded as legitimate. Dainippon Screen does not promise that the forecasts or estimates will be
accurate. Large discrepancies may be seen in the actual results due to various factors.

BUSINESS RESULTS
1. Business Results
Overview
During the fiscal year ended March 31, 2013, the global economy slowed, reflecting a lack of the momentum of recovery
in the U.S. economy due to concerns about fiscal problems, despite signs of recovery in employment and housing markets; asluggish European economy due to regional austerity policies and financial uncertainty as the European debt crisis drags on; anda slowdown in economic growth in China due mainly to sluggish domestic demand as concerns persist about the new
government’s policies and potential risks to the financial system. The Japanese economy continued to face difficulties in the firsthalf of the fiscal year because of the decline in exports caused by economic slowdowns overseas and worsening Japan-China
relations, in addition to the business slump in major electric appliance makers. On the other hand, in the second half of the fiscal
year, the economy showed signs of recovery mainly due to the effects of rising stock prices and the declining yen triggered by
expectations of strategic fiscal stimulus and large-scale monetary easing by the newly elected government.
With regard to overall business conditions surrounding the Dainippon Screen Group’s principal field of operations, many
semiconductor manufacturers significantly cut back on capital investment due to the uncertain economic outlook, as well as a
rapid decline in demand for personal computers because of the accelerating adoption of smartphones and tablets. The LCD panel
industry also faced significant deterioration in its business environment, with panel manufacturers tightening capital investment
in response to the worsening balance of panel supply-demand.
Under these circumstances, the Dainippon Screen Group posted consolidated net sales totaling ¥189,923 million for the
fiscal year ended March 31, 2013, down ¥60,165 million, or 24.1%, from the previous fiscal year. On the earnings front, aplunge in sales resulted in an operating loss of ¥6,986 million, compared with an operating income of ¥13,498 million in theprevious fiscal year, and an ordinary loss of ¥7,205 million, compared with an ordinary income of ¥12,284 million a year before.
As for extraordinary losses, the Dainippon Screen Group posted a loss on valuation of investment securities due to the fall in themarket values of stocks held. In addition, the Group recorded income taxes-deferred (income tax expenses) following a partial
reversal of deferred tax assets. As a result, the Group posted a net loss of ¥13,486 million, compared with a net income of ¥4,637
million in the previous fiscal year.
Furthermore, during the final quarter of the fiscal year ended March 31, 2013, the Group regained profitability for the firsttime in four quarters on the back of rising sales, primarily in the Semiconductor Equipment segment, and strengthened urgent
countermeasures.

3

Consolidated

Dainippon Screen Mfg. Co., Ltd.

Financial Results by Business Segments
Business results by business segment are provided as follows.
The Semiconductor Equipment (SE) segment
In the Semiconductor Equipment segment, looking by product, year-on-year sales of single-wafer cleaning equipment declined only
slightly, while sales of batch-type cleaning equipment decreased greatly as semiconductor manufacturers significantly cut back on
capital investment. By geographical region, while sales to Asian markets increased, domestic sales and sales to the U.S. and European
markets decreased. As a result, net sales in this segment amounted to ¥131,072 million, a decline of 21.8%, year on year. On theearnings front, a plunge in sales as well as a worsening profit ratio due to the change in the product mix and low factory utilization
resulted in an operating loss of ¥5,881 million, compared with an operating income of ¥13,627 million in the previous fiscal year.
The FPD Equipment (FE) segment
In the FPD Equipment segment, the Group faced a decline in sales of production equipment for small- and medium-sizedhigh-definition LCD panels in addition to for large-sized LCD panels. Consequently, net sales in this segment amounted to ¥11,787
million, down 63.9% year on year. On the earnings front, although sales plunged, due to a decrease in the loss on valuation of
inventories and a reduction of fixed costs resulting from the transfer of the R&D department for the alternative energy field, anoperating loss narrowed to ¥860 million, compared with an operating loss of ¥1,216 million in the previous fiscal year.
The Media and Precision Technology (MP) segment
In the Media and Precision Technology segment, sales of graphic arts equipment decreased year on year, reflecting falling sales ofprint on demand (POD) equipment, although sales of computer to plate (CTP) equipment increased year on year and wide-format
sheet-fed inkjet printing systems began to contribute to sales. Sales of printed circuit board (PCB)-related equipment increased year
on year, reflecting rising sales of direct imaging systems. As a result, net sales in this segment amounted to ¥46,323 million, down
5.8% from the previous fiscal year. On the earnings front, due to a decrease in sales, this segment posted an operating income of¥1,474 million, down 36.0% year on year.
Outlook
Regarding future economic conditions, a gradual recovery is expected in the United States supported by the economic effects of the
shale gas revolution and other developments. However, amid uncertainty over the Chinese financial system and the possible
reigniting of the European debt crisis, there are concerns that the global economy will further decline.
With regard to overall business conditions surrounding the Dainippon Screen Group’s principal field of operations, in the
Semiconductor Equipment segment, capital investment in mobile devices is projected to continue. However, demand for personal
computers remains weak and semiconductor manufacturers are expected to remain reluctant about capital investment. In the FPD
Equipment segment, increased demand is expected for small- and medium-sized LCD panels, and capital investment is poised torestart in panels for televisions.
Considering the above, the Group forecasts that sales in the Semiconductor Equipment segment will remain at levels equivalent
to the fiscal year ended March 31, 2013 and sales in the FPD Equipment segment will increase. In the Media and Precision
Technology segment, the Group forecasts increased sales due to the promotion of POD equipment and direct imaging systems for
PCB. On the earnings front, the Group will aim for yearly profitability due to the further strengthening of urgent countermeasures andthe completion of the earnings structure reform plan.
Forecast of the consolidated business result for the fiscal year ending March 31, 2014
(Millions of yen)

The first half ending Sep. 30, 2013 Fiscal year ending Mar. 31, 2014

(For reference) The previous criteria*1(Millions of yen)

The first half ending Sep. 30, 2013 Fiscal year ending Mar. 31, 2014

Net sales

102,000

204,000

95,000204,000

SE

68,000133,000

59,500130,500

FE

9,500

21,00011,00023,500MP

2,400

49,00024,00049,000

Other

500

1,000

500

1,000

Operating income

2,500

6,500

1,000

6,500

Ordinary income

2,100

5,500

600

5,500

Net income

1,500

4,000

0

4,000

*Intersegment transactions have been eliminated.

*1. Since April 1, 2013, and in line with trends in international accounting standards, the criteria used to recognize sales of the equipment in the
Semiconductor Equipment and the FPD Equipment segments have been changed. These had been based on delivery of the equipment. To better reflect thereal earnings situation, they are now based on completed installation of the equipment. With this change, the forecasts for the first half of the fiscal year
ending March 31, 2014 include a part of sales and profit from equipment delivered during the fiscal year ended March 31, 2013, according to accounting
standards requiring retroactive adjustments.
For comparison purposes, the forecasts are also provided utilizing the previous criteria.
*2. The aforementioned forecasts are based on foreign currency exchange rate estimates of US$1.00 = ¥90 and EUR1.00 = ¥120. Business forecasts are also
made in accordance with currently available information and rational assumptions. However, it should be noted that actual results could differ significantly
due to a variety of factors.

4

Consolidated

Dainippon Screen Mfg. Co., Ltd.

2. Financial Position
Assets, Liabilities and Net Assets

Total assets as of March 31, 2013 stood at ¥235,022 million, a decrease of ¥10,358 million, or 4.2%, compared with March 31, 2012.
This was mainly due to a decrease in trade notes and accounts receivable.
Total liabilities amounted to ¥153,806 million, down ¥979 million, or 0.6%, compared with the end of the previous fiscal year.
This was largely due to a decrease in trade notes and accounts payable, despite an increase in short-term loans payable.
Interest-bearing debt increased by ¥22,766 million from March 31, 2012 to ¥70,442 million. Net interest-bearing debt, orinterest-bearing debt minus cash and time deposits, increased by ¥20,008 million, compared with the previous fiscal year-end, to¥30,021 million.
Total net assets amounted to ¥81,216 million, down ¥9,379 million, or 10.4%, from March 31, 2012. This was mainly attributable
to a decrease in retained earnings due to the payment of cash dividends and posting of a net loss for the year, although the valuationdifference on available-for-sale securities and foreign currency translation adjustment each increased, due to the effects from declining
yen values and the rising market values of stocks held.
As a result, the equity ratio as of the end of the fiscal year under review came to 34.3%.

Cash FlowsThe status of cash flows during the fiscal year ended March 31, 2013 is as follows.

Cash Flows from Operating Activities
Net cash used in operating activities amounted to ¥15,319 million, compared with ¥11,278 million provided by operating activities in
the previous fiscal year. This was attributable to the posting of a net loss before income taxes, a decrease in trade notes and accounts
payable, and other cash outflows outpacing such cash inflows as a decrease in trade notes and accounts receivable and depreciation
and amortization. In the fourth quarter of the fiscal year under review, net cash provided by operating activities amounted to ¥4,412
million due to the posting of a quarterly net income before income taxes.
Cash Flows from Investing Activities
Net cash used in investing activities amounted to ¥5,767 million, compared with ¥4,162 million used in investing activities in theprevious fiscal year. This was mainly due to the purchase of property, plant and equipment, such as equipment for R&D.
Cash Flows from Financing Activities
Net cash provided by financing activities amounted to ¥21,533 million, compared with ¥9,467 million used in financing activities ayear ago. This was mainly due to the payment of cash dividends and posting of a net loss for the year resulting in lower retained
earnings, although the valuation difference on available-for-sale securities increased with the rising market values of stocks held andforeign currency translation adjustment increased due to the effects from declining yen values.
As a result, cash and cash equivalents as of March 31, 2013 totaled ¥38,026 million, up ¥2,394 million from March 31, 2012.

Cash Flow Benchmarks
Fiscal year ended Fiscal year ended Fiscal year ended Fiscal year ended Fiscal year ended
Mar. 31, 2009
Mar. 31, 2010
Mar. 31, 2011
Mar. 31, 2012
Mar. 31, 2013
Equity ratio (%)
Equity ratio(market capitalization basis) (%)
Debt repayment period (years)
Interest coverage ratio (times)

28.1

29.8

34.4

36.7

34.3

16.0

47.9

81.8

72.1

43.8

—
—

3.1
10.4

1.6
18.9

4.2
7.5

—
—

Notes:
Equity ratio = Equity / total assets
Equity ratio (market capitalization basis) = Market capitalization / total assets
Debt repayment period = Interest-bearing debt / operating cash flow
Interest coverage ratio = Operating cash flow / interest payments
1. Figures are calculated using consolidated financial results.
2. Market capitalization is calculated by multiplying the closing price at the end of the fiscal year by the number of shares outstanding at fiscal
year-end (excluding treasury stock)
3. Operating cash flow uses cash flow from operating activities as stated on the consolidated statements of cash flows.
4. Interest-bearing debt comprises all liabilities recorded on the balance sheet for which interest is paid. Interest payments use interest expenses
paid as stated on the consolidated statements of cash flows.

3. Basic Policy Regarding Appropriation of Profits, Cash Dividends for the Fiscal Year under Review and Cash Dividend Forecast for
the Fiscal Year Ending March 31, 2014
Taking into consideration the needs of a broad stakeholder base that includes shareholders, customers, business partners andemployees, the Dainippon Screen Group has positioned the return of an adequate level of profits as a key management priority.
However, because of a large amount of losses recorded, it is with sincere regret that a fiscal year-end cash dividend will not be
distributed for the fiscal year ended March 31, 2013.
Moreover, Dainippon Screen currently anticipates a fiscal year-end cash dividend forecast of ¥3.00 per share for the fiscal year
ending March 31, 2014 based on earnings forecasts and its financial position during the current fiscal year.

5

Consolidated

Dainippon Screen Mfg. Co., Ltd.

CONSOLIDATED BALANCE SHEETS(Millions of yen)Mar. 31,2012

Mar. 31,2013

Total current assets¥37,662
72,94928,17523,381
5,561
7,213
3,724
(1,125)
177,543¥ 40,420
57,42028,02625,549
5,874
3,984
3,906
(935)
164,246

Noncurrent assets:
Property, plant and equipment:
Buildings and structures
Accumulated depreciation
Buildings and structures (Net)
Machinery, equipment and vehicles
Accumulated depreciation
Machinery, equipment and vehicles (Net)Land
Lease assets
Accumulated depreciation
Lease assets (Net)Construction in progress
Other
Accumulated depreciation
Other (Net)
Total property, plant and equipment

50,928(34,642)
16,28629,282(23,502)
5,780
9,741
7,389
(3,574)
3,815
1,558
9,959
(8,471)
1,487
38,66951,586(35,920)
15,66533,315(24,972)
8,343
9,811
6,293
(3,044)
3,248
1,260
10,471(8,899)1,572
39,902

Total intangible assets

479
1,665
2,145

271
2,353
2,624

Investments and other assets:
Investment securities
Long-term loans receivable
Deferred tax assets
Other
Allowance for doubtful accounts
Total investments and other assets
Total noncurrent assets
Total assets

21,14758
587
6,700(1,469)27,024
67,838245,381

21,83644364
7,059(1,054)28,24970,776
235,022ASSETS
Current assets:
Cash and time deposits
Notes and accounts receivable-trade
Merchandise and finished goods
Work in process
Raw materials and supplies
Deferred tax assets
Other
Allowance for doubtful accounts

Intangible assets:
Lease assets
Other

6

Consolidated

Dainippon Screen Mfg. Co., Ltd.

CONSOLIDATED BALANCE SHEETS(Millions of yen)Mar. 31,2012

Mar. 31,2013¥ 81,458
8,049
1,649
7,000
1,347
1,586
606
58
5,522
246
15,698123,223¥ 60,751
33,783
3,349
—
732
843
112
39
4,940
132
13,597
118,284

Total liabilities

19,000
6,988
3,641
834
315
109
48
624
31,562
154,786

19,00010,642
2,934
2,148
151
78
48
517
35,521
153,806

Total shareholders’ equity

54,044
4,583
55,439(12,240)
101,82754,044
4,583
40,766(12,245)
87,1491,385(13,144)(11,758)
527
90,595245,3812,716(9,255)(6,539)605
81,216
235,022

LIABILITIESCurrent liabilities:
Notes and accounts payable-trade
Short-term loans payable
Current portion of long-term loans payable
Current portion of bonds payable
Lease obligations
Income taxes payable
Notes payable-facilities
Provision for directors' bonuses
Provision for product warranties
Provision for loss on order received
Other
Total current liabilities
Noncurrent liabilities:
Bonds payable
Long-term loans payable
Lease obligations
Deferred tax liabilities
Provision for retirement benefits
Provision for directors' retirement benefits
Asset retirement obligations
Other
Total noncurrent liabilities

NET ASSETS
Shareholders’ equity:
Capital stock
Capital surplus
Retained earnings
Treasury stock
Accumulated other comprehensive income
Valuation difference on available-for-sale securities
Foreign currency translation adjustments
Total accumulated other comprehensive income
Minority interests
Total net assets
Total liabilities and net assets

7

Consolidated

Dainippon Screen Mfg. Co., Ltd.

CONSOLIDATED STATEMENTS OF INCOME(Millions of yen)

Apr.1, 2011- Mar.31, 2012

Apr.1, 2012- Mar.31, 2013

¥ 250,089
187,324
62,76549,266
13,498¥ 189,923
150,072
39,851
46,838(6,986)

123
384
0
101
198
124
657
1,589

117
384
—
303
239
156
358
1,559

1,496
299
330
676
2,802
12,284

1,048
63
112
553
1,778
(7,205)

Total extraordinary income

38
38

352
352

Extraordinary loss
Loss on valuation of investment securities
Impairment loss
Provision of allowance for doubtful accounts
Loss on disaster
Other
Total extraordinary loss

830
2,866
1,323
18
7
5,045

775
—
—
—
0
776

7,277
2,041
541
2,582
4,695
57
4,637

(7,629)
1,534
4,265
5,800
(13,429)56(13,486)

Net sales
Cost of sales
Gross profit
Selling, general and administrative expenses
Operating income (loss)
Non-operating income
Interest income
Dividends income
Equity in earnings of affiliates
Insurance income
House rent income
Subsidy income
Other
Total non-operating income
Non-operating expenses
Interest expenses
Foreign exchange losses
Sales discounts
Other
Total non-operating expenses
Ordinary income (loss)
Extraordinary income
Gain on sales of investment securities

Income (loss) before income taxes
Income taxes
Income taxes-deferred
Total income taxes
Income (loss) before minority interests
Minority interests in income
Net income (loss)

8

Consolidated

Dainippon Screen Mfg. Co., Ltd.

CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME(Millions of yen)

Apr.1, 2011- Mar.31, 2012¥

Income (loss) before minority interests
Other comprehensive income
Valuation difference on available-for-sale securities
Deferred gains or losses on hedges
Foreign currency translation adjustments
Total other comprehensive income
Comprehensive income(Comprehensive income attributable to)
Owners of the parent
Minority interests

9

Apr.1, 2012- Mar.31, 2013

4,695

¥ (13,429)

41
41
(586)
(503)
4,191

1,330
—
3,915
5,246
(8,183)4,141
50(8,266)83

Consolidated

Dainippon Screen Mfg. Co., Ltd.

CONSOLIDATED STATEMENTS OF SHAREHOLDERS’ EQUITY(Millions of yen)

Apr.1, 2011- Mar.31, 2012

Apr.1, 2012- Mar.31, 2013

¥ 54,044¥ 54,044—
54,044—54,04430,154

4,583(25,571)(0)(25,571)
4,583

—
—
—
4,583

26,41855,43925,571(1,186)
4,637
29,02155,439—(1,186)(13,486)(14,673)
40,766(12,236)(12,240)(4)
0(4)(12,240)(4)—(4)(12,245)

98,381

101,827—(1,186)
4,637
(4)
0
3,445
101,827—(1,186)(13,486)(4)—(14,677)
87,149

Shareholders’ equity
Capital stock
Balance, as of beginning of current period
Increase (decrease) during the period
Total changes during the period
Balance, as of end of current period
Capital surplus
Balance, as of beginning of current period
Increase (decrease) during the period
Transfer to retained earnings from capital surplus
Surplus from sale of treasury stock
Total changes during the period
Balance, as of end of current period
Retained earnings
Balance, as of beginning of current period
Increase (decrease) during the period
Transfer to retained earnings from capital surplus
Dividends from surplus
Net income (loss)
Total changes during the period
Balance, as of end of current period
Treasury stock
Balance, as of beginning of current period
Increase (decrease) during the period
Acquisition of treasury stock
Surplus from sale of treasury stock
Total changes during the period
Balance, as of end of current period
Total shareholders’ equity
Balance, as of beginning of current period
Increase (decrease) during the period
Transfer to retained earnings from capital surplus
Dividends from surplus
Net income (loss)
Acquisition of treasury stock
Surplus from sale of treasury stock
Total changes during the period
Balance, as of end of current period

10

Consolidated

Dainippon Screen Mfg. Co., Ltd.

CONSOLIDATED STATEMENTS OF SHAREHOLDERS’ EQUITY(Millions of yen)

Apr.1, 2011- Mar.31, 2012

Apr.1, 2012- Mar.31, 2013

Accumulated other comprehensive income
Valuation difference on available-for-sale securities
Balance, as of beginning of current period
Increase(decrease) during the period
Net increase (decrease) during the period,
except for items under shareholders' equity
Total changes during the period
Balance, as of end of current period
Deferred gains or losses on hedges
Balance, as of beginning of current period
Increase(decrease) during the period
Net increase (decrease) during the period,
except for items under shareholders' equity
Total changes during the period
Balance, as of end of current period
Foreign currency translation adjustments
Balance, as of beginning of current period
Increase(decrease) during the period
Net increase (decrease) during the period,
except for items under shareholders' equity
Total changes during the period
Balance, as of end of current period
Total accumulated other comprehensive income
Balance, as of beginning of current period
Increase(decrease) during the period
Net increase (decrease) during the period,
except for items under shareholders' equity
Total changes during the period
Balance, as of end of current period
Minority interests
Balance, as of beginning of current period
Increase(decrease) during the period
Net increase (decrease) during the period,
except for items under shareholders' equity
Total changes during the period
Balance, as of end of current period¥ 1,344¥ 1,385

41

1,330

41
1,385

1,330
2,716

(41)

—

41

—

41
—

—
—

(12,566)(13,144)

(578)

3,889

(578)
(13,144)3,889(9,255)(11,263)(11,758)

(495)

5,219

(495)
(11,758)

5,219(6,539)

482

527

45

78

45
527

78
605

87,60090,595—(1,186)
4,637
(4)
0

—
(1,186)(13,486)
(4)
—

(450)

5,298

2,995
90,595(9,379)81,216

Total net assets
Balance, as of beginning of current period
Increase(decrease) during the period
Transfer to retained earnings from capital surplus
Dividends from surplus
Net income (loss)
Acquisition of treasury stock
Surplus from sale of treasury stock
Net increase (decrease) during the period,
except for items under shareholders' equity
Total changes during the period
Balance, as of end of current period

11

Consolidated

Dainippon Screen Mfg. Co., Ltd.

CONSOLIDATED STATEMENTS OF CASH FLOWS(Millions of yen)

Apr.1, 2011- Mar.31, 2012

Apr.1, 2012- Mar.31, 2013

Cash flow from operating activities:¥

Income (loss) before income taxes
Depreciation and amortization
Impairment loss
Loss (gain) on valuation of investment securities
Loss (gain) on sales of investment securities
Increase (decrease) in provision for retirement benefits
Increase (decrease) in provision for directors' bonuses
Increase (decrease) in provision for product warranties
Increase (decrease) in provision for loss on order received
Interest and dividends income
Interest expenses
Decrease (increase) in notes and accounts receivable-trade
Decrease (increase) in inventories
Decrease (increase) in other current assets
Increase (decrease) in notes and accounts payable-trade
Increase (decrease) in accrued expenses
Increase (decrease) in other current liabilities
Other, net
SubtotalInterest and dividends income received
Interest expenses paid
Contribution in connection with the shift to a definedcontribution pension plan
Income taxes paid
Net cash provided by (used in) operating activities

12

7,277
4,985
2,866
830
(36)
35
(9)
(534)
(89)
(507)
1,496
(1,834)
3,033
626
(604)
(634)
(2,102)(477)
14,319498(1,495)¥(7,629)
4,731
—
775
(352)
(163)
(18)
(639)
(114)
(501)
1,048
15,161(923)
135(21,144)(399)(1,579)(666)(12,279)496(1,044)

(55)

(18)

(1,988)
11,278(2,474)(15,319)

Consolidated

Dainippon Screen Mfg. Co., Ltd.

CONSOLIDATED STATEMENTS OF CASH FLOWS(Millions of yen)

Apr.1, 2011- Mar.31, 2012

Apr.1, 2012- Mar.31, 2013

Cash flow from investing activities:

Decrease (increase) in time deposits
Purchase of property, plant and equipment
Proceeds from sales of property, plant and equipment
Purchase of investment securities
Proceeds from sales of investment securities
Purchase of investments in subsidiaries resulting
in change in scope of consolidation
Other, net
Net cash used in investing activities

¥

(489)
(4,491)
1,855
(13)
125

¥

(23)
(6,036)
364
(84)
946

(313)

—

(835)
(4,162)(934)(5,767)

7,546
5,000
(35,227)(1,985)18,895(2,500)(4)(1,186)(4)(9,467)25,7257,000(1,645)(1,350)—(7,000)(4)(1,186)(4)
21,533(400)(2,751)38,38335,631

1,949
2,394
35,631
38,026

Cash flow from financing activities:

Net increase (decrease) in short-term loans payable
Proceeds from long-term loans payable
Repayments of long-term loans payable
Repayments of finance lease obligations
Proceeds from issuance of bonds
Redemption of bonds
Net decrease (increase) in treasury stock
Cash dividends paid
Cash dividends paid to minority shareholders
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

13

Consolidated

Dainippon Screen Mfg. Co., Ltd.

SEGMENT INFORMATION[Segment Information]
1. Segment Overview(1) Calculation Method for Reportable Segments
The Dainippon Screen Group’s reportable segments are the business units for which the Company is able to obtain respective financial
information separately in order for the Board of Directors to conduct periodic investigations to determine distribution of management
resources and evaluate their business results.
The Dainippon Screen Group adopts an internal company system where each internal company develops business activities andestablishes its own comprehensive strategy, for both Japan and overseas markets, in accordance with the products it handles.
Consequently, the Dainippon Screen Group has created three business segments for reporting—“Semiconductor Equipment,” “FPD
Equipment” and “Media and Precision Technology”—categorized by products based on respective internal companies.
(2) Products and Services of Reportable Segments
The Semiconductor Equipment (SE) segment develops and manufactures semiconductor production equipment and conducts sales andmaintenance services. The FPD Equipment (FE) segment develops, manufactures, and markets FPD production equipment, and it also
conducts maintenance services. In the Media and Precision Technology (MP) segment, graphic arts equipment and PCB related
equipment are developed, manufactured, sold and maintained.

2. Measurement of Net Sales, Income (loss), Assets and Other in Reportable Segment
Income for each reportable segment is the amounts based on operating income.
Intersegment revenues and transfers are based on market prices.

3. Net Sales, Income (loss), Assets and Other in Reportable Segment
Fiscal year ended March 31, 2012

(Millions of yen)

Reportable segment
FE
MP

SE
Sales
(1)Sales to outside
customers(2)Intersegment
sales andtransfers
Total
Segment income (loss)
Segment assets
Other
Depreciation andamortization
Increase in the amount oftangible fixed assets andintangible fixed assets

Total

Other
*1

Total

Adjustments Consolidated*3*2¥ 167,593¥ 32,611¥ 49,163¥ 249,368¥ 721¥ 250,089—¥ 250,089

—

—

—

—

8,656

8,656

(8,656)—

167,593
13,627
133,926

32,611(1,216)
15,662

49,1632,305
41,225249,368
14,716
190,814

9,377
3
4,763

258,746
14,719195,577(8,656)(1,221)49,803250,089
13,498245,381

3,204

328

310

3,843

111

3,955

1,030

4,985

2,951

447

1,041

4,440

114

4,554

2,792

7,346

Notes
*1 The “Other” category incorporates operations not included in reportable segments, including software development, planning and production of printed matter,logistics operations and other businesses.
*2 Segment operating income (loss) adjustment of ¥ (1,221) million is the corporate expense not apportioned in each reportable segment. Corporate expense mainlycomprises the headquarters’ general and administrative expenses not usually attributed to segments.
Segment assets adjustment of ¥49,803 million is the corporate assets not apportioned in each reportable segment. Corporate assets mainly comprise theadministrative assets not usually attributed to segments.
*3 Segment income (loss) is adjusted with operating income under consolidated statements of income.

14

Consolidated

Dainippon Screen Mfg. Co., Ltd.

SEGMENT INFORMATION
Fiscal year ended March 31, 2013

(Millions of yen)

Reportable segment
FE
MP

SE
Sales
(1)Sales to outside
customers(2)Intersegment
sales andtransfers
Total
Segment income (loss)
Segment assets
Other
Depreciation andamortization
Increase in the amount oftangible fixed assets andintangible fixed assets

Total

Other
*1

Total

Adjustments Consolidated*3*2¥ 131,072¥ 11,787¥ 46,323¥ 189,184¥ 739¥ 189,923—¥ 189,923

—

—

—

—

7,308

7,308

(7,308)—131,072(5,881)
119,748

11,787(860)
14,02646,323
1,474
46,652

189,184(5,267)
180,427

8,048
(158)
4,043

197,232(5,425)
184,470(7,308)(1,560)50,552

189,923(6,986)
235,022

2,969

78

406

3,455

103

3,558

1,172

4,731

4,238

132

898

5,269

154

5,423

1,026

6,450

Notes
*1 The “Other” category incorporates operations not included in reportable segments, including software development, planning and production of printed matter,logistics operations and other businesses.
*2 Segment operating income (loss) adjustment of ¥ (1,560) million is the corporate expense not apportioned in each reportable segment. Corporate expense mainlycomprises the headquarters’ general and administrative expenses not usually attributed to segments.
Segment assets adjustment of ¥50,552 million is the corporate assets not apportioned in each reportable segment. Corporate assets mainly comprise theadministrative assets not usually attributed to segments.
*3 Segment income (loss) is adjusted with operating loss under consolidated statements of income.

15

Consolidated

Dainippon Screen Mfg. Co., Ltd.

Consolidated Financial Highlights for the Fiscal Year Ended Mar. 31, 2013
(Figures less than one million yen have been omitted and other figures have been rounded.)

Net sales
Operating income[to net sales ratio]
Ordinary income[to net sales ratio]
Net income[to net sales ratio]
Total assets
Net assets
EquityEquity ratio
Net assets per share
Interest-bearing debt
Net interest-bearing debt
Return on equity
Cash flow from operating activities
Cash flow from investing activities
Cash flow from financing activities
Depreciation and amortization
Capital expenditures
R&D expenses
Number of employees
Number of consolidated subsidiaries[Domestic][Overseas]
Number of affiliates[Number of affiliates accounted
for by equity method]

FY2012
12months ended
Mar.31, 2012

FY2013
12months ended
Mar. 31, 2013

ResultResultAmount¥ 250,089¥ 189,923
13,498(6,986)
5.4 %-3.7 %
12,284(7,205)4.9 %-3.8 %
4,637(13,486)
1.9 %-7.1 %
245,381
235,022
90,595
81,21690,06880,61036.7 %
34.3 %¥ 379.44¥ 339.61
47,67670,442
10,01330,0215.2 %-15.8 %
11,278(15,319)(4,162)(5,767)(9,467)
21,533
4,985
4,731
7,346
6,450
13,888
12,685
4,890
4,954
44
45
[20]
[21]

FY2014
6months ending 12months ending
Sept. 30, 2013 Mar.31, 2014

Difference
Percentage¥ (60,165)(20,484)-9.1 pt(19,490)-8.7 pt(18,123)-9.0 pt(10,358)(9,379)(9,457)-2.4 pt¥ (39.83)
22,76620,008-21.0 pt
―
―
―
(254)
(896)
(1,203)641[1]-24.1%
―
―
―
―
―
―
-4.2%
-10.4%-10.5%―-10.5%
47.8%
199.8%―

Forecast
102,000

Forecast
204,000

2,500

6,500

2.5 %
2,100

3.2 %
5,500

2.1 %
1,500

2.7 %
4,000

1.5 %

2.0 %

―

―

―

―

―

―

―

―

―

―

―

―

―

―

―

―

―

―

―

―

―

―

―

―

―

-5.1%
-12.2%
-8.7%
1.3%
―
―

2,100

4,500

3,200

6,200

5,600

11,500

―

―

―

―

―

―

[24]

[24]

―

―

―

―

1

1

―

―

―

―

[1]

[1]

―

―

―

―

16

Consolidated

Dainippon Screen Mfg. Co., Ltd.Mfg. Co., Ltd

Sales Breakdown (Consolidated)
FY2012(Millions of yen)
FY2014FY20136 months ended 12 months ended 3 months ended 3 months ended 6 months ended 3 months ended 3 months ended 12 months ended 6 months ending 12 months ending

Sept. 30, 2011 Mar.31, 2012 Jun. 30, 2012 Sept. 30, 2012 Sept. 30, 2012 Dec. 31, 2012 Mar. 31, 2013 Mar.31, 2013 Sep. 30, 2013 Mar.31, 2014
ResultSemiconductor
Equipment

Domestic
Overseas
Total

FPD Equipment

Domestic
Overseas
Total

Media and Precision
Technology

Domestic
Overseas
Total

Graphic Arts
Equipment
PCB
Equipment

Other

Domestic
Overseas
Total
Domestic
Overseas
Total
Domestic
Overseas
Total

Grand Total

Domestic
Overseas
Total
Overseas
Ratio

ResultResult(*)Result(*)Result(*)Result

ResultResultForecast

Forecast

21,82762,59084,41832,387135,206
167,593

2,771
31,96034,731

5,360
28,43433,7958,13160,394
68,5262,441
16,00518,4478,331
35,76844,09918,904112,168
131,072──
68,000──133,000

2,577
11,827
14,404

8,908
23,702
32,611

272
1,627
1,900

1,852
750
2,602

2,125
2,377
4,503

1,219
958
2,177

4,478
628
5,106

7,822
3,964
11,787

─
─
9,500

─
─
21,0009,526
14,34723,874
8,136
12,84020,977
1,389
1,507
2,896

20,142
29,021
49,163
16,911
26,651
43,563
3,230
2,369
5,600

4,355
5,621
9,977
3,939
5,027
8,967
416
593
1,009

5,627
6,918
12,546
4,724
5,986
10,711
903
932
1,835

9,983
12,54022,524
8,664
11,014
19,678
1,319
1,525
2,845

3,604
5,466
9,070
3,222
4,903
8,125
381
562
944

6,296
8,432
14,7295,527
6,863
12,391
769
1,568
2,337

19,884
26,43946,323
17,41422,78240,196
2,470
3,657
6,127

─
─
24,000──20,400
─
─
3,600

─
─
49,000──41,800
─
─
7,200

313
11
324

697
23
721

137
8
145

148
6
154

285
14
300

160
─
160

246
32
279

692
47
739

─
─
500

─
─
1,000

34,244
88,776
123,02162,135
187,954250,089

7,536
39,21746,754

12,98936,10949,09920,52675,327
95,853

7,425
22,42929,855

19,352
44,86164,21447,304
142,619
189,923──
102,000──
204,000

72.2%

75.2%

83.9%

73.5%

78.6%

75.1%

69.9%

75.1%

─

─

(*) A breakdown for domestic and oversaes in Semiconductor Equipment was revised.
Orders received & Order backlog (Consolidated)(Millions of yen)

FY2012FY20133 months ended Mar. 31, 2012 3 months ended Jun. 30, 2012 3 months ended Sept. 30, 2012 3 months ended Dec. 31, 2012 3 months ended Mar. 31, 2013

Semiconductor
Equipment

Domestic
Overseas
Total

FPD Equipment

Domestic
Overseas
Total

Media and Precision
Technology

Domestic
Overseas
Total

Graphic Arts
Equipment
PCB
Equipment

Other

Domestic
Overseas
Total
Domestic
Overseas
Total
Domestic
Overseas
Total

Grand Total

Domestic
Overseas
Total
Overseas
Ratio(*)Ordersreceived(*)Ordersreceived

Order backlog

Orders received

Order backlog

5,374
23,63729,011

7,689
45,35753,045

4,649
30,38235,030

4,006
39,97043,976

5,697
3,378
9,074

1,157
7,290
8,447

5,634
9,709
15,343

471
1,863
2,334

1,626
10,944
12,571

5,398
5,136
10,533
4,340
4,930
9,270
1,058
206
1,264

963
2,700
3,663
716
2,426
3,142
247
274
521

4,005
6,881
10,886
3,363
5,648
9,011
642
1233
1,875

1,363
4,115
5,479
856
3,170
4,027
507
945
1,452

6,240
7,202
13,442
5,891
6,021
11,912
348
1,181
1,530

1,306
2,885
4,191
1,220
2,327
3,547
86
558
644

―
―
―

―
―
―

―
―
―

―
―
―

―
―
―

―
―
―

―
―
―

10,526
51,616
62,142

13,732
28,29042,022

11,41743,802
55,21910,53537,80948,344

14,68659,18173,867

11,35939,44750,806

6,939
53,79960,738

83.1%

67.3%

79.3%

78.2%

80.1%

77.6%

88.6%

Order backlog

Orders received

Order backlog

Orders received

Order backlog

2,170
27,091
29,2605,983
41,27447,256

3,813
34,46838,281

7,025
43,78250,807

3,093
22,37825,4704,757
37,72542,482

1,110
-482
628

1,887
4,565
6,452

693
414
1,107

2,308
3,351
5,659

5,241
777
6,018

6,350
6,753
13,103
5,126
6,709
11,834
1,224
45
1,269

1,100
3,309
4,409
981
3,030
4,012
119
279
397

4,449
6,796
11,245
4,059
5,480
9,539
389
1,316
1,705

1,193
4,483
5,676
1,101
3,483
4,583
92
1000
1,093

―
―
―

―
―
―

―
―
―

9,630
33,362
42,992

8,970
49,148
58,118

8,955
41,67750,633

77.6%

84.6%

82.3%

(*) A breakdown for domestic and oversaes in Semiconductor Equipment was revised.

17

Consolidated