Summary Report of Consolidated Financial Results
For the Fiscal Year ended March 31, 2018
May 10, 2018stCompany 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: June 27, 2018
Payment date of cash dividends: June 28, 2018
Supplemental material on quarterly reporting: Yes
Presentation on annual results: Yes (for institutional investors and analysts)(Note: Amounts less than one million yen are rounded down)
1. Consolidated Results for the year ended March 31, 2018 (From April 1, 2017 to March 31, 2018)(1) Consolidated Results of Operations(%: Changes from the previous fiscal year)
Profit attributable to
Net Sales
Operating Income
Ordinary Income
owners of parent
Millions of yen %Millions of yen %Millions of yen %Millions of yen %Year ended March 31, 2018395,397 9.9
27,088 (5.8)
22,684 (2.1)
11,829 4.3
Year ended March 31, 2017359,699 (1.9)
28,770 18.9
23,166 58.4
11,346 (42.5)
Note: Comprehensive income

Year ended March 31, 2018: 13,492 million yen (25.5 %)Year ended March 31, 2017: 10,753 million yen (177.6%)

DilutedEarnings
per share

Earnings per
share

Year ended March 31, 2018Year ended March 31, 2017
Note: Equity in profit (loss) of affiliate

Yen
71.15
67.58

Yen
64.51
61.33

Year ended March 31, 2018: 113 million yen(2) Consolidated Financial Position
Total Assets
Millions of yen
As of March 31, 2018826,759
As of March 31, 2017
752,839
Note: Equity(3)

March 31, 2018: 172,621 million yen

%
2.9
3.2

Year ended March 31, 2017: 112 million yen

Net Assets
Millions of yen
183,485
176,408

Equity Ratio
%
20.9
22.1

Net assets per share
Yen
1,037.25
977.54

Cash flows fromfinancing activities
Millions of yen
47,341
36,483

Cash and cash
equivalents
Millions of yen
135,599
112,046

March 31, 2017: 166,082 million yen

Cash flows fromoperating activities
Millions of yen
41,04633,472

Cash flows frominvesting activities
Millions of yen(64,140)(66,351)

Dividends
Firstquarter

Annual dividends per year
SecondThirdYear-end
dividends
quarterquarter

Annualdividends

Annual totalof dividends

Pay-out ratio(consolidated)

Ratio ofdividends to
net assets(consolidated)

Yen

Yen

Yen

Yen

Millions of yen

%

%

-

7.50

-

21.50

29.00

4,842

42.9

2.9

-

17.50

-

11.00

28.50

4,748

40.1

2.8

-

12.00

-

18.00

30.00

Yen
Year ended March
31, 2017
Year ended March
31, 2018
Year ending March
31, 2019 (Forecast)3.

Ratio ofoperatingincome to net
sales
%
6.9
8.0

Ratio of ordinary
income to total
assetsConsolidated Cash Flows

Year ended March 31, 2018Year ended March 31, 20172.

Raito of net
income toshareholders’equity
%
7.0
6.8

35.2

Forecast of Consolidated Financial Results for the Year ending March 31, 2019 (From April 1, 2018 to March 31, 2019)(%: Changes from the corresponding period of 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
Six months ending Sept. 30, 2018
208,600
11.0
9,899(13.9)
8,200(30.4)
5,200(37.2)
31.25
Year ending March 31, 2019
426,800
7.9 23,400(13.6) 20,400(10.1)
14,20020.0
85.33

*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) 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(3) Issued Shares (Common stock)[1] Number of issued shares at the end of the period (including treasury stock):
Year ended March 31, 2018:
171,459,479 sharesYear ended March 31, 2017:
171,459,479 shares[2] Number of treasury stock at the end of the period:
Year ended March 31, 2018:
5,037,124 sharesYear ended March 31, 2017:
5,300,071 shares[3] Average number of shares during the period:
Year ended March 31, 2018:
166,276,706 sharesYear ended March 31, 2017:
167,903,832 shares
Note: Number of the treasury stocks as of March 31, 2018 included 196,100 shares, and as of March 31, 2017 included
460,000 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, 2018 (From April 1, 2017 to March 31, 2018)(1) Results of Operations(%: Changes from the previous fiscal year)
Net sales
Operating income
Ordinary income
Net income
Millions of yen %Millions of yen %Millions of yen %Millions of yen %Year ended March 31, 2018
270,844
8.9
15,426(4.8)
16,542(1.3)
12,272
1.2
Year ended March 31, 2017248,812
6.6
16,209(19.9)
16,766(7.9)
12,130
25.0

Yen
73.81
72.25

Diluted earnings
per share
Yen
66.92
65.57

Total assets
Millions of yen
622,679
561,216

Net assets
Millions of yen
172,933
169,121

Earnings per share
Year ended March 31, 2018Year ended March 31, 2017

(2) Financial Position

Year ended March 31, 2018Year ended March 31, 2017
Note: Equity Year ended March 31, 2018: 172,933 million yen

Equity ratio
%
27.8
30.1

Net assets per share
Yen
1,039.12
1,017.82

Year ended March 31, 2017: 169,121 million yen*This summary report is exempt from audit procedure based on the Financial Instruments and Exchanges Act.
*Disclaimer regarding projection information including appropriate use of forecasted financial result, and other specialnotes
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 to changes incircumstances and other developments. More information concerning these forecasts can be found in P.4 “1. Overview
of Business Results (3) Future Outlook” in the attachment.

Table of Contents

1.

Overview of Business Results2(1) Overview of FY2017 Business Results2(2) Overview of FY2017 Financial Position

4(3) Future Outlook

4(4) Basic Policy on Distribution of Profits and Dividends
for Fiscal Years Ending March 31, 2018 and March 31, 20195

2.

Corporate Group

6

3.

Management Policies

8(1) Basic Management policy

8(2) Target Management Indicators

8(3) Medium- to Long-term Management Strategies8(4) Issues and Challenges Facing the Group9

4.

Basic Principles Underlying the Concept of Accounting Standards

95.

Consolidated Financial Statements and Major Notes

10(1) Consolidated Balance Sheets

10(2) Consolidated Statements of Income andConsolidated Statements of Comprehensive Income

6.

12(3) Consolidated Statements of Shareholders’ Equity

14(4) Consolidated Statements of Cash Flows

16(5) Notes Regarding Consolidated Financial Statements

18(Notes Related to Going Concern)

18(Basis of Preparation for the Consolidated Financial Statements)

18(Notes Regarding Consolidated Balance Sheets)

21(Notes Regarding Consolidated Statements of Income)21(Notes Regarding Consolidated Statements of Shareholders’ Equity)

21(Segment Information)

22(Per Share Information)

26(Material Subsequent Event)26

Non-consolidated Financial Statements

27(1) Non-consolidated Balance Sheets

27(2) Non-consolidated Statements of Income30(3) Non-consolidated Statements of Shareholders’ Equity

31

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1.

Overview of Business Results(1) Overview of FY2017 Business Results[1] Overview of FY2017
The Japanese economy, during the current consolidated fiscal year, saw a continuation of the gradual economic
recovery as corporate earnings remained steady. Meanwhile, although concerns such as rising geopolitical risks existed,
the global economy in general also saw a gradual economic recovery. Furthermore, foreign exchange levels remained
relatively stable throughout the fiscal year. 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 assoon as possible.
As a result, sales for the current consolidated fiscal year increased YoY by 9.9% to 395,397 million yen due to favorable
sales in the Medical-Related Business. Meanwhile, despite the gross profit margin improving YoY by 0.2 percentage
points, operating profit decreased YoY by 5.8% to 27,088 million yen and ordinary profit decreased YoY by 2.1% to 22,684
million yen as a result of a significant increase in selling, general and administrative expenses owing to the active
promotion of regenerative medicine and pharmaceutical development. Moreover, despite the recording of extraordinary
losses, profit attributable to owners of parent increased YoY by 4.3% to 11,829 million yen due to a decrease in income
taxes, etc.
The overview of the results for the current period under review by business segment is as follows.

a.

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 of existingproducts and products included in the Japanese drug price standard list in June and December increased. Furthermore,
we launched our first authorized generic, Bepotastine Besilate, in March 2018, capturing a significant share of the market
in its first month and contributing to sales and income. Leveraging our advantage of being a medical and pharmaceuticalconglomerate, we have further 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, as a result of enhanced sales of mainstay dialysis products, such as dialyzers, and hospital products,
overseas sales revenues displayed steady growth. Sales of new model dialysis machines introduced 2-3 years ago inparticular were favorable, contributing to sales. We have positioned the 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 aleading dialysis provider. In China, in addition to continued favorable sales of dialyzers, we are expanding sales of dialysis
machines. In India, sales of dialyzers and dialysis machines were favorable and, furthermore, injection-transfusion
products produced at our factory in India were also favorable and are contributing to increased sales. Moreover, in othermarkets, we established a presence in Canada and China in the period and are continuing to strengthen direct sales.
Going forward, we will continue quickly responding to front-line needs through the enhancement of direct sales, working toenhance customer satisfaction and expand sales.
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, both factories steadily expanding production capacity .

-2-

As a result, net sales of this business increased 14.5% YoY to 300,117 million yen.

b.

Pharmaceutical-Related BusinessIn the Pharmaceutical-Related Business—in addition to the existing comprehensive contract manufacturing of oral,

injection and external use drug formulations—we have endeavored to provide a diverse and detailed array of contract
services. These services include contract development proposals from the design stage of such formulations and, forinjection drugs, services that leverage our strength in being able to develop and supply packaging such as vials, syringes
and bags, including support and the manufacturing of investigational new drugs from the initial stages of development andsupport for lifecycle management that aims to enhance added value and differentiate products such as through additional
formulations. Moreover, we have focused on contract manufacturing for 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 haveworked with pharmaceutical manufacturers in Japan and abroad on the comprehensive lifecycle management ofpharmaceutical 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 routesof administration.
However, owing to decreased production quantities of long-listed products and existing generic drugs, net sales of thisbusiness decreased YoY by 3.3% to 66,846 million yen.

c.

PharmaPackaging BusinessIn the PharmaPackaging Business, in addition to our existing products, we have developed high-performance andhigh-quality pharmaceutical packaging materials under industry-academia collaboration and, towards capturing new
demand, we have been proactive in technical sales to the research departments of pharmaceutical manufacturers.
Moreover, all departments were united in making efforts towards developing new technologies and products from a user
perspective and expanding sales at academic conferences and worked to enhance product competitiveness and value. In
addition, in terms of manufacturing, we have promoted stable high-quality and high value-added products and technology
development in Japan and abroad that respond to injectable formulations and filling processes.
Looking at the overseas department, in the United States and Europe inventory reductions by pharmaceuticalcompanies settled down and sales grew centered on syringes in Europe and vials in the United States. In China, as themarket becomes more high-quality, we strengthened sales of high value-added vials and ampoules that use high-quality
glass tubes. In India, sales of high-quality glass tubes and vials were solid as a result of the strengthening of sales andenhancing of quality. Going forward, we will enhance quality by automating production lines in each country andoptimizing production.
In the domestic market, while sales of glass tubes struggled, sales were solid with a focus on syringes. Despite impacts
from production adjustments at the manufacturer for glass valves for thