Summary Report of Consolidated Financial Results
For the Fiscal Year ended March 31, 2015
May 13, 2015
stCompany name: NIPRO CORPORATION
TSE-1 section
Code No.8086
URL: http://www.nipro.co.jp/
Representative: Yoshihiko Sano, President and Representative Director
Contact person: Kimihito Minoura, Director and General Manager of Corporate Planning Headquarter
TEL: (06)6372-2331
Date of the ordinary general shareholders’ meeting: June 26, 2015
Payment date of cash dividends: June 29, 2015
Filling date of annual reporting: June 26, 2015
Preparation of supplemental material on financial results: Yes
Presentation on annual results: Yes (for institutional investors and analysts)(Note: Amounts are truncated to one million yen)
Consolidated Results for the Year ended March 31, 2015 (From April 1, 2014 to March 31, 2015)

1.

(1) Consolidated Results of Operations
Net sales
Millions of yen %Year ended March 31, 2015
325,084
8.1
Year ended March 31, 2014
300,752
24.8
Note: Comprehensive income(Note: % of change from the previous fiscal year)
Operating income
Ordinary income
Net income
Millions of yen %Millions of yen %Millions of yen %16,571
34.8
19,661
65.0
12,470335.8
12,2898.1
11,918(17.0)
2,861(72.0)

Year ended March 31, 2015: 32,791 million yen (11.1%) Year ended March 31, 2014: 29,503 million yen (98.4%)

Earnings
per share
Yen
80.96
18.19

Year ended March 31, 2015
Year ended March 31, 2014
Note: Equity in profit (loss) of affiliate

Dilutedearnings per
share
Yen
－
16.29

Raito of net income
to shareholders’equity%8.5
2.3

Year ended March 31, 2015: (168) million yen

Ratio of ordinary
income to total
assets%3.0
2.0

Net assets
Millions of yen
178,810
135,960

Note: Equity

Year ended March 31, 2014: 125,426 million yen(3)Equity ratio

Net assets per shareYen
988.79832.14

%
24.1
20.2

Consolidated Cash Flows

Cash flows fromoperating activities
Millions of yen
27,981
21,552

Year ended March 31, 2015
Year ended March 31, 2014

2.

%
5.1
4.1

Year ended March 31, 2014: - million yen(2) Consolidated Financial Position
Total assets
Millions of yen
Year ended March 31, 2015
695,306
Year ended March 31, 2014
619,654
Year ended March 31, 2015: 167,659 million yen

Ratio of operating
income to net sales

Cash flows frominvesting activities
Millions of yen(29,713)(31,936)

Cash flows fromfinancing activities
Millions of yen
26,598(16,346)

Cash and cash
equivalents
Millions of yen
98,19970,892

Dividends
Annual dividends per year

Year ended March
31, 2014
Year ended March
31, 2015
Year ending March
31, 2016 (Forecast)

3.

Firstquarter

Secondquarter

Thirdquarter

Year-end
dividends

Annualdividends

Yen

Yen

Yen

Yen

Yen

Millions of yen%

Ratio ofdividends to
net assets(consolidated)
%

-

16.00

-

14.50

30.50

4,614

167.6

4.0

-

18.00

-

14.50

32.50

5,261

40.1

3.6

-

16.00

-

18.50

34.50

Annual totalof dividends

Pay-out ratio(consolidated)

42.7

Forecast of Consolidated Financial Results for the Year ending March 31, 2016 (From April 1, 2015 to March 31, 2016)
Net sales
Millions of yen%

Operating income

Ordinary income

Millions of yen

Millions of yen%%

Net income
Millions of yen%

Earnings
per share
Yen
23.30
80.80

Six months ending Sept. 30 2015
174,000 12.6
12,700
60.0
9,700
12.5
3,950
(27.8)
Year ending March 31, 2016
362,000 11.4
27,50065.9
22,50014.4
13,7009.9(Note: The % displays in the line of six months ending Sept. 30, 2015 show increase/decrease ratio against the six months ended Sept. 30,
2014. The % displays in the line of Year ending March 31, 2016 show increase/decrease ratio against the year ended March 31, 2015)

4. Others(1) Change in Significant Subsidiaries during the Current Period(Change in specified subsidiaries caused a change in the scope of consolidation): Yes
Additional: 1 (Nipro Pharma Vietnam Co., Ltd.)
Removal: 0(2) Change in Accounting Policies and Accounting Estimate and Restatement[1] Changes in accounting policies by a newly issued accounting pronouncement: Yes[2] Changes other than [1]: No[3] Change in accounting estimate: No[4] Restatement: No
Note: Detailed information can be found in P.19 “(5) Notes to Consolidated Financial Statements (Changes in
Accounting Policy)” in the attachment.
(3) Issued Shares (Common stock)[1] Number of issued shares at end of the period (including treasury stock)
Year ended March 31, 2015: 171,459,479 sharesYear ended March 31, 2014: 171,459,479 shares[2] Number of treasury stock at end of the period
Year ended March 31, 2015: 1,899,861 sharesYear ended March 31, 2014: 20,730,973shares[3] Average number of shares during the period
Year ended March 31, 2015: 154,045,003 sharesYear ended March 31, 2014: 157,291,122 shares
Note: Number of the stocks as of the year ended March 31 2015 included 953,100 shares and as of the year ended
March 31 2014 included 1,187,500 shares owned by Trust and Custody Service Bank, Ltd (Trust Account E).
(Reference) Overview of the Unconsolidated Financial Results
1.

Unconsolidated Results for the Year ended March 31 ,2015 (From April 1, 2014 to March 31, 2015)(1) Results of Operations

Year ended March 31, 2015
Year ended March 31, 2014

Net sales
Millions of yen %208,751
10.7
188,504
30.0
Earnings per share

Year ended March 31, 2015
Year ended March 31, 2014

Yen
78.02
72.13

(Note: % of change from the previous fiscal year)
Operating income
Ordinary income
Net income
Millions of yen %Millions of yen %Millions of yen %15,345
3.9
22,33523.5
12,018
5.9
14,77441.5
18,08429.4
11,345
15.1
Diluted earnings
per share
Yen
－
64.58

(2) Financial Position
Total assets
Millions of yen
511,800
471,237

Year ended March 31, 2015
Year ended March 31, 2014
Note: Equity Year ended March 31, 2015: 157,543 million yen

Net assets
Millions of yen
157,543
129,941

Equity ratio
%
30.8
27.6

Net assets per shareYen
929.14862.09Year ended March 31, 2014: 129,941 million yen*Information regarding the review procedure
This report is exempt from auditing procedure based on the Financial Instruments and Exchanges Act. It is
under the auditing process at the time this report is disclosed.
*Disclaimer regarding projection information including appropriate use of forecasted financial result, and otherspecial notes(1) The projection figures shown above are based on information that was available at the time of preparation andmay contain certain uncertainties. Actual performance and other factors may differ from these projections due
to changes in circumstances and other developments. More information concerning these forecasts can befound in P.2 “1.Business Result (1) Analysis Concerning Business Results”.

Table of Contents
1.

Business Results

2(1) Analysis Concerning Business Results

2(2) Analysis Concerning Financial Position

3(3) Basic Policies on Distribution of Profits and Dividends
for Years ended March 31, 2015 and ending March 31, 2016

42.

Corporate Group

5

3.

Management Policies

7(1)

Basic Policies of Management

7(2)Target Management Indicators

7(3)

Medium- to Long-term Management Strategies

7(4)Issues and Challenges that the Group Faces

7

4.

Basic Thinking Underlying the Concept of Accounting Standard

8

5.

Consolidated Financial Statements

9(1) Consolidated Balance Sheets

9(2) Consolidated Statements of Income andConsolidated Statements of Comprehensive Income

11

(3)

Consolidated Statements of Shareholders’ Equity

13

(4)

Consolidated Statements of Cash Flows

15

(5)

Notes to Consolidated Financial Statement

17(Notes Related to Going Concern)

17(Basis of Preparation for the Consolidated Financial Statements)

17(Changes in Accounting Policy)

19(Notes to the Consolidated Balance Sheets)

19(Notes to the Consolidated Statements of Income)

19(Notes to the Consolidated Statements of Shareholders’ Equity)

19(Segment Information)

21(Per Share Information)

24(Material Subsequent Event)24

6.

Non-consolidated Financial Statements

25(1) Non-consolidated Balance Sheets

25(2) Non-consolidated Statements of Income andNon-consolidated Statements of Comprehensive Income

28(3) Non-consolidated Statements of Shareholders’ Equity

29

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1.
(1)

Business Results
Analysis Concerning Business Results[1]Commentary on Business Results
During the current period under review, the global economy generally remained on a gradual recovery trend since
an improvement in personal consumption led stable recovery in the United States and Europe also showed continued
economic recovery. On the other hand, the Japanese economy showed continued improvement with a background of
yen depreciation and the increase in stock price caused by the economic policies conducted by Japanese
government and Bank of Japan although there was a fallback after the last-minute surge in demand before theconsumption tax rate hike.
Under such circumstances, the Nipro Group has worked to improve operating results through its continued efforts
to expand sales and reduce costs.
As a result, consolidated sales for the current period under review increased by 8.1% from the previous year to
325,084 million yen. As for the profit, consolidated operating income increased by 34.8% from the previous year to
16,571 million yen. Consolidated ordinary income, moreover, increased by 65.0% from the previous year to 19,661
million yen due to an increase in foreign exchange gain. Consolidated net income increased by 335.8% from theprevious year to 12,470 million yen thanks to a decrease of income taxes.
The overview of the results for the current period under review by business segment is as follows.
Effective from the second quarter in the current period, overseas glass department is reclassified from
Medical-Related Business to Glass-Related Business based on the reorganization.
a. Medical-Related Business
The market environment was severe for domestic sales in the term under review due to the April 2014 revisions todiagnosis and treatment reimbursement and pharmaceutical reimbursement prices, and the fallback after the demand
surge before the consumption tax hike.
In these conditions, the Medical Sales Division’s vascular products sales included strong growth in sales and profits
for the drug-eluting balloon catheter SeQuent® Please. Cardiovascular (CVS) product sales were sluggish, however,
due to releases of new ventricular assisting devices from competitor companies, the start of new clinical trials, andother factors. Sales and profits were similarly sluggish for injection-transfusion products, enteral-alimentation
products, and testing products owing to the fallback from the rise in pre-tax hike demand. Dialysis product sales werestrong for HDF filters while dialysis machine sales suffered from the fallback in demand, and overall dialysis productsales declined substantially from the previous fiscal year
On the other hand, for the Pharmaceutical Sales Division, the competitive environment of domestic market became
fiercer by the appearance of manufactures of original drugs running sideline business though more expansion of themarket can be expected with the promotion policy of generic drugs. Under such situation, unit prices of drugs were
declined due to a revision of their wholesale prices (selling prices to wholesale dealers) following the revision in drug
prices in April 2014, however, this was offset by favorable influence of the government’s generic drug promotion
measures following the revision of medical fees and addenda listing items launched in June and December, and thesales remained stable. In addition, we have strengthened the sales promotion to dispensing pharmacies, diagnosis
procedure combination (DPC) hospital and prescribers. Also we tried to increase the share of drugs for oral andexternal use and worked harder for information offering activities of injectable drugs based on the collaboration withpharmaceutical wholesaler and Medical Sales Division. However, large markets of new big listing items have being
continuously entered by over 30 competitors and initial sales of AG (authorized generic) allows to market occupation,that made the market price competition more intensified to impact significantly to sales and profit.
We strengthened the overseas sales organization and stepped up our direct sales activities with the aim of quickly
responding to front-line needs and boosting overseas sales. During the term, we fortified our direct sales structure byacquiring sales companies in Germany, Turkey, Switzerland, England, Serbia, and South Africa. Other measures toexpand sales overseas included entering into a capital participation agreement with a South Korean distribution agent
to actively develop sales in the South Korean market, establishing a sales company in Malaysia, opening an office in
Kenya to steer a full-fledged entry to the African market, and setting up representative offices in China in Xiamen,
Qingdao, Tianjin, Guizhou, and Shijiazhuang.
Furthermore, yen’s depreciation against dollar and euro in foreign exchange market increasing export profitability
continuously resulted significant growth in sales and profit from the previous year. New overseas plants (in India,
Indonesia, Bangladesh and Hefei in China) further improved their production system and realized stable production
expansion under established quality system to promote their sales widely in their countries and surrounding areas.
Especially production of dialyzers in India and Hefei plants has increased smoothly to contribute the sales increase
and syringe from India and Indonesia plants has supported the sales growth as well.
As a result, net sales of this business increased by 7.4% from the previous year to 237,777 million yen.

b. Pharmaceutical-Related BusinessIn the Pharmaceutical-Related Business, we have broadened our contracted manufacturing operation toencompass contracts to develop products from the formulation design of drugs for oral and external use and todevelop products using our expertise developing and supplying vials, syringes, bags, and other packaging containers.
We also endeavored to expand the contracted business by offering a diverse range of detailed yet wide-ranging
contract services, such as support for lifecycle management where we believe we can enhance the value-added
features and realize distinct service differentiation. In addition, efforts to upgrade and expand our contracted
manufacturing capabilities for the dedicated biopharmaceuticals line and the oral drugs and injectable solutions lines
at the high potency active pharmaceutical ingredients manufacturing plant contributed to strong sales of contracted
manufacturing, partly due to the in-house developed syringe formulations, which we began shipping at the end of theprevious fiscal year.

-2-

Sales of pharmaceutical containers as well as devices related to pharmaceutical preparation and administration
steadily increased due to offering containers and systems suitable to each pharmaceutical product. Such efforts weremade to meet various needs in the medical front, including small-volume bags, materials for pre-filled syringes (plastic
and glass), etc., on top of rubber stoppers for pharmaceutical and vaccine use and containers for kit products. We
developed the containers and systems by ourselves or through joint development with pharmaceutical manufactures
based on our processing technologies for plastics, rubbers, and metals. In addition, under the government’s policy to
curb medical expenses, we have worked together with domestic and foreign pharmaceutical manufactures inenhancing comprehensive lifecycle management of pharmaceutical products, taking into consideration thedevelopment of combination products (our original collaboration between pharmaceutical products and medical
devices), self-injection systems, and dosage form/administrating path modification in the future.
As a result, net sales of this business increased 11.4% from the same period of the previous year to 57,372 million
yen.
c. Glass-Related BusinessIn the Glass-Related Business, adding to our conventional glass containers for medical use, we have made effort ofsales activities to acquire global customer needs and new demands while we have promoted the development ofhigh-valued production and its environmental improvement to support injectable formulation with high stability.
For the glass for medical purpose in domestic glass department, we have continuously carried out our sales
activities of vial with low alkali elution to the medical and pharmaceutical industries and also increased the sales
mainly in prefilled syringe. As for “Biwako Factory,” a state-of-the-art plant for glass containers for domestic medicaluse, with the purpose of further improving our quality assurance system for good manufacturing practice (GMP), thefactory aims to establish the production and sales system of glass for medical purpose and medical equipment withthe full-scale operation and started to prepare the introduction of glass products from overseas affiliated companies toJapan and establish quality assurance system by introducing the latest facilities. Among other glass-related products,
sales of glass for thermos bottles decreased from the same period of the previous year due to weak domestic demandagainst the recovery of export. Whole sales of this department slightly decreased from the same period of theprevious year.
Regarding overseas glass department, on the other hand, sales and profit of vial and ampoule have increased
stably in India and China under the changing of market that requires high-quality medical containers in developing
countries. In Europe and the United States, the performance is getting improved based on the investment we made in
the past and the high-tech prefilled syringe has marked fine sales.
As a result, net sales of this business increased 8.0% from the previous year to 29,830 million yen.

d. Other BusinessAmong other business, sales from the real-estate rental business were 104 million yen (down by 61.7% from thesame period of the previous year).

[2] Outlook for the next period
The global economic outlook remains uncertain as we anticipate prolonging weakness in Europe and signs ofslowing in some areas of the heretofore robust U.S. economy while growth pace continues slowing in China anddeveloping countries. We expect Japan’s economy to continue on a recovery track for the foreseeable future.
Even under such circumstances, we in the Nipro Group will work hard on the continued approaches to preparationof an abundant assortment and development of products with high value-added levels while improving theperformance especially in the new overseas plants.
We project the consolidated net sales of 362,000 million yen (up by 11.4% from the previous year), operating
income of 27,500 million yen (up by 65.9% from the previous year), ordinary income of 22,500 million yen (up by
14.4% from the previous year), and net income attributable to the shareholders of parent company of 13,700 million
yen (up by 9.9% from the previous year), for the fiscal year ending March 31, 2016.

(2)

Analysis Concerning Financial Position[1] The conditions of assets, liabilities, and net assets
Total assets increased 75,652 million yen from the end of the previous year to 695,306 million yen. Current assets
increased 54,226 million yen mainly due to an increase of 27,914 million yen in cash and deposits and an increase of
11,297 million yen in notes and accounts receivable-trade, and noncurrent assets increased 21,425 million yen mainly
due to an increase of 11,896 million yen in buildings and structures.
Total liabilities increased 32,802 million yen from the end of the previous year to 516,496 million yen. Current liabilities
increased 27,686 million yen mainly due to an increase of 23,525 million yen in current portion of bonds, andnoncurrent liabilities increased 5,116 million yen mainly due to an increase of 28,616 million yen in long-term loans
payable.
Total net assets increased 42,849 million yen from the end of the previous year to 178,810 million yen. Shareholders’equity increased 22,577 million yen and accumulated other comprehensive income increased 19,655 million yen.
[2] The condition of cash flow
The ending balance of cash and cash equivalents in the period under review increased 27,306 million yen from theprevious year to 98,199 million yen.
(Cash flows from operating activities)-3-

Net cash provided by operating activities was 27,981 million yen. The main accounts of cash inflow were income
before income taxes and minority interests, 19,908 million yen and depreciation, 27,667million yen. The main accountsof cash outflow were increase in inventories, 8,120 million yen and income tax paid, 16,979 million yen.
(Cash flows from investing activities)
Net cash used in investing activities was 29,713 million yen. The main account of cash outflow was payments forpurchase of noncurrent assets, 40,680 million yen.
(Cash flows from financing activities)
Net cash provided by financing activities was 26,598 million yen. The main account of cash inflow was proceeds fromlong-term loans payable, 83,330 million yen, and the main account of cash outflow was repayment of long-term loans
payable, 52,383 million yen.

[3] Trend of the cash flow indicatorsth

The 59 period
Year ended
March 31,2012
22.0

th

The 60 period
Year ended
March 31,2013
20.7

st

The 61 period
Year ended
March 31,2014
20.2

nd

The 62 period
Year ended
March 31,2015
24.1

Shareholders’ equity ratio (%)
Ratio of market value of
21.1
24.6
22.5
27.9
shareholders’ equity (%)
Debt redemption (years)
19.3
15.5
16.9
14.3
Interest coverage ratio
4.8
6.6
5.5
7.0
Note: Shareholders’ equity ratio = Shareholders’ equity / Total assets
Ratio of market value of shareholders’ equity = Aggregate market value of the outstanding share / Total assets
Debt redemption = Interest-bearing liabilities / Cash flow from operating activities
Interest coverage ratio = Cash flow from operating activities / Interest payments
Each indicator is calculated from consolidated financial data,
Aggregate market value of the outstanding share is calculated as the share price at the fiscal year-end multipliedby the number of issued shares (excluding treasury stock)
Cash flow from operating activities is taken from cash flows from operating activities on the consolidated statementof cash flows. Interest-bearing liabilities represent all liabilities represent all liabilities on the consolidated balance
sheets for which interest is payable. The amount of interest payments is taken from the payments of interests on
the consolidated statement of cash flows.
(3)

Basic Policies on Distribution of Profits and Dividends for years ended March 31, 2015 and ending March 31, 2016
We position profit return in the important management measure to distribute the non-consolidated net income toshareholders. Retained earnings are to be invested in the sales and production facilities as well as in research anddevelopment, in view of enlarging the firm management basis and long-term business developments, so as to ensurestable and continuous growth.
According to the above-mentioned policy, annual dividends are calculated to be 32.50 yen per share. As we alreadypaid interim dividends of 18.00 yen per share, year-end dividends are to be 14.50 yen per share to be proposed to thendCompany’s 62 ordinary general meeting of shareholders.
Dividends for year ending March 31, 2016 are expected to be made under our basic policies.

-4-

2.

Corporate GroupOur group consists of the Reporting Company (“the Company”), its 84 subsidiaries and 6 affiliated and is primarily
engaged in manufacture and sale of medical equipment, pharmaceutical products and material products such as glass
for medical use and glass for thermos bottles.
Positioning of each company in connection with the businesses of our group and the relation to the business segment
are as follows:<Medical-Related Business>
Domestic:

The Company, Nipro Medical Industries Co., Ltd. and Goodman Co., Ltd. manufacture medical
equipment, and the Company and Goodman Co., Ltd. sell medical equipment manufactured by its
foreign subsidiaries.
Cell Science & Technology Institute, Inc., develops, manufactures and sells cell-culture-related
products.
Nichihos Co., Ltd. manages dispensing pharmacies and sells pharmaceutical products.

Overseas:

Nipro (Thailand) Corporation Ltd. (Thailand), Nipro (Shanghai) Co., Ltd. (China) and Nipro Medical
LTDA. (Brazil) and other subsidiaries purchase some of raw materials and machinery for theirproduction from the Company, manufacture medical equipment, and sell them through the Company
and its subsidiaries as well as locally on their own.
Nipro Europe N.V. (Belgium), Nipro Medical Corporation (U.S.A.) and Nipro Trading (Shanghai) Co.,
Ltd. (China) and other sales subsidiaries purchase the products mainly from the Corporation and its
subsidiaries, and sell medical equipment etc. in the areas of their locations.
Nipro Diagnostics, Inc. (U.S.A) manufactures and sells diabetes-related products.

<Pharmaceutical-Related Business>
Domestic:

The Company, Nipro Pharma Corporation, Zensei Pharmaceutical Industries Co., Ltd., and Nipro
Patch Co., Ltd. manufacture and sell pharmaceutical products. Yuki Gosei Kogyo Co., Ltd., anaffiliated company, manufactures and sells active pharmaceutical ingredient etc.

Overseas:

Nipro Pharma Vietnam Co., Ltd. manufactures and sells pharmaceutical products.

< Glass-Related Business>
Domestic:

The Company sells glass tube as well as manufactures and sells glass products.

Overseas:

Shanghai Nissho Vacuum Flask Refill Co., Ltd. (China) sells internal glass sections of vacuum flask
and other glass products. In addition, Nipro Glass Americas Corporation (U.S.A), Nipro Glass France
S.A.S. (France), Nipro Glass Germany AG (Germany), Nipro Tube Glass Pvt. Ltd. (India) and Chengdu
Pingyuan Nipro Pharmaceutical Packaging Co., Ltd. (China), and other subsidiaries manufacture andsell tube glass, vials and ampoules etc for medical use focusing on their each location.

<Other business>
The Company manufactures (purchases, in some cases) and sells production machinery for medical
equipments and is engaged in leasing of real estate properties.
Nissho Insurance Services Co., Ltd. operates non-life insurance agency business mainly for thegroup companies.
The above explanations are illustrated as follows:-5-

（Domestic）
Medical-Related Business(Overseas)
Medical-Related Business≪Manufacture≫《Sale》◎Nipro Medical Industries Co.,Ltd.
◎Goodman Co.,Ltd.
◎Cell Science & Tecnology Institute,Inc.

◎Nipro Europe N.V.
◎Nipro Medical Corporation◎Nipro Trading (Shanghai) Co.,Ltd.
■Nipro Dongduk Medical Corporationand 1 unconsolidated subsidiaryand 1 affiliated company

and 18 other consolidated subsidiaries
and 9 other unconsolidated subsidiaries《Sale》◎Nichihos Co., Ltd.
《Manufacture and Sale》-Medical Equipment-

and 10 other consolidated subsidiaries

Pharmaceurical-Related Business《Manufacture and Sale》◎Nipro Pharma Corporation《Manufacture and Sale》◎Zensei Pharmaceutical Industry Co.,Ltd.
◎Nipro Patch Co.,Ltd.
《Manufacture and Sale》■Yuki Gosei Kogyo Co.,Ltd

Other Business《Non-life insurance agency》○Nissho Insurance Services Co.,Ltd.

N
i
p
r
o
C
o
r
p
o
r
a
t
i
o
n

◎Nipro (Thailand) Corporation Ltd.
◎Nipro (Shanghai) Co.,Ltd.
◎Nipro Medical LTDA.
◎Nipro Diagnostics,Inc.
◎Nipro India Corporation Pvt.Ltd.
◎Nipro Medical (Hefei) Co.,Ltd◎P.T. Nipro Indonesia Jaya
and 13 other consolidated subsidiaries
and 3 affiliated companies

Pharmaceutical-Related Business《Manufacture and Sale》◎Nipro Pharma Vietnam Co.,Ltd.

Glass-Related Business《Sale》◎Shanghai Nissho Vacuum Flask Refill Co.,Ltd.
《Manufacture and Sale》

Supply of raw materials
Supply of products and merchandises
Other transactions◎Nipro Glass Americas Corporation◎Nipro Glass France S.A.S.
◎Nipro Glass Germany AG◎Nipro Tube Glass Pvt. Ltd.
◎Chengdu Pingyuan Nipro
Pharmaceutical Packaging Co., Ltd.

◎Consolidated subsidiary○Unconsolidated subsidiary■Affiliated company

and 8 other consolidated subsidiaries

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3.

Management Policies(1) Basic Policies of Management
Since our foundation of year 1954, the Company has a business philosophy of contribution to the society throughcorporate activities with the concept of “technology innovation”. In keeping with this philosophy, it has constantly soughtto achieve growth through pursuit of distinctive products and technology for a higher quality of life (QOL) among
patients and response to issues and needs on medical care sites.
In addition, considering the idea that the balance between “stability” and “growth” is most important for a company, we
implement the “performance-linked remuneration system” that is the rule of profit sharing among shareholders,
employees and management, and carry out active business operations, holding the employees responsible for boosting
the performance of individual businesses.

(2) Target Management Indicators
Our performance targets were to achieve 1,000,000 million yen of consolidated net sales by the fiscal year 2030. And
as a first step, we aim to achieve 500,000 million yen of consolidated net sales and 40,000 million yen of ordinary
income by the fiscal year 2020. To realize these goals, we are going to move towards steady development in each field;
medical, pharmaceutical, and glass businesses.
(3) Medium- to Long-term Management Strategies
Our basic policy and management strategy lie in expansion of share and sales in the global market by heightening our
production capacity for products projected to exhibit quantitative growth, and providing products endowed with stable
quality and cost competitiveness. We are also determined to develop products of value and safety as viewed from theuser’s perspective by making effective use of our original technology and other management resources spanning thethree business segments of medical equipment, pharmaceutical, and glass.
In our Medical-Related Business, to expand our share of the market, we are going to take vigorous action to fill out ourassortment and open up new sales channels in domains such as diabetes and vascular products in addition to further
developing our sales of the artificial kidney dialyzers (our mainstay products in this field) and other dialysis products.We
will continue making progress strengthening our sales organization, particularly for overseas sales. We are going tofocus on establishing new business bases and actively developing sales channels in India, Africa, and other developing
regions where we anticipate accelerating market expansion while also expanding sales channels in the North American
market where we established strategic bases. We will use this sales structure as a base for capturing global leading
market shares for our products, particularly for dialysis-related products. Our arterial venous fistula (AVF) needles
already command top global market share, and we plan to further fortify the direct sales structure for dialyzers andstrengthen ties with major dialysis center groups. We have established dialyzer production structures in India and China
and will enhance production of blood tubing set at the plant in Thailand as well as at the plants in Bangladesh,Indonesia, and India to meet market demand. We also plan to actively launch new products. We plan to continue
developing our position as a one-stop sales company by expanding our product lines beginning with powdereddialysate formulation sales in India and to increase our line of safety products with needlestick prevention features as
we further strengthen our position in the vascular field.
In the field of generic drugs, the demand is expected to continue in a trend of rapid expansion, in light of the roadmap
for promotion of their use presented by the Ministry of Health, Labour and Welfare, which hopes to increase the shareof the total pharmaceutical sales volume occupied by generic drugs to at least 60 percent by the end of fiscal 2017. As
such, besides our ongoing development of new generic drugs, we are going to continue concentrating on theconstruction of various sales routes to users such as DPC hospitals and dispensing pharmacy groups while pursuing
greater synergistic effects through coordination with our sales division of medical equipment.
In the Contracted Manufacturing Division of our Pharmaceutical-Related Business, we are building setups for
production and quality assurance to meet the needs of foreign firms as well. We are also augmenting our manufacturing
facilities in domains with a high degree of difficulty (e.g., biomedicines) while further building up our business as one of
the leading Japanese firms engaged in contracted manufacturing of pharmaceuticals. We are likewise working for the
early start-up of production sites outside Japan in order to raise our stable supply capability and cost competitivenesseven higher, and thereby enable supply of pharmaceuticals to the whole world.
Regarding the pharmaceutical containers as well as devices related to pharmaceutical preparation and administration,
we will continue to develop and supply the safety and useful products as viewed from the medical-front and patient’s
perspective
In the Glass-Related Business, we plan to continue expanding our market share by using our glass processing
technologies cultivated over our many years of operation as a foundation for providing even more detailed customers
service backed by region-specific strategies matched to the globalization of demand in all countries and growing
demand for high-quality products in developing countries. We will also expand our product lines driven by productplanning from the customer perspective, such as the VIALEX® glass vials with minimized alkali elution risk, andcontinue developing and introducing sterile containers and other high value-added products and we seek to advancefrom glass sales to solution sales.
(4) Issues and Challenges that the Group Faces
In domestic sales in our Medical-Related Business, our Medical Sales Division shall strive to create designs reflecting
consideration for medical safety and security and to develop products that alleviate environmental burden in the fields
of products related to transfusion, diabetes, dialysis, vascular, and CVS. It shall also mount approaches to develop-7-

products that are gentle to medical workers, patients, and the environment, while actively marketing and expanding
sales of products addressing the diversifying needs and seeds in the market, to improve business results.
The Pharmaceutical Sales Division is faced with even more difficult circumstances in domestic business related togeneric drugs. It shall endeavor to increase the brand power of Nipro as an all-around medical enterprise while
continuing to heighten our presence in the market and strengthen price competitiveness.
In our Pharmaceutical-Related Business, our main agendum is to achieve a rigorous reduction of manufacturing costs
and increase our price competitiveness as the government accelerates deployment of measures to curb medical costs.
With a view to supplying products to the global market, it is also essential for us to improve our setups for quality
assurance in both the software and hardware, in order to fully meet pharmaceutical quality standards in the UnitedStates and Europe. At the same time, we consider the construction of management to meet country risks at ouroverseas plants a major task, and shall take action on it.
In the Glass-Related Business, we will construct a system leveraging our manufacturing technology capabilities toenable the stable manufacture and sale of high-quality products and establish a globally complementary system bylinking the domestic and overseas glass processing plants and unifying our product specifications and quality standards.
In addition, we will work to build the Nipro brand by making the Biwako Factory, which completed construction in Juneof last year, the flagship of the Nipro Group glass processing plants and upgrading the plant’s interior environment totransform it into a world-class plant inside and out.

4. Basic Thinking Underlying the Concept of Accounting Standard
J-GAAP is adopted in the current period under review. The Company will consider the application of IFRS while
watching future trends carefully.

-8-5. Consolidated Financial Statements(1) [ Consolidated Balance Sheets](Millions of yen)
As ofMarch 31, 2014
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
Bulidings 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

-9-

As of
March 31, 2015

84,957103,179
59,517
10,96820,0007,354
12,154(2,010)296,119

112,871
114,477
67,412
12,14922,913
6,963
16,341(2,783)350,346

158,109(77,025)
81,083
192,277(135,012)
57,26523,3672,409(1,507)902
20,53437,683(29,242)8,440
191,593

174,138(81,157)
92,980212,911(150,454)
62,45722,027
3,058(1,957)
1,100
31,242
42,619(32,232)
10,387220,195

28,493443
13,27842,21626,364
1,625
16,37944,36965,50798
8,453
18,535(2,870)89,724
323,534
619,954

64,076140
7,899
11,901(3,622)80,395344,960
695,306

(Millions of yen)
As ofMarch 31, 2014
Liabilities
Current liabilities
Notes and accounts payable-trade
Short-term loans payable
Commercial papers
Current portion of bonds
Current portion of Convertible bond-type bonds
with subscription rights to shares
Lease obligations
Accounts payable-otherAccrued directors' bounuses
Income taxes payable
Provision for bounuses
Provision for directors' bounuses
Provision for loss on business liquidation
Notes payable-facilities
Other
Total current liabilities
Noncurrent liabilities
Bonds payable
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
Capital surplus
Retained earnings
Treasury stock
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
Minority interests
Total net assets
Total liabilities and net assets- 10 -

As ofMarch 31, 2015

45,661
127,384
10,0004,315

51,750136,359
10,00027,84014,895

－

949
8,563
415
10,734
3,516
123
2,438
2,897
18,820250,714828
11,679
436
3,934
3,621
123
－
2,641
29,184278,401

45,832
177,004
1,510
1,976
4,042
449
284
1,878
232,979
483,694

20,592
205,621
3,127
2,162
3,841
524
11
2,214
238,095
516,496

84,397688
52,567(17,999)
119,654

84,397635
58,885(1,686)142,231(7,443)38
13,535(357)
5,772
10,533
135,960
619,654(2,311)39
27,870(170)
25,427
11,150178,810695,306

(2) [Consolidated Statements of Income and Consolidated Statement of Comprehensive Income]Consolidated Statements of Income

Net sales
Cost of sales
Gross profit
Selling, general and administrative expenses
Operating income
Non-operating income
Interest income
Dividends income
Foreign exchange gains
Other
Total non-operating income
Non-operating expenses
Interest expenses
Share of loss of entities accounted for using equity method
Expenses for operation preparation
Other
Total non-operating expenses
Ordinary income
Extraordinary income
Gain on sales of noncurrent assets
State subsidy
Gain on sales of investment securities
Compensation income
Other
Total extraordinary income
Extraordinary loss
Loss on sales of noncurrent asssets
Loss on retirement of noncurrent assets
Impairment loss
Loss on sales of investment securities
Loss on reduction of noncurrent assets
Provision for loss on business liquidation
Amortization of goodwill
Other
Total extraordinary losses
Income before income taxes and minority interests
Income taxes-current
Income taxes-deferred
Total income taxes
Income before minority interests
Minority interests in income
Net income

FY2013(From April 1, 2013
to March 31, 2014)
300,752
213,220
87,53275,242
12,289(Millions of yen)
FY2014(From April 1, 2014
to March 31, 2015)
325,084
225,525
99,55882,987
16,571

748
1,868
1,344
1,793
5,754

767
1,911
4,923
2,127
9,729

3,857
－
822
1,446
6,125
11,918

4,066
168
1,459
944
6,639
19,661

242
1,549
1,321
745
282
4,141

1,530
43
3,402
35
27
5,039

181
408
1
161
1,500
483

331
341
65
2,977
14
－
444
617
4,793
19,908
8,349(1,253)
7,095
12,812341
12,470－431
3,169
12,891
13,739(3,950)
9,789
3,102
240
2,861

- 11 -

Consolidated Statements of Comprehensive Income

Income before minority interests
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, net of tax
Share of other comprehensive incomeof entities accounted for using equity method
Total other comprehensive income
Comprehensive income
Comprehensive income
attributable to shareholders of parent company
Comprehensive income
attributable to minority interests- 12 -FY2013(From April 1, 2013
to March 31, 2014)
3,102(Millions of yen)
FY2014(From April 1, 2014
to March 31, 2015)
12,812

5,103
38
21,259－5,133
014,655187－

126,401
29,503

19,97832,791

27,97532,126

1,528

665

(3) [Consolidated Statements of Shareholders' Equity]

FY2013(From April 1, 2013
to March 31, 2014)
Shareholder's equity
CapitalBalance at beginning of year
Increase (decrease) during the period
Net increase (decrease) during the period
Balance at end of year
Capital Surplus
Balance at beginning of year
Increase (decrease) during the period
Disposal of treasury stock
Net increase (decrease) during the period
Balance at end of year
Earned surplus
Balance at beginning of year
Cumulative effects of changes in accounting policies
Balance of beginning of year after changes in account policies
Increase (decrease) during the period
Dividend of surplus
Net income
Disposal of treasury stock
Change of scope of consolidation
Other
Net increase (decrease) during the period
Balance at end of year
Treasury stock
Balance at beginning of year
Increase (decrease) during the period
Acquisition of treasury stock
Disposal of treasury stock
Net increase (decrease) during the period
Balance at end of year
Total Shareholders' equity
Balance at beginning of year
Cumulative effects of changes in accounting policies
Balance of beginning of year after change in account policies
Increase (decrease) during the period
Dividend of surplus
Net income
Acquisition of treasury stock
Disposal of treasury stock
Change of scope of consolidation
Other
Net increase (decrease) during the period
Balance at end of year

- 13 -(Millions of yen)
FY2014(From April 1, 2014
to March 31, 2015)

84,39784,397－84,397－84,397

636

688

52
52
688

(53)
(53)
635

54,788－54,78852,567
97
52,665(5,054)
2,861
－
－
(27)
(2,220)52,567(4,992)
12,470
(932)
(325)
(1)
6,219
58,885(865)(17,999)(18,178)
1,043(17,134)(17,999)(0)
16,313
16,312(1,686)

138,957－
138,957

119,654
97
119,752(5,054)
2,861(18,178)
1,096
－
(27)
(19,302)
119,654(4,992)
12,470(0)15,328(325)(1)
22,479142,231(Millions of yen)
FY2014(From April 1, 2014
to March 31, 2015)

FY2013(From April 1, 2013
to March 31, 2014)
Accumulated other comprehensive income
Valuation differences on available-for-sale secrities
Balance at beginning of year
Increase (decrease) during the period
Net increase (decrease) of the items other thanshareholders' equity during the period
Net increase (decrease) during the period
Balance at end of year
Deferred gains or losses on hedges
Balance at beginning of year
Increase (decrease) during the period
Net increase (decrease) of the items other thanshareholders' equity during the period
Net increase (decrease) during the period
Balance at end of year
Foreign surrency translation adjustment
Balance at beginning of year
Increase (decrease) during the period
Net increase (decrease) of the items other thanshareholders' equity during the period
Net increase (decrease) during the period
Balance at end of year
Remeasurements of defined benefit plans
Balance at beginning of year
Increase (decrease) during the period
Net increase (decrease) of the items other thanshareholders' equity during the period
Net increase (decrease) during the period
Balance at end of year
Total accumulated other comprehensive income
Balance at beginning of year
Increase (decrease) during the period
Net increase (decrease) of the items other thanshareholders' equity during the period
Net increase (decrease) during the period
Balance at end of year
Minority interests
Balance at beginning of year
Increase (decrease) during the period
Net increase (decrease) of the items other thanshareholders' equity during the period
Net increase (decrease) during the period
Balance at end of year
Total net assets
Balance at beginning of year
Cumulative effects of changes in accounting policies
Balance of beginning of year after change in account policies
Increase (decrease) during the period
Dividend of surplus
Net income
Acquisition of treasury stock
Disposal of treasury stock
Change of scope of consolidation
Other
Net increase (decrease) of the items other thanshareholders' equity during the period
Net increase (decrease) during the period
Balance at end of year

- 14 -(12,547)(7,443)

5,103

5,132

5,103
(7,443)

5,132(2,311)

－

38

38

0

38
38

39
39

(6,436)

13,535

19,971

14,335

19,971
13,535

14,33527,870

－

(357)

(357)

186

(357)
(357)

186
(170)

(18,983)

5,772

24,756

19,65524,756
5,772

19,65525,427

8,789

10,533

1,743

617

1,743
10,533617
11,150128,763－
128,763

135,96097
136,058(5,054)
2,861(18,178)
1,096
－
(27)

(4,992)
12,470(0)15,328(325)(1)

26,50020,272

7,197
135,960

42,751
178,810

(4) [ Consolidated Statements of Cash Flows ]FY2013(From April 1, 2013
to March 31, 2014)
Net cash provided by (used in) operating activities
Income before income taxes and minority interests
Depreciation
Impairment loss
Amortization of goodwill
Equity in (earnings) losses of affiliates
Increase (decrease) in allowance for doubtful accounts
Increase (decrease) in provision for retirement benefits

Increase (decrease) in net defined benefit liability
Interest and dividends income
Interest expenses
Foreign exchange losses (gains)
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

Decrease (increase) in other assets
Increase (decrease) in other liabilities
Other loss (gain)
SubtotalInterest and dividends income received
Interest expenses paid
Other proceeds
Other payments
Income taxes paid
Net cash provided by (used in) operating activities
Net cash provided by (used in) investing activities
Payments into time deposits
Proceeds from withdrawal of time deposits
Payments for purchase of investment securities
Proceeds from sales of investment securities
Payments for purchase of investments
in entities accounted for using equity method
Payments for purchase of investments in
subsidiaries
resulting in change in scope of consolidation
Payments for transfer of business
Payments for investment in capital
Payments for purchase of noncurrent assets
Proceeds from sales of noncurrent assets
Payments for retirement of noncurrent assets
Proceeds from governmental subsidies
for investment in property and equipment
Net decrease (increase) in short-term loans receivable
Payments of loans receivable
Proceeds from collection of loans receivable
Other payments
Other proceeds
Net cash provided by (used in) investment activities- 15 -(Millions of yen)
FY2014(From April 1, 2014
to March 31, 2015)

12,891
25,151
1
4,827
－
1,072
(3,070)3,497(2,617)3,857(2,997)(1,160)(10,729)(2,441)(2,467)
2,061
2,207
157
30,2402,665(3,908)685(630)(7,501)
21,552

19,90827,667
65
5,837
168
1,291
－
179
(2,679)4,066(2,800)(425)(6,765)(8,120)
1,146
(901)
8,914
(1,142)
46,4122,550(3,988)201(214)(16,979)
27,981(6,553)
7,678(1,139)
9,058(11,908)
12,806(3,272)
11,519(2,502)－(6,958)(754)－(3,764)(29,239)464(104)(1,400)－(40,680)
3,794
(42)

1,112

26

69
(183)
126
(5)
4
(31,936)

(29)
(152)
335
(1)
45
(29,713)

FY2013(From April 1, 2013
to March 31, 2014)
Net cash provided by (used in) financing activities
Net increase (decrease) in short-term loans payable
Proceeds from long-term loans payable
Repayment of long-term loans payable
Proceeds form issuance of bonds
Redemption of bonds
Proceeds from stock issuance to minority shareholders

Proceeds from sales of treasury shares
Purchase of treasury shares
Repayments of finance lease obligations
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
Increase in cash and cash equivalentsfrom newly consolidated subsidiary
Cash and cash equivalents at end of period- 16 -(Millions of yen)
FY2014(From April 1, 2014
to March 31, 2015)(9,340)63,280(49,028)
2,979(1,282)150
1,195(18,277)(967)(5,038)(18)(16,346)
4,981(21,749)
92,622

3,209
83,330(52,383)
2,983(4,715)－213(1)(1,030)(4,987)(20)
26,5981,784
26,65170,89219

655

70,892

98,199(5) Notes to Consolidated Financial Statement(Notes Related to Going Concern)
N/A(Basis of Preparation for the Consolidated Financial Statements)
1) Scope of consolidation[1] Consolidated subsidiaries: 73
Name of representative consolidated subsidiaries,

・
・
・
・
・

Nipro Medical Industries Co., Ltd.
Nipro Europe N.V.
Nipro Diagnostics, Inc.
Nipro Patch Co.,Ltd.
Nipro India Corporation Pvt Ltd.

・
・
・
・
・

Nipro (Thailand) Corporation Ltd.
Nipro Medical Corporation
Nipro Pharma Corporation
Nipro Medical (Hefei) Co., Ltd.
Goodman Co.,Ltd.

Nipro Pharma Vietnam Co., Ltd., Cell Science & Technology Institute, Inc., Nipro Pure Water GmbH and Nipro
Malaysia Sdn. Bhd increased in materiality and they are included in scope of consolidation from the consolidated
fiscal year 2014.
Goodtech Co., Ltd was removed from the consolidation of fiscal year 2014 since the company was absorbed into
Goodman Co., Ltd, the consolidated subsidiary, and extinguished.
IR Medical Koubo Co., Ltd. was removed from the consolidation of fiscal year 2014 since Goodman Co., Ltd., theconsolidated subsidiary, transferred all stock of IR Medical Koubo Co., Ltd. they had.
Tohoku Nipro Pharmaceutical Corporation was removed from the consolidation of fiscal year 2014 since thestcompany was absorbed into Nipro Pharma Corporation, the consolidated subsidiary, as of October 1 , 2014 andextinguished.

[2] Name of representative unconsolidated subsidiary･ Nissho Insurance Services Co., Ltd.
The unconsolidated subsidiaries are small-sized companies, whose combined total assets, net sales, net income
and earned surplus in the aggregate (averaged for recent 5 years) are not material to the consolidated financial
statements.
2) Application of equity method[1] Number of affiliate accounted for by the equity method: 1･ Infraredx, Inc.
[2] Name of representative unconsolidated subsidiary not accounted for by the equity method:･ Nissho Insurance Services Co., Ltd.
Name of affiliate not accounted for by the equity method:･ Yuki Gosei Kogyo Co., Ltd.
The equity method is not applied to the unconsolidated subsidiaries and the affiliate company, since they are notmaterial to the consolidated net income (amounts worth to equity) and earned surplus(amounts worth to equity) etc.,
either individually or in the aggregate.
3) Accounting period of consolidated subsidiaries
Among the main consolidated subsidiaries, accounts closing date of the foreign subsidiary is December 31.
Consolidated financial statements as of that date are used in preparing for consolidated financial statements, andnecessary adjustments are made to reflect significant transactions that occurred between December 31 and March
31.
4) Accounting principles and practices[1] Valuation standards and methods for significant assets
Securities
Available-for-sale securities
Securities with market quotations ---------- Valued at the market price quoted on the balance sheet date.
(Differences in valuation are presented as a component ofshareholders’ equity. Costs are determined by the weighted
average method.)
Securities without market quotations -------- Valued at cost by the weighted average method- 17 -

Inventories
Valued at cost by the weighted average method (Writing down method below cost to the net selling value fordecreased profitability)
Derivatives transaction
Valued at the market price[2] Method of depreciation and amortization for significant depreciable assets
Property, plant and equipment ----- Mainly Declining-balance method(Excluding lease assets)
However, buildings acquired after April 1, 1998 (excluding attached structures),are depreciated by straight-line method.
The foreign subsidiaries use straight-line method.
Lease assets
Lease assets under the finance lease transaction that does not transfer ownership---------- Recorded by straight-line method its useful lives are equals to the lease term
and the residual values are equal to zero.
We still have adopted the similar manner to an ordinary rental transaction for
the finance lease transactions that do not transfer ownership and the starting
dates of the lease transactions were before March 31, 2008.

[3] Standards for recognition of significant allowances
Allowance for double accounts ---- In order to cover the probable losses on collection, an allowance for doubtful
accounts is provided for the estimated amount of uncollectible receivables.
For general receivables, the amount of provision is based on historical write-off
rates, and for the doubtful receivables, based on the specific collectability.
Provision for bonuses ---------------- In order to cover the payment of bonuses to employees, an allowance isprovided for the estimated amount of bonuses to be paid, prorated for the
consolidated accounting period.
Provision for directors’ bonuses ---- In order to cover the payment of bonuses to directors and corporate auditors, anallowance is provided for the estimated amount of bonuses to be paid, prorated
for the consolidated accounting period.
Provision for
directors’ retirement benefits ------- An allowance is provided for severance indemnity for directors and corporate
directors based on the amounts to be paid at the end of the consolidated
accounting period.
[4] Accounting Treatment of Retirement Benefits
Method of attributing expected benefit to periods
In calculating retirement benefit obligation, the Company attributed expected benefit to the periods on a
payment calculation basis.
Accounting Method of Actuarial gains and losses and prior service costs
Prior service costs are amortized on a straight-line basis over the certain period (generally 5 years) which is nolonger than the expected average remaining working lives of the employees when they occur.
Actuarial gains and losses are amortized on a straight-line basis over the certain period (generally 5years)
which is no longer than the expected average remaining working lives of the employees from the following theyear which they arise.
[5] Amortization of goodwill
Goodwill is amortized using the straight-line method over the estimated benefit period of the asset.

[6] Range of cash and cash equivalent carried on the consolidated cash flow statement.
Cash and cash equivalent carried on the cash flow statement consist of cash on hand, cash in banks that are able
to withdraw as needed, and short-term investment that will be matured within three months after acquisition, easy to
be converted into cash without much risks from fluctuation of prices.
[7] Significant method of hedge accounting
Method of hedge accounting
The deferral hedge accounting method is applied in principle. Designation accounting is used for foreignexchange swap that meet the requirements for designation accounting, and exceptional accounting is used forinterest rate swap that meet the requirements for exceptional accounting.
Hedge instrument and hedge items[Hedge instruments]
Foreign exchange swaps
Interest rate swaps[Hedge items]
Foreign currency borrowings
Borrowings- 18 -

Hedge policy
The Company uses foreign exchange swaps and interest rate swaps to mitigate the foreign currency risk andthe interest rate risk involved in procuring funds and hedge items are identified on an individual contract basis.
Method for evaluating the validity of hedges
For items covered by designation or exceptional accounting, the validity of the hedge is not evaluated.
[8] Other significant basis on preparation for consolidated financial statements
Consumption taxes
Consumption taxes are excluded from revenues and expenses accounts and consumption taxes unqualified
for deduction for tax purposes for assets, etc. are reported as period expenses in the consolidated accounting
period.
(Changes in Accounting Policy)
Application of the Accounting Standard for Retirement Benefits and its Guidance
The Company applied “Accounting Standard for Retirement Benefits” (ASBJ Statement No.26, May 27, 2012) andthe “Guidance on the Accounting Standard for Retirement Benefits” (ASBJ Guidance No.25, May 17, 2012) effective
the end of the fiscal year; except for the provisions specified under the main clause of Section 35 of the AccountingStandard for Retirement Benefits and the main clause of Section 67 of the Guidance on the Accounting Standard for
Retirement Benefits. Under the new accounting policy, the amount of retirement benefit obligations minus plan assets
is recorded as defined benefit liability, and the unrecognized actuarial gains and losses and unrecognized priorservice costs were recognized in defined benefit liability (in case that the amount of plan assets exceeds retirement
benefit obligation, it is recorded as defined benefit asset). In applying the Accounting Standard for Retirement
Benefits and its Guidance, the Company follows the tentative treatment set out in Section 37 of Accounting Standard
for Retirement Benefit. Consequently, the effects of the changes in accounting policies were recognized inremeasurements of defined benefit plans under accumulated other comprehensive income in the fiscal year ended
March 31, 2014.
As a result, net defined benefit liability decreased 150 million yen and retained earnings increased 97 million yen at
the beginning of the current period under review. This change had no impact on operaing income, ordinary income
and income before income taxes and minority interests in the current quarterly period under review.
(Notes to the Consolidated Balance Sheets)(Previous period)
1) Pledged assets(Current Period)

38,205

mil.yen48,437

mil.yen35

mil.yen182

mil.yen4,554

mil.yen5,763

mil.yen6,584

mil.yen-mil.yen2) Discounted notes receivable3) Accounts related to unconsolidated subsidiaries
and affiliate companies
Investment securities (stock)
Other of investments and other assets(Investments in capital)(Notes to the Consolidated Statement of Income)(Previous period)
Research and development expenditure included inselling general and administrative expenses andmanufacturing cost.

7,890(Current Period)

mil.yen8,645

mil.yen(Notes to the Consolidated Statements of Shareholders’ equity)
Previous period (From April 1, 2013 to March 31, 2014)
1. Sort and total numbers of shared issues
Sort of shares
Number of shares
as of April 1, 2013
Common stock
171,459,479
2. Sort and numbers of treasury stock
Sort of shares
Number of shares
as of April 1, 2013
Common stock
914,107

Increased
numbers

Decreased
numbers-

Increased
numbers
21,034,840- 19 --

Decreased
numbers
1,217,974

Number of shares
As of March 31, 2014
171,459,479

Number of shares
As of March 31, 2014
20,730,973

(Note)1. Number of the stocks increased during the period due to the following reasons; 19,834,000 shares bytender offer, 1,240 shares by purchase of odd-lot shares, 1,199,600 shares acquired by Trust AccountE from the Company.
2. Number of the stocks decreased during the period due to the following reasons; 6,172 shares by
exercise of yen denominated convertible bond due in 2015, 102 shares by sale of odd-lot shares,
1,199,600 shares sold by the Company to Trust Account E, 12,100 shares sold by Trust Account E to
the Association.
3. Number of the stocks as of the end of the period included,1,187,500 shares owned by Trust Account E.

.
3. Dividends(1) Amount of dividends paid
Decision
June 26, 2013at ordinary generalshareholders’ meeting
November 12, 2013
at board of directors meeting

Sort of shares

Total amount ofdividends paid

Common stock

Millions of yen
2,643

Dividends
per shares
Yen
15.50

Common stock

Millions of yen
2,411

Yen
16.00

Basis date

Effective date

March 31,2013

June 27, 2013

September 30,2013

December 9, 2013

(2) Dividends of basis date belonging to the consolidated accounting period to its effective date be in the next
consolidated accounting period.
Sort ofProceeds ofDividends
Effective
Total amount of
Scheduled Decision
Basis datedividends paid
sharesdividends
per shares
date
June 26, 2014at ordinary generalshareholders’ meeting

Commonstock

EarnedsurplusMillions of yen
2,202

Yen
14.50

March 31, 2014

June 27, 2014

(Note) Total amount of dividends paid includes the dividend on shares owned by Trust Account E, 17 million yen.

Current period (From April 1, 2014 to March 31, 2015)
1. Sort and total numbers of shared issues
Sort of shares
Number of shares
as of April 1, 2014
Common stock
171,459,479

Increased
numbers

Decreased
numbers--

Number of shares
As of March 31, 2015
171,459,479

2. Sort and numbers of treasury stock
Sort of shares
Number of shares
Increased
Decreased
Number of shares
as of April 1, 2014
numbers
numbers
As of March 31, 2015
Common stock
20,730,973
959
18,832,071
1,899,861(Notes) 1. Number of the stocks increased during the period due to purchase of odd-lot shares.
2. Number of the stocks decreased during the period due to the following reasons; 18,388,865 shares by
exercise of yen denominated convertible bond due in 2015, 6 shares by sale of odd-lot shares, 208,800
shares delivered for share exchange associated with the acquisition of whole share in Cell Science &Technology Institute, Inc., 234,400 shares sold by Trust Account E to the Association.
3. Number of the stocks as of the end of the period included,953,100 shares owned by Trust Account E.
3. Dividends(1) Amount of dividends paid
Decision
June 26, 2014at ordinary generalshareholders’ meeting
November 12, 2014
at board of directors meeting

Sort of shares

Total amount ofdividends paid

Common stock

Millions of yen
2,202

Dividends
per shares
Yen
14.50

Basis date

Effective date

March 31,2014

June 27, 2014

Millions of yen
Yen
September 30,2014 December 9, 2014
2,789
18.00
(Note) 1. Total amount of dividends paid decided in the ordinal general shareholders’ meeting on June 26, 2014
includes the dividend on shares owned by Trust Account E, 17 million yen.
2. Total amount of dividends paid decided in the board of directors meeting on November 12, 2014 includes
the dividend on shares owned by Trust Account E, 19 million yen.
Common stock(2) Dividends of basis date belonging to the consolidated accounting period to its effective date be in the next
consolidated accounting period.
Sort ofProceeds ofDividends
Effective
Total amount of
Scheduled Decision
Basis datedividends paid
sharesdividends
per shares
date
June 26, 2015at ordinary generalshareholders’ meeting

Commonstock

EarnedsurplusMillions of yen
2,472

Yen
14.50

March 31, 2015

June 29, 2015

(Note) Total amount of dividends paid includes the dividend on shares owned by Trust Account E, 13 million yen.

- 20 -

(Segment Information)[Segment Information]
1. Outline of reportable operating segments
Applied ASBJ Statement No.17 “TheAccounting Standard for Disclosures of Segments of an Enterprise and RelatedInformation”, the reportable operating segments are components of an entity for which separate financial information isavailable and evaluated regularly by the board of director in determining the allocation of management resources and inassessing performance. We currently operate our business on a stand-alone basis with the divisional organization andevaluate the performance of sales and manufacture of each division regardless of their products. Accordingly, we divide
our operations into 3 reportable operating segments on the basis of its main products: Medical-Related,
Pharmaceuticals-Related and Glass-Related.

*Medical-RelatedDomestic division sells injection and infusion products, artificial organ products, highly functional products, dialysis
products diabetic products and pharmaceuticals such as generic and kit products. In the global business division, head
office plays the center role and place overseas sales and manufacturing base for medical equipment and sales injection
and infusion products, artificial organ products and diabetic products.
*Pharmaceutical-Related
Pharmaceutical business division sells container for combination products and sells pharmaceuticals frompharmaceutical companies on a consignment basis. Domestic subsidiaries sell and manufacture injectable drug, oral
drugs and combination products (Kit injectable).
*Glass-Related
MP Glass division sells glass for vials and ampoules in the field of glass for medical use and sells glass for thermos
bottles and glass for lighting purpose in the field of glass & materials products. Overseas subsidiaries manufacture andsell tube glass and glass for vials and ampoules for medical use.

2. Method of calculating sales and profit by reportable operating segment
The accounting process of the segments follows the accounting principles and practices listed in Basis of Preparation for
the Consolidated Financial Statements. Profit of the segment is based on operating income. Internal revenue and transfer
to revenue between segments are based on the market realized price.
3. Information on amount of sales, profit or loss, assets and other items by reportable segment
FY2013 (From April 1, 2013 to March 31, 2014)(Millions of yen)
Total

Adjustment(Note.2)

Consolidated
financialstatements(Note.3)

Reportable Segment
Other(Note.1)

Medical-Related

Pharmaceutical-Related

221,362

51,507

27,610300,481271

300,752-

300,752

Glass-RelatedTotal

Net sales(1)Sales to third parties(2)Inter-segment sales
and transfers
Total
Segment profit

1,587

7,511

627

9,726

-

9,726

(9,726)-

222,950
20,43559,0198,013

28,237(2,182)

310,20726,265271
216

310,478
26,481(9,726)(14,192)

300,752
12,289Segment assets

348,331

137,193

28,530514,055

4,495

518,551

101,103619,654

12,896

8,777

2,394

24,067

46

24,114

1,036

25,151(2) Amortization of goodwill

3,472

3

1,351

4,827

-

4,827

-

4,827

(3) Increase in tangible andintangible fixed assets

14,241

10,646

5,464

30,353-30,353

4,739

35,093

Other items(1) Depreciationamortization(Note)

and1. “Other” is the business segment which is not included in the reporting segment and consist of real estate
income and sales by headquarter.
2. Adjustment is as follows.
(1) Adjustment for the segment profit of (14,192) million yen includes elimination of inter-segment transaction of(2,483) million yen and corporate cost of (11,708) million yen. Corporate cost consists primarily of sales,
general and administrative expenses and research and development cost which do not belong to thereporting segment.
(2) Adjustment for the segment assets of 101,103 million yen includes elimination of inter-segment transaction of- 21 -

(66,172) million yen and corporate assets of 167,275 million yen. Corporate assets consisted primarily ofcash and deposit, investment securities, assets for development and assets for management division of head
office which do not belong to the reporting segment.
(3) Adjustment for depreciation and amortization of 1,036 million yen is for corporate assets. Depreciation andamortization and increase in tangible and intangible fixed assets include long-term prepaid expenses.
(4) Adjustment for increase in tangible and intangible fixed assets is increase in corporate assts.
3.
Segment profit is adjusted to the operating income on the consolidated statements of income.

FY2014 (From April 1, 2014 to March 31, 2015)(Millions of yen)
Total

Adjustment(Note.2)

Consolidated
financialstatements(Note.3)

Reportable Segment
Other(Note.1)

Medical-Related

Pharmaceutical-Related

237,777

57,372

29,830324,979

104

325,084-

325,084

Glass-RelatedTotal

Net sales(1)Sales to third parties(2)Inter-segment sales
and transfers
Total
Segment profit

1,535

8,400

774

10,71035

10,745(10,745)-239,31223,812

65,772
10,55330,604(2,889)335,690
31,476139131335,829
31,607(10,745)(15,036)

325,084
16,571

Segment assets

350,869

137,570

70,175

558,61555

558,671

136,635

695,306

13,356

9,568

3,023

25,948-25,948

1,718

27,667(5) Amortization of goodwill

3,912

4

1,920

5,837

-

5,837

-

5,837

(6) Increase in tangible andintangible fixed assets

14,485

17,853

8,429

40,768-40,7686,929

47,698Other items(4) Depreciationamortization(Note)

4.

and1. “Other” is the business segment which is not included in the reporting segment and consist of real estate
income and sales by headquarter.
2. Adjustment is as follows.
(1) Adjustment for the segment profit of (15,036) million yen includes elimination of inter-segment transaction of(3,041) million yen and corporate cost of (11,994) million yen. Corporate cost consists primarily of sales,
general and administrative expenses and research and development cost which do not belong to thereporting segment.
(2) Adjustment for the segment assets of 136,635 million yen includes elimination of inter-segment transaction of(10,932) million yen and corporate assets of 147,568 million yen. Corporate assets consisted primarily ofcash and deposit, investment securities, assets for development and assets for management division of head
office which do not belong to the reporting segment.
(3) Adjustment for depreciation and amortization of 1,718 million yen is for corporate assets. Depreciation andamortization and increase in tangible and intangible fixed assets include long-term prepaid expenses.
(4) Adjustment for increase in tangible and intangible fixed assets is increase in corporate assts.
3.
Segment profit is adjusted to the operating income on the consolidated statements of income.

Change in Reportable Segment(1) Effective from the second quarter ended September 30, 2014, Nipro Glass India PVT. LTD., Nipro Tube Glass PVT.
LTD., Nipro Glass Americas Corporation, Nipro Glass France S.A.S., Nipro Glass Belgium N.V., Nipro Pharma Glass
AG, Nipro Glass Germany AG, Nipro Sterile Glass Germany AG, Chengdu Pingyuan Nipro Pharmaceutical Packaging
Co., Ltd., Jilin Nipro Jiaheng Pharmaceutical Packaging Co., Ltd. and Anyang Nipro Changda Pharmaceutical
Packaging Co., Ltd., OOO Ural Glass Plant and Puyang City Changda Glass Co., Ltd. are reclassified from
Medical-Related Business to Glass-Related Business with current review of organization system in Nipro group.
Segment information in the current quarterly period is based on this reclassification.

(2) Effective from this reporting period, the calculation method of retirement benefit obligations and service costs inbusiness segment was changed following the changes in accounting policy.
This change had no impact to profit and loss.

- 22 -

[Related Information]
FY2013 (From April 1, 2013 to March 31, 2014)
1. Information for each product and service
Disclosure is omitted as the same information is disclosed in segment information.
2. Information for each area
(1) Net sales
Japan

America

174,860

Europe56,887(2) Property, plant and equipment
Japan40,434

America

103,368

28,570Europe16,305(Millions of yen)
Total

Asia

(Millions of yen)
Total

Asia
11,104

300,752

60,815191,593

3. Information about impairment loss on fixed assets by reportable segments(Millions of yen)
Reportbale segment
Pharmaceutical-Related

Medical-Related

1

Total

Glass-Related

-

-

Other
1

Total
-

1

4. Information about unamortized balance of goodwill by reportable segment(Millions of yen)
Reportbale segment
Medical-Related

Balance of theficical year-end

Pharmaceutical-Related

20,717

Total

Glass-Related

17

7,758

Other

28,493

Total-

28,493

FY2014 (From April 1, 2014 to March 31, 2015)
1. Information for each product and service
Disclosure is omitted as the same information is disclosed in segment information.
2. Information for each area
(1) Net sales
Japan

America

182,148

Europe62,661(2) Property, plant and equipment
Japan

42,874

America

108,210

37,399Europe19,664(Millions of yen)
Total

Asia

(Millions of yen)
Total

Asia
12,965325,084

79,354

220,195

3. Information about impairment loss on fixed assets by reportable segments(Millions of yen)
Reportbale segment
Medical-Related

Pharmaceutical-Related0

Total

Glass-Related

-

65

Other
65

Total
-

65

4. Information about unamortized balance of goodwill by reportable segment(Millions of yen)
Reportbale segment
Medical-Related

Balance of theficical year-end

19,837

Pharmaceutical-Related

Glass-Related

13- 23 -

6,513

Total
26,364

Other

Total
-

26,364

(Per Share Information)
Previous period(From April 1, 2013
to March 31, 2014)

Current period(From April 1, 2014
to March 31, 2015)

Net assets per share

832.14 yen

988.79 yen

Earnings per share

18.19 yen

80.96 yen

Diluted Earnings per share

16.29 yen-

Base of the calculation is as follow;
1. Net assets per share
Previous period(As of March 31, 2014)

Current period(As of March 31, 2015)

Total net assets in B/S (million yen)

135,960

178,810Amount to be deducted from total net assets in B/S(Million yen)
Minority interests

10,533

11,150Net assets related to the common stocks(million yen)

125,426

167,659

Common stocks issued (Thousands shares)

171,459

171,459

Treasury stocks of common stock (Thousands shares)

20,730

1,899

Number of common stocks utilized for computation of net
assets per share (thousand shares)

150,728

169,559

2. Earnings per share and diluted earnings per share
Previous period(From April 1, 2013
To March 31, 2014)

Current period(From April 1, 2014
To March 31, 2015)

Earnings per share
Net income (Million yen)

2,861

12,470--Net income related to the common stock (Million yen)

2,861

12,470

Average shares of the common stock during the period(Thousands shares)

157,291

154,045--

18,389-Consolidated subsidiary:
Goodman Co., Ltd.
Stock Option decieded in the
Board of Directors Meetingon November 25, 2005
Overview of the potential shares not included in the(Common stockcomputation of diluted earning per share because of not
253 thousand shares)
having a dilutive effect
Stock Option decieded in the
Board of Directors Meetingon April 27, 2006
(Common stock
2 thousand shares)

Same as on the left

Amount not attributed to the common stock (Million yen)

Diluted earnings per share
Net income adjustment (Million yen)
Number of common stockincreased
Stock acquisiton right (thousand shares)(Material Subsequent Event)N/A- 24 -

6. Non-consolidated Financial Statements(1) [ Non-consolidated Balance Sheets](Millions of yen)
As ofMarch 31, 2014
AssetsCurrent Assets
Cash and deposits
Notes receivable-trade
Accounts receivable-trade
Securities
Merchandise and finished goods
Work in process
Raw materials and supplies
Advance payments-trade
Prepaid expenses
Deferred tax assets
Short-term loans receivable from subsidiaries and affiliates
Accounts receivable-otherConsumption taxes receivable
Other
Allowance for doubtful accounts
Total current assets
Noncurrent assets
Property, plant and equipment
Bulidings
Accumulated depreciation and impairment loss
Buildings, net
Structures
Accumulated depreciation and impairment loss
Structures, net
Machinery, equipment
Accumulated depreciation and impairment loss
Machinery equipment, net
VehiclesAccumulated depreciation and impairment loss
Vehicles, net
Tools, furniture and fixtures
Accumulated depreciation and impairment loss
Tools, furniture and fixtures, net
Land
Lease assets
Accumulated depreciation
Lease assets, net
Construction in progress
Total property, plant and equipment- 25 -

As ofMarch 31, 2015

40,413
15,07962,21420
29,192
3,214
3,518
1,197
275
2,488
40
1,485
1,123
730
(8)
160,985

61,466
16,27378,705－28,520
3,115
3,221
529
296
1,123
5,974
2,720
543
303
(11)
202,782

39,411(25,491)
13,9201,994(1,565)428
51,337(45,115)
6,222
95
(86)
8
15,641(13,775)
1,865
11,787
879
(493)
385
516
35,13440,382(23,168)
17,213
2,193(1,569)624
52,807(47,468)
5,339
97
(87)
9
16,932(14,794)
2,137
8,303
1,007
(520)
487
1,655
35,771

(Millions of yen)
As ofMarch 31, 2014
Intangible assets
Goodwill
Patent right
Right of trademark
SoftwareLease assets
Telephone subscription right
Other
Total intangible assets
Investments and other assets
Investment securities
Stocks of subsidiaries and affiliates
Investments in capital
Investments in capital of subsidiaries and affiliates
Long-term loans recievable
Long-term loans receivable from subsidiaries and affiliates
Claims provable in bankruptcy,
claims provable in rehabilitation and other
Long-term prepaid expenses
Prepaid pension cost
Deferred tax assets
Other
Allowance for doubtful accounts
Allowance for investment loss
Total investments and other assets
Total noncurrent assets
Total assets
Liabilities
Current liabilities
Notes payable-trade
Accounts payable-trade
Short-term loans payable
Current portion of long-term loans payable
Commercial papers
Current portion of bonds
Current portion of Convertible bond-type bonds
with subscription rights to shares
Lease obligations
Accounts payable-other
Directors' bonuses payable
Accrued expenses
Income taxes payable
Advances received
Deposits received
Unearned revenue
Provision for bounuses
Provision for sales returns
Provision for loss on business liquidation
Notes payable-facilities
Other
Total current liabilities- 26 -

As ofMarch 31, 2015

3,731
14
3
924
429
23
409
5,537

3,579
9
3
862
1,620
23
84
6,183

59,112
157,859
037,6463,338
6,870

56,182160,043
037,646
28
8,223

340

3,642

1,313
－
7,566
603
(2,444)(2,629)269,579
310,251
471,237

1,901
249
4,050
620
(2,897)(2,629)267,062
309,017
511,800

12,262
33,12431,00036,161
10,0003,000

12,97435,09230,30037,743
10,00026,40014,895－322
12,044
415
759
5,100
12
61
45
1,179
－
2,438
764
1,721
165,308

356
7,485
436
819
2,330
8
102
36
1,239
31
－
1,752
516
167,624

(Millions of yen)
As ofMarch 31, 2014
Noncurrent liabilities
Bonds payable
Long-term loans payable
Lease obligations
Long-term unearned revenue
Provision for retirement benefits
Provision for directors' retirement benefits
Provision for loss on litigation
Long-term guarantee deposited
Total noncurrent liabilities
Total liabilities
Net assets
Shareholders' equity
Capital stock
Capital surplus
Legal capital surplus
Other capital surplus
Total capital surplus
Retained earnings
Legal retained earnings
Other retained earnings
Reserve for dividends
Reserve for advanced depreciation of noncurrent assets
General reserve
Retained earnings brought forward
Total retained earnings
Treasury stock
Total shareholders' equity
Valuation and translation adjustments
Valuation difference on available-for-sale securities
Total valuation and translation adjustmentｓ
Total net assets
Total liabilities and net assets- 27 -

As ofMarch 31, 2015

42,000130,173
535
84
1,151
256
218
1,567
175,987
341,295

18,200163,238
1,799
48
1,413
301
－
1,630
186,632
354,257

84,39784,397

635
53
688

635
－
635

2,178

2,678

16
98
60,535
8,802
71,630(17,999)
138,717

16
98
66,7358,278
77,805(1,686)
161,152(8,776)(8,776)
129,941
471,237(3,608)(3,608)
157,543
511,800

(2) [Non-consolidated Statements of Income and Non-consolidated Statement of Comprehensive Income]Non-consolidated Statements of Income

FY2013(From April 1, 2013
to March 31, 2014)
Net sales
Net sales of finished goods
Net sales of goods
Rent income of real estate
Total net sales
Cost of sales
Beginning finished goods
Beginning goods
Cost of products manufactured
Purchase of finished goods
Cost of purchased goods
Cost of real estate rent
Total
Ending finished goods
Ending goods
Total cost of sales
Gross profit
Selling, general and administrative expenses
Operating income
Non-operating income
Interest income
Dividends income
Foreign exchange gains
Other
Total non-operating income
Non-operating expenses
Interest expenses
Interest on bonds
Other
Total non-operating expenses
Ordinary income
Extraordinary income
Gain on sales of noncurrent assets
State subsidy
Gain on sales of investment securities
Other
Total extraordinary income
Extraordinary losses
Loss on retirement of noncurrent assets
Loss on reduction of non-current assets
Provision for loss on business liquidation
Loss on sales of investment securities
Loss on valuation of shares of subsidiaries and associates
Other
Total extraordinary losses
Income before income taxes
Income taxes-current
Income taxes-deferred
Total income taxes
Net income- 28 -(Millions of yen)
FY2014(From April 1, 2014
to March 31, 2015)

157,191
31,041
271
188,504

178,01130,600139
208,751

13,965
5,735
40,45785,02325,87755
171,115
23,265
5,927
141,923
46,58131,807
14,77423,265
5,927
41,67291,502
22,6697
185,044
22,411
6,108
156,524
52,22636,881
15,345

169
2,217
3,039
505
5,931

375
3,852
4,757
1,044
10,030

1,704
514
402
2,621
18,084

2,053
504
482
3,039
22,335

160
610
1,303
3
2,077

1,517
26
3,397
10
4,951

260
580
483
161
－
328
1,814
18,347
7,009
(7)
7,002
11,345

212
－
－
3,126
3,973
327
7,639
19,647
5,597
2,031
7,628
12,018

(3) [Non-consolidated Statements of Shareholders' Equity](Millions of yen)
FY2014(From April 1, 2014
to March 31, 2015)

FY2013(From April 1, 2013
to March 31, 2014)
Shareholder's equity
CapitalBalance at beginning of year
Increase (decrease) during the period
Net increase (decrease) during the period
Balance at end of year
Capital surplus
Capital reserve
Balance at beginning of year
Increase (decrease) during the period
Net increase (decrease) during the period
Balance at end of year
Other capital surplus
Balance at beginning of year
Increase (decrease) during the period
Disposal of treasury stock
Net increase (decrease) during the period
Balance at end of year
Total capital surplus
Balance at beginning of year
Increase (decrease) during the period
Disposal of treasury stock
Net increase (decrease) during the period
Balance at end of year
Earned surplus
Earned reserve
Balance at beginning of year
Increase (decrease) during the period
Provision of legal retained earnings
Net increase (decrease) during the period
Balance at end of year
Other earned reserve
Reserve for dividends
Balance at beginning of year
Increase (decrease) during the period
Net increase (decrease) during the period
Balance at end of year

- 29 -

84,39784,397－84,397－84,397

635

635

－
635

－
635

0

53

52
52
53

(53)
(53)
－

636

688

52
52
688

(53)
(53)
635

1,673

2,178

505
505
2,178

499
499
2,678

16

16

－
16

－
16

FY2013(From April 1, 2013
to March 31, 2014)
Reserve for advanced depreciation of noncurrent assets
Balance at beginning of year
Increase (decrease) during the period
Net increase (decrease) during the period
Balance at end of year
General reserve
Balance at beginning of year
Increase (decrease) during the period
Provision of general reserve
Net increase (decrease) during the period
Balance at end of year
Earned surplus carried forward
Balance at beginning of year
Cumulative effects of changes in accounting policies
Balance of beginning of year after change in account policies
Increase (decrease) during the period
Dividends of surplus
Net income
Provision of legal retained earnings
Provision of general reserve
Disposal of treasury stock
Net increase (decrease) during the period
Balance at end of year
Total earned surplus
Balance at beginning of year
Cumulative effects of changes in accounting policies
Balance of beginning of year after changes in account policies
Increase (decrease) during the period
Dividends of surplus
Net income
Disposal of treasury stock
Net increase (decrease) during the period
Balance at end of year
Treasury stock
Balance at beginning of year
Increase (decrease) during the period
Acquisition of treasury stock
Disposal of treasury stock
Net increase (decrease) during the period
Balance at end of year

- 30 -(Millions of yen)
FY2014(From April 1, 2014
to March 31, 2015)

98

98

－
98

－
98

56,03560,5354,500
4,500
60,5356,200
6,200
66,735

7,518
－
7,518

8,802
80
8,883

(5,054)
11,345(505)(4,500)
－
1,284
8,802

(4,992)
12,018(499)(6,200)
(932)
(604)
8,278

65,340－65,34071,63080
71,711(5,054)
11,345－
6,290
71,630(4,992)
12,018(932)
6,094
77,805(865)(17,999)(18,178)
1,043(17,134)(17,999)(0)
16,313
16,312(1,686)

FY2013(From April 1, 2013
to March 31, 2014)
Total Shareholders' equity
Balance at beginning of year
Cumulative effects of changes in accounting policies
Balance of beginning of year after changes in account policies
Increase (decrease) during the period
Dividend of surplus
Net income
Acquisition of treasury stock
Disposal of treasury stock
Net increase (decrease) during the period
Balance at end of year
Valuation and translation differences
Valuation differences of available-for-sale secrities
Balance at beginning of year
Increase (decrease) during the period
Net increase (decrease) of the items other thanshareholders' equity during the period
Netincrease (decrease) during the period
Balance at end of year
Total valuation and translation differences
Balance at beginning of year
Increase (decrease) during the period
Net increase (decrease) of the items other thanshareholders' equity during the period
Netincrease (decrease) during the period
Balance at end of year
Total net assets
Balance at beginning of year
Cumulative effects of changes in accounting policies
Balance of beginning of year after changes in account policies
Increase (decrease) during the period
Dividend of surplus
Net income
Acquisition of treasury stock
Disposal of treasury stock
Net increase (decrease) of the items other thanshareholders' equity during the period
Net increase (decrease) during the period
Balance at end of year

- 31 -(Millions of yen)
FY2014(From April 1, 2014
to March 31, 2015)

149,509－
149,509

138,71780
138,798(5,054)
11,345(18,178)
1,096(10,791)
138,717(4,992)
12,018(0)
15,32822,353
161,152(13,672)(8,776)

4,895

5,168

4,895
(8,776)

5,168(3,608)(13,672)(8,776)

4,895

5,168

4,895
(8,776)

5,168(3,608)135,837－
135,837

129,94180
130,021(5,054)
11,345(18,178)
1,096(4,992)
12,018(0)
15,328

4,895

5,168

(5,896)
129,941

27,522
157,543