Summary Report of Consolidated Financial Results
For the Six Months Period ended September 30, 2017
November 9, 2017stCompany name: NIPRO CORPORATION
TSE-1 section
Code No.8086
URL: http://www.nipro.co.jp/
Representative: Yoshihiko Sano, President and Representative Director
Contact person: Takehito Yogo, Director and General Manager of Corporate Planning Headquarters
TEL: (06)6372-2331
Filing date of quarterly reporting: November 14, 2017
Payment date of cash dividends: December 8, 2017
Supplemental material on quarterly reporting: Yes
Presentation on quarterly results: Yes (for institutional investors and analysts)(Note: Amounts are truncated to one million yen)
1. Consolidated Results for the Six Months ended September 30, 2017 (From April 1, 2017 to September 30, 2017)(1) Consolidated Results of Operations(Note: Percentages represent changes compared with the same period of the previous fiscal year.)
Profit attributable to
Net Sales
Operating Income
Ordinary Income
owners of parent
6 months ended September 30, 2017
6 months ended September 30, 2016
Note: Comprehensive income

Millions of yen %187,903 5.8
177,581 (1.1)

Millions of yen %11,495 (27.9)
15,943 (36.8)

Yen
49.83
17.26

6 months ended September 30, 2017
6 months ended September 30, 2016

(2) Consolidated Financial Position
Total Assets
Millions of yen
As of September 30, 2017794,421
As of March 31, 2017
752,8392.

September 30, 2017: 180,007 million yen

Diluted Earnings
per share
Yen
45.18
15.68

Net Assets
Millions of yen
190,326
176,408

Equity Ratio
%
22.7
22.1

March 31, 2017: 166,082 million yen

Dividends
First-quarter
Yen

Annual Dividends per Year
Year-end
Second-quarter
Third-quarter
Yen
Yen
Yen
7.50
21.50
17.50

Year ended March, 2017
Year ending March, 2018Year ending March, 2018
(Forecast)
Note: Revisions to the forecast of cash dividends in the current quarter: No

3.

Millions of yen %8,282 (183.3)
2,923 (48.2)

6 months ended September 30, 2017: 17,497 million yen (- %)6 months ended September 30, 2016: (18,422) million yen (-%)

Earnings per share

Note: Equity

Millions of yen %11,776 76.8
6,659 (34.3)

-

21.00

Total

Yen
29.00
38.50

Forecast of Consolidated Financial Results for the Year ending March 31, 2018 (From April 1, 2017 to March 31, 2018)(Note: Percentages represent changes compared with the previous fiscal year.)
Profit attributable
OperatingEarnings
Net Sales
Ordinary Income
to owners of
Incomeper Share
parentMillions of yen%
Millions of yen%
Millions of yen%
Millions of yen%
Yen
Year ending March 31, 2018
400,500
11.3 32,500
13.0)
30,10029.9
19,00067.5
114.03

Note: Revisions to the forecast of consolidated financial results in the current quarter: No

*Notes(1) Change in Significant Subsidiaries during the Current Period: No(Change in specified subsidiaries caused a change in the scope of consolidation)
Additional: 0Removal: 0(2) Adoption of Accounting Treatments Simplified or Unique for Preparation: No(3) Change in Accounting Policies and Accounting Estimate and Restatement[1] Changes in accounting policies by a newly issued accounting pronouncement: No[2] Changes other than [1] : No
[3] Change in accounting estimate: No[4] Restatement: No(4) Issued Shares (Common stock)[1] Number of issued shares at the end of the period (including treasury stock):
6 months ended September 30, 2017: 171,459,479 sharesYear ended March 31, 2017:

171,459,479 sharesYear ended March 31, 2017:

5,300,071 shares[2] Number of treasury stock at the end of the period:
6 months ended September 30, 2017:

5,712,222 shares[3] Average number of shares during the period:
6 months ended September 30, 2017: 166,208,804 shares

6 months ended September 30, 2016: 169,404,797

sharesNote: Number of the treasury stocks as of September 30, 2017 included 331,600 shares, and as of March 31, 2017
included 460,000 shares owned by Trust and Custody Service Bank, Ltd (Trust Account E).

*This quarterly summary report is exempt from quarterly review procedure based on the Financial Instruments
and Exchanges Act.
*Disclaimer regarding projection information including appropriate use of forecasted financial result, and otherspecial notes
The projection figures shown above are based on information that was available at the time of preparation and may
contain certain uncertainties. Actual performance and other factors may differ from these projections due tochanges in circumstances and other developments. More information concerning these forecasts can be found in P.4“1. Qualitative Information for the Six-Months Period Ended September 30, 2017 (3) Commentary on
Forward-Looking Statements Including Forecast of Consolidated Financial Results” in the attachment.

Table of Contents

1.

2.

Qualitative Information for the Six-Months Period ended September 30, 20172(1) Commentary on Business Results

2(2) Analysis Concerning Financial Position

4(3) Commentary on Forward-Looking Statements Including Forecast of Consolidated Financial Results

4

Quarterly Consolidated Financial Statements and Major Notes

5(1) Quarterly Consolidated Balance Sheets

5(2) Quarterly Consolidated Statements of Income
and Quarterly Consolidated Statements of Comprehensive Income7(3) Quarterly Consolidated Statements of Cash Flows

9(4) Notes Regarding Quarterly Consolidated Financial Statements

11(Notes Regarding Going Concern)

11(Notes Regarding Significant Changes in the Amount of Shareholders’ Equity)

11(Segment Information)

11

-1-

1.

Qualitative Information for the Six-Months Period ended September 30, 2017

(1) Commentary on Business Results

The Japanese economy, during the second quarter of the consolidated cumulative period, saw a continuation of thegradual economic recovery as corporate earnings remained steady. While the global economy tends in general toward
improvement, the sense of uncertainty about the future deepened due to rising geopolitical risks around the globe. Even
under these circumstances, the Nipro Group has made efforts to increase sales and cut production costs, and worked to
improve business performance with the goal of realizing user wishes as soon as possible.
As a result, sales for the second quarter of the consolidated cumulative period increased YoY by 5.8% from the same
period of the previous year to 187,903 million yen. As for profit, operating income decreased by 27.9% YoY to 11,495
million yen due to an increase in the cost of sales and other factors. Ordinary income rose 76.8% YoY to 11,776 million
yen due to a decrease in exchange losses and other factors. Additionally, the second quarter profit attributable to ownersof parent increased YoY by 183.3% to 8,282 million yen due to a decrease in corporate tax.
The overview of the results for the second quarter of the consolidated cumulative period by business segment is asfollows.

(i)

Medical-Related BusinessIn the Medical Sales Division, domestic sales of the Medical Sales Division remained solid in each category of

injection-transfusion products, enteral-alimentation products, testing products, dialysis products, and cardiovascular
products and cardiac surgery (CVS) products. Sales growth was particularly high for HDF filters (dialysis products),
followed by drug eluting balloon catheter “SeQuent® Please” (cardiovascular products), and Left Ventricular Assist
Device “HeartMateⅡ” (cardiac surgery (CVS) products). The Pharmaceutical Sales Division has been working steadily
towards enhancing the Nipro brand, such as holding seminars on home health care that utilize our medical training facility,
taking into consideration regional medical partnerships and community-based care systems. Accordingly, sales ofexisting products and June addenda listing items increased. Leveraging our advantage of being a medical andpharmaceutical conglomerate, we have enhanced our sales promotion activities aimed at dispensing pharmacies and
DPC hospitals and worked towards increasing our market share through further collaborations with pharmaceuticalwholesalers.
Meanwhile, in addition to expanded sales of mainstay dialysis products, such as dialyzers, and hospital products,
overseas sales revenues significantly improved year on year, in part due to the depreciation of the yen. We havepositioned the three markets of the United States, China and India as our most important. In the United States, sales
steadily increased through the strengthening of our partnership with a leading dialysis provider. In China, in addition to
expanded sales of our existing dialyzers, we are expanding sales further through the launch of synthetic membrane
dialyzers. Furthermore, in India, we are carrying out the installation of dialysis machines for the government tenders(PPPs) we have acquired up until this point, leading to the enhancement of our sales base. We will continue to actively
strengthen overseas sales networks and bolster direct sales, working to enhance customer satisfaction to expand sales
by quickly responding to front-line needs.
For our new overseas manufacturing facilities (India, Indonesia, Bangladesh and Hefei/China), we expanded dialyzer
production equipment in our factories in India and Hefei/China, and in our factory in Hefei/China we began operating a
new line in October 2017.
As a result, net sales of this business increased 8.9% YoY to 139,341 million yen.

-2-

(ii)

Pharmaceutical-Related BusinessIn the Pharmaceutical-Related Business, we have worked toward providing a diverse and detailed wide array ofcontract services. In addition to the existing comprehensive contract manufacturing of oral, injection and external use drug
formulations, we have endeavored to provide contract development services from the formulation design stage of suchformulations, and in particular the contract development for injection drugs that leverages our strength in being able todevelop and supply packaging such as vials, syringes and bags. Furthermore, we provided support for lifecycle
management that aims to enhance added value and differentiate products. Moreover, we have focused on contract
manufacturing for dedicated biopharmaceutical lines and lines at manufacturing plants for highly physiologically active
pharmaceuticals, and also contract manufacturing at overseas production facilities.
Sales of pharmaceutical containers and devices for the preparation and administration of pharmaceuticals werefavorable as we provided containers and administration systems suitable to each pharmaceutical product throughself-development or joint development with pharmaceutical manufacturers, answering the diverse needs of the medical
community for small-volume bags, pre-filled syringes (plastic and glass), etc., in addition to rubber stoppers for vaccine
use and containers for kit products.
Furthermore, under the government’s policy to reduce medical expenses, we have worked with pharmaceuticalmanufacturers in Japan and abroad on the comprehensive lifecycle management of pharmaceutical products, taking into
consideration future combination products (collaborations with our own pharmaceutical products and medical devices),the systemization of self-injection, and changes to formulations and routes of administration.
As a result, net sales of this business increased 1.8% from the previous year to 34,733 million yen.

(iii) PharmaPackaging BusinessIn the PharmaPackaging Business, in addition to our existing products, we have developed our academic technicalsales activities, such as participating in academic conferences, towards capturing the needs of our globalizing customers
and new demand. In addition, we have promoted new products and technology development in Japan and abroad that
respond to the needs for continuously high-quality injectable formulations and filling processes.
Looking at the overseas department, along with a recovery in the Chinese market, sales of ampoules and vials weresteady as a result of the enhancing of technical sales. In India sales also increased as we worked to enhance them byattracting new customers for high value-added products. In the United States and Europe, while we faced difficulties as
pharmaceutical companies reduced inventories, orders progressed steadily, and, in terms of manufacturing, we pushedforward with the automation and improving of production efficiency for the production lines of each plant.
In the domestic market, sales were solid, with a focus on syringes and vials. Furthermore, sales of tube glass werestable. Meanwhile, sales of thermos bottles temporarily slowed down as a result of production adjustments at the
manufacturer. At the Biwako Plant, our global standard mother plant, we enhanced the management frameworks andestablished a production framework for pharmaceutical containers, with vial production in particular greatly improving
profitability. Moreover, the validation of the medical rubber stoppers plant, completed in July, is progressing smoothly and
we are working towards the provision of products from 2018.
Going forward, along with the maturation of the market, we will work towards increasing sales by strategically pushing
forward with the introduction of high value-added products into the Asian/Indian markets, where demand for higher quality
products is rising. Meanwhile, in terms of manufacturing, we will continue to increase efficiency through the introduction of
new facilities and automation, enhancing product quality and stability. Achieving increased profitability in all regions, wewill work towards expanding our business.
As a result, net sales of this business decreased 10.7% YoY to 13,814 million yen.

-3-

(iv) Other BusinessAmong other business, net sales from the real-estate rental business, etc. were 14 million yen (down 4.0% YoY).

(2) Analysis Concerning Financial Position(i)

Assets, liabilities, and net assets
Total assets increased 41,582 million yen from the end of the previous consolidated fiscal year to 794,421 million yen at

the end of the second quarter under review. Current assets increased 19,381 million yen and noncurrent assets increased
22,201 million yen. The main reason for the increase in current assets was a increase of 11,356 million yen in cash anddeposits, and the main reason for the increase in noncurrent assets was an increase of 13,229 million yen in investment
securities.
Total liabilities increased 27,663 million yen from the end of the previous consolidated fiscal year to 604,094 million yen.
Current liabilities increased 4,173 million yen and noncurrent liabilities increased 23,490 million yen. The main reason for
the increase in current liabilities was an increase of 3,344 million yen in provision for bonuses, and the main reason for theincrease in noncurrent liabilities was 20,445 million yen increase in long-term loans payable.
Total net assets increased 13,918 million yen from the end of the previous consolidated fiscal year to 190,326 million
yen. Shareholders' equity increased 4,756 million yen and accumulated other comprehensive income increased 9,169
million yen. As a result, equity ratio increased by 0.6% from the end of the previous year to 22.7%.

(ii)

Consolidated Cash FlowsThe ending balance of cash and cash equivalents increased 10,103 million yen from the end of the previous
consolidated fiscal year to 122,150 million yen at the end of the second quarter under review.
(Cash flows from operating activities)
Net cash provided by operating activities was 21,045 million yen. The main accounts of cash inflow were depreciation,
15,751 million yen and profit before income taxes, 10,339 million yen. The main account of cash outflow was increase innotes and accounts receivable-trade, 5,862 million yen.
(Cash flows from investing activities)
Net cash used in investing activities was 30,096 million yen. The main account of cash inflow was proceeds from salesof investment securities, 2,287 million yen. The main account of cash outflow was purchase of non-current assets, 32,401
million yen.
(Cash flows from financing activities)
Net cash provided by financing activities was 18,278 million yen. The main account of cash inflow was proceeds fromlong-term loans payable, 51,379 million yen. The main account of cash outflow was repayment of long-term loans payable,
36,238 million yen.

(3) Commentary on Forward-Looking Statements Including Forecast of Consolidated Financial Results
At this moment, we have not made any revision to the forecast of consolidated financial results for the year ending March
31, 2018, which was announced on October 2, 2017.

-4-

2. Quarterly Consolidated Financial Statements and Major Notes(1) [Quarterly Consolidated Balance Sheets](Millions of yen)
As ofMarch 31, 2017
AssetsCurrent Assets
Cash and 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
Total current assets
Noncurrent assets
Property, plant and equipment
Buildings and structures
Accumulated depreciation and impairment loss
Buildings and structures, net
Machinery, equipment and vehicles
Accumulated depreciation and impairment loss
Machinery equipment and vehicles, net
Land
Lease assets
Accumulated depreciation
Lease assets, net
Construction in progress
Other
Accumulated depreciation and impairment loss
Other, net
Total property, plant and equipment
Intangible assets
Goodwill
Lease assets
Other
Total intangible assets
Investments and other assets
Investment securities
Net defined benefit asset
Deferred tax assets
Other
Allowance for doubtful accounts
Total investments and other assets
Total noncurrent assets
Total assets

- 5 -

As of
September 30, 2017

123,188
121,038
78,241
10,78426,303
6,404
22,194(1,378)386,775

134,545
126,90981,801
11,99728,579
7,691
16,033(1,399)406,157

199,471(90,929)
108,541
236,514(164,778)
71,73623,9873,855(2,642)
1,212
25,95350,232(37,441)
12,791
244,222

203,317(94,707)108,609
246,049(171,342)
74,70724,302
3,596(2,534)
1,062
32,22851,602(38,958)
12,643
253,555

27,996
2,263
13,57543,83626,4892,136
14,02042,64768,888227
1,459
11,651(4,221)78,004
366,063
752,839

82,117－2,333
12,150(4,539)92,062
388,264
794,421

(Millions of yen)
As ofMarch 31, 2017
Liabilities
Current liabilities
Notes and accounts payable-trade
Short-term loans payable
Commercial papers
Current portion of bonds
Lease obligations
Accounts payable-otherAccrued directors' bonuses
Income taxes payable
Provision for bonuses
Provision for directors' bonuses
Notes payable-facilities
Other
Total current liabilities
Noncurrent liabilities
Bonds payable
Convertible bond-type bonds
with subscription rights to shares
Long-term loans payable
Lease obligations
Deferred tax liabilities
Net defined benefit liability
Provision for directors' retirement benefits
Provision for loss on litigation
Other
Total noncurrent liabilities
Total liabilities
Net assets
Shareholders' equity
Capital stock
Retained earnings
Treasury shares
Total shareholders' equity
Accumulated other comprehensive income
Valuation difference on available-for-sale securities
Deferred gains or losses on hedges
Foreign currency translation adjustment
Remeasurements of defined benefit plans
Total accumulated other comprehensive income
Non-controlling interests
Total net assets
Total liabilities and net assets

- 6 -

As of
September 30, 201757,587
117,933
10,00015,1601,107
13,509
343
4,304
4,075
105
10,35017,313
251,792

57,343
120,714
10,00015,0301,103
12,359
－
4,519
7,419
359
10,50916,606
255,965

5,215

4,700

25,00025,000281,181
2,869
1,766
5,126
592
88
2,797
324,639
576,431301,627
2,542
5,786
4,991
628
86
2,765
348,129604,094

84,39778,422(6,243)
156,577

84,39783,062(6,127)
161,333

1,589
(141)
8,640
(582)
9,504
10,325
176,408
752,839

11,636
(99)
7,595
(458)
18,674
10,318190,326
794,421

(2) [Quarterly Consolidated Statements of Income and Quarterly Consolidated Statements of Comprehensive Income]Quarterly Consolidated Statements of Income(Millions of yen)Six months ended
September 30, 2016
(From April 1, 2016
to September 30, 2016)

Net sales
Cost of sales
Gross profit
Selling, general and administrative expenses
Operating income
Non-operating income
Interest income
Dividends income
Foreign exchange gains
Share of profit of entities accounted for using equity method
Reversal of allowance for doubtful accounts
Other
Total non-operating income
Non-operating expenses
Interest expenses
Foreign exchange losses
Other
Total non-operating expenses
Ordinary income
Extraordinary income
Gain on sales of non-current assets
State subsidy
Gain on sales of investment securities
Other
Total extraordinary income
Extraordinary loss
Loss on retirement of non-current assets
Loss on reduction of non-current assets
Compensation expenses
Other
Total extraordinary losses
Profit before income taxes
Income taxes-current
Income taxes-deferred
Total income taxes
ProfitProfit attributable to non-controlling interests
Profit attributable to owners of parent- 7 -Six months ended
September 30, 2017
(From April 1, 2017
to September 30, 2017)

177,581
119,254
58,32642,383
15,943

187,903
128,50959,39347,897
11,495

237
762
－
－
19
715
1,735

285
777
1,081
36
－
658
2,839

1,888
7,919
1,212
11,020
6,659

1,743
－
815
2,558
11,776

64
10
－
6
81

56
589
225
23
895

199
－
－
82
282
6,458
3,365
41
3,407
3,051
127
2,923

162
590
928
651
2,332
10,3394,541(2,659)
1,882
8,456
174
8,282

Quarterly Consolidated Statements of Comprehensive Income(Millions of yen)Six months ended
September 30, 2016
(From April 1, 2016
to September 30, 2016)

ProfitOther comprehensive income
Valuation difference on available-for-sale securities
Deferred gains or losses on hedges
Foreign currency translation adjustment
Remeasurements of defined benefit plans
Share of other comprehensive income ofentities accounted for using equity method
Total other comprehensive income
Comprehensive income
Comprehensive income
attributable to owners of parent
Comprehensive income
attributable to non-controlling interests- 8 -Six months ended
September 30, 2017
(From April 1, 2017
to September 30, 2017)

3,051

8,456

(3,153)(264)(18,117)60－

10,04742(1,106)125(67)(21,474)(18,422)(17,614)9,040
17,497
17,451(808)

45

(3) [Quarterly Consolidated Statements of Cash Flows](Millions of yen)Six months ended
Six months ended
September 30, 2016
September 30, 2017
(From April 1, 2016
(From April 1, 2017
to September 30, 2016) to September 30, 2017)

Cash flows from operating activities
Profit before income taxes
Depreciation
Impairment loss
Amortization of goodwill
Share of (profit) loss of entities accounted forusing equity method
Increase (decrease) in allowance for doubtful accounts
Increase (decrease) in net defined benefit liability
Interest and dividend income
Interest expenses
Foreign exchange losses (gains)
Loss (gain) on sales of investment securities
State subsidy
Loss on reduction of non-current assets
Decrease (increase) in notes and accounts receivable-trade
Decrease (increase) in inventories
Increase (decrease) in notes and accounts payable-trade
Decrease (increase) in other assets
Increase (decrease) in other liabilities
Other loss (gain)
SubtotalInterest and dividend income received
Interest expenses paid
Other proceeds
Other payments
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
Purchase of investment securities
Proceeds from sales of investment securities
Purchase of shares of subsidiaries
Purchase of shares of subsidiaries and associates
Purchase of non-current assets
Proceeds from sales of non-current assets
Payments for retirement of non-current assets
Proceeds from governmental subsidy income
for investment in property and equipment
Net decrease (increase) in short-term loans receivable
Payments of loans receivableCollection of loans receivable
Other payments
Other proceeds
Net cash provided by (used in) investing activities

-9-

6,458
14,7650
1,457－

10,33915,751
50
1,502
(36)

(95)
272
(1,000)
1,888
5,090
0
(10)
－
(3,351)(8,986)7,483(20)(3,750)376
20,577984(1,859)167(208)(3,779)15,882191
146(1,068)
1,743
(530)
(225)
(589)
590
(5,862)(3,649)
(74)
4,454
2,913
131
25,778
1,071(1,698)87(277)(3,915)21,045(6,154)
7,226
(769)
0
(8)
(424)
(24,207)
176
(138)
10

