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

Summary of Consolidated Financial Results
for the Nine Months Ended December 31, 2017
(Based on Japanese GAAP)
February 9, 2018
Company name:KENKO Mayonnaise Co., Ltd.
Stock exchange listing: Tokyo
Stock code:
Representative:

2915
President

URL http://www.kenkomayo.co.jp
Takashi Sumii

Inquiries:

Executive Officer and General Manager
Corporate Planning OfficeAtsushi Kyogoku

TEL

Scheduled date to file Quarterly Securities Report:
Scheduled date to commence dividend payments:

February 13, 2018

Preparation of supplementary material on quarterly financial results:
Holding of quarterly financial results meeting:NoNo

03-5318-7530(Amounts less than one million yen are rounded down)
1. Consolidated financial results for the nine months ended December 31, 2017 (from April 1, 2017 to December 31, 2017)(1) Consolidated operating results (cumulative)
Net sales
Nine months ended December 31, 2017
Nine months ended December 31, 2016

Millions of yen
55,88554,376Percentages indicate year-on-year changes
Profit attributable toOperating profit
Ordinary profit
owners of parent% Millions of yen% Millions of yen% Millions of yen%
2.8
3,405
(3.5)
3,444
(3.2)
2,393(5.1)
7.7
3,527
24.5
3,559
26.6
2,521
15.2

Earnings per share

Diluted earnings per shareYen
145.24177.45

Nine months ended December 31, 2017
Nine months ended December 31, 2016

Yen(2) Consolidated financial position
Total assets

Net assets

Millions of yen
62,47251,442As of December 31, 2017
As of March 31, 2017

Equity ratio

Millions of yen
30,56328,456

%
48.9
55.3

2. Cash dividends
Annual dividends per share
1st quarter-end

2nd quarter-end

3rd quarter-end

Fiscal year-end

Yen

Yen
14.00
18.00

Yen

Yen
23.00

Yen
37.00

19.00

37.00

Year ended March 31, 2017
Year ending March 31, 2018Year ending March 31, 2018 (Forecast)Total

3. Forecast of consolidated financial results for the year ending March 31, 2018 (from April 1, 2017 to March 31, 2018)

Net sales

Full year

Millions of yen
72,700Percentages indicate year-on-year changes
Profit attributable toOperating profit
Ordinary profit
Earnings per shareowners of parent% Millions of yen% Millions of yen% Millions of yen%
Yen
2.7
4,080
2.3
4,100
2.1
2,870
0.1
174.201

4. Notes(1) Changes in significant subsidiaries during the nine months ended December 31, 2017(changes in specified subsidiaries resulting in the change in scope of consolidation):No(2) Application of special accounting methods for preparing quarterly consolidated financial statements:

Yes(3) Changes in accounting policies, changes in accounting estimates, and restatement of prior period financial statements
Changes in accounting policies due to revisions to accounting standards and other regulations:
Changes in accounting policies due to other reasons:

No
No

Changes in accounting estimates:
Restatement of prior period financial statements:

NoNo(4) Number of issued shares (common shares)
Total number of issued shares at the end of the period (including treasury shares)
As of December 31, 201716,476,000 shares As of March 31, 201716,476,000 shares

Number of treasury shares at the end of the period
As of December 31, 2017352 shares As of March 31, 2017273 shares

Average number of shares during the period (cumulative from the beginning of the fiscal year)
Nine months ended December 31, 201716,475,706 shares Nine months ended December 31, 2016

2

14,210,769 shares

Quarterly consolidated financial statements
Consolidated balance sheets(Millions of yen)
As of March 31, 2017

As of December 31, 2017

AssetsCurrent assets
Cash and deposits
Notes and accounts receivable - trade

13,77911,436

14,70014,908Merchandise and finished goods
Work in process

1,881
17

1,722
10

Raw materials and supplies
Deferred tax assets

919
350

1,219
341

Other
Allowance for doubtful accounts

813
(2)

236
(0)

29,19633,139Buildings and structures, net
Machinery, equipment and vehicles, net

5,461
6,653

5,156
5,986

Land

5,968

5,968

8

7,794

377

345

18,46925,250Total intangible assets
Investments and other assets

268

215

Deferred tax assets
Other

398
3,148

290
3,613

(40)

(36)

Total current assets
Non-current assets
Property, plant and equipment

Construction in progress
Other, net
Total property, plant and equipment
Intangible assets

Allowance for doubtful accounts
Total investments and other assets
Total non-current assets
Total assets

33,506

3,867

22,24529,33351,44262,472

(Millions of yen)
As of March 31, 2017

As of December 31, 2017

Liabilities
Current liabilities
Notes and accounts payable - trade

8,751

10,756

Electronically recorded obligations - operating
Current portion of long-term loans payable

920

1,008
1,180

Income taxes payable
Other provision

909
460

563
409

Other5,445

5,912

Total current liabilities16,487

19,830Long-term loans payable
Net defined benefit liability

1,489
443

7,410
400

Other provision
Other934
3,630

961
3,307

Non-current liabilities

Total non-current liabilities

6,498

12,07822,98531,909

Shareholders' equity
Capital stock

5,424

5,424

Capital surplus
Retained earnings

5,691
16,688

5,691
18,405(0)(0)

27,80329,520

Valuation difference on available-for-sale securities
Foreign currency translation adjustment
Remeasurements of defined benefit plans

798
9(155)

1,152
2(112)

Total accumulated other comprehensive income

652

1,042

28,45630,56351,44262,472

Total liabilities
Net assets

Treasury shares
Total shareholders' equity
Accumulated other comprehensive income

Total net assets
Total liabilities and net assets

4Consolidated statements of income (cumulative) and consolidated statements of comprehensive income(cumulative)
Consolidated statements of income (cumulative)(Millions of yen)
Nine months ended

Nine months ended

December 31, 2016

December 31, 2017

Net sales
Cost of sales

54,37640,03555,88541,309Gross profit

14,341

14,576Selling, general and administrative expenses

10,813

11,171

Operating profit

3,527

3,405

030031Non-operating income
Interest income
Dividend income
Other

7976

Total non-operating income

110

107

Interest expenses
Share of loss of entities accounted for using equity method

41
2150
12

Other

167

Total non-operating expenses

78

69

3,559

3,444

2161

Non-operating expenses

Ordinary profit
Extraordinary income
Subsidy income
Gain on donation of non-current assets
Reversal of provision on retirement of non-current assets

730

Other

00

Total extraordinary income5961

1375
1

Extraordinary losses
Loss on retirement of non-current assets
Impairment loss
Other526

7

Profit before income taxes

Total extraordinary losses

3,592

3,498

Income taxes - current

1,066

1,127

Income taxes - deferred3(22)Total income taxes

1,070

1,105

Profit

2,521

2,393

Profit attributable to owners of parent

2,521

2,393

5

Consolidated statements of comprehensive income (cumulative)(Millions of yen)
Nine months ended

Nine months ended

December 31, 2016
ProfitOther comprehensive income

December 31, 2017

2,5212,393

Valuation difference on available-for-sale securities
Remeasurements of defined benefit plans, net of tax

8558354
43

Share of other comprehensive income of entities accounted
for using equity method

(27)

(7)

Total other comprehensive income
Comprehensive income

116

389

2,638

2,782

2,638

2,782

Comprehensive income attributable toComprehensive income attributable to owners of parent

6