(2,479)
1,209
(415)
2,287
－
(445)
(32,401)
238
(120)
1,592

(374)
(262)
59
－
3
(24,862)

628
(177)
16
(28)
－
(30,096)(Millions of yen)Six months ended
Six months ended
September 30, 2016
September 30, 2017
(From April 1, 2016
(From April 1, 2017
to September 30, 2016) to September 30, 2017)

Cash flows from financing activities
Net increase (decrease) in short-term loans payable
Proceeds from long-term loans payable
Repayment of long-term loans payable
Redemption of bonds
Proceeds from sales of treasury shares
Purchase of treasury shares
Purchase of treasury shares of subsidiaries
Repayments of finance lease obligations
Cash dividends paid
Dividends paid to non-controlling interests
Payments from changes in ownership interests in subsidiaries
that do not result in change in scope of consolidation
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
Increase in cash and cash equivalentsfrom newly consolidated subsidiary
Cash and cash equivalents at end of period- 10 -

6,825
68,417(47,375)(1,682)121(3,206)－(564)(2,811)
(28)
(150)

7,907
51,379(36,238)
(645)
116
(0)
(21)
(566)
(3,574)(20)(57)

19,545(3,509)7,056
111,977
237

18,278875
10,103112,046－

119,271

122,150

(4) Notes Regarding Quarterly Consolidated Financial Statements(Notes Related to Going Concern)
N/A(Notes Regarding Significant Changes in the Amount of Shareholders’ Equity)
N/A(Segment Information)
Ⅰ Six months ended September 30, 2016 (From April 1, 2016 to September 30, 2016)
1.

Sales and Profit by Reportable Operating Segment(Millions of yen)Segment
Other(Note.1)

Adjustment(Note.2)

Quarterly
Consolidated
StatementsofIncome(Note.3)

MedicalRelated

PharmaceuticalRelated

PharmaPackaging

127,988

34,11015,467

177,566

15

177,581－

177,581

724

4,835

1

5,561

315

5,877

(5,877)－

128,71238,945

15,469183,127331

183,458(5,877)

177,581

14,573

7,569

(372)

21,77046

21,816(5,873)

15,943

Total

Total

Net sales(1)Sales to third
parties(2)Inter-segment
sales andtransfers

Total
Segment profit(loss)(Notes)1. “Other” is the business segment which is not included in the segment and consist of real estate income and sales byheadquarter.
2. Adjustment for the segment profit (loss) of (5,873) million yen includes realization of intercompany profits oninventories of 1,974 million yen and corporate cost of (7,847) million yen. Corporate cost primarily consists ofgeneral and administrative expenses and research and development cost which do not belong to the reporting
segment.
3. Segment profit (loss) is adjusted to the operating income on the quarterly consolidated statements of income.
2.

Information about Impairment Loss on Fixed Assets and Goodwill by Reportable Operating Segment
N/A- 11 -

Ⅱ Six months ended September 30, 2017 (From April 1, 2017 to September 30, 2017)
1.

Sales and Profit by Reportable Operating Segment(Millions of yen)Segment
Other(Note.1)

Adjustment(Note.2)

Quarterly
Consolidated
StatementsofIncome(Note.3)

MedicalRelated

PharmaceuticalRelated

PharmaPackaging

139,341

34,733

13,814

187,88814

187,903－

187,903

871

6,767

36

7,675

518

8,193

(8,193)－140,21241,50013,850195,563533

196,096(8,193)

187,903

16,442

5,937

(864)

21,51526

21,542(10,046)

11,495

Total

Total

Net sales(1)Sales to third
parties(2)Inter-segment
sales andtransfers

Total
Segment profit(loss)(Notes)1. “Other” is the business segment which is not included in the segment and consist of real estate income and sales byheadquarter.
2. Adjustment for the segment profit (loss) of (10,046) million yen includes deduction of intercompany profits oninventories of (233) million yen and corporate cost of (9,812) million yen. Corporate cost primarily consists ofgeneral and administrative expenses and research and development cost which do not belong to the reporting
segment.
3. Segment profit (loss) is adjusted to the operating income on the quarterly consolidated statements of income.
2.

Information about Impairment Loss on Fixed Assets and Goodwill by Reportable Operating Segment
N/A- 12 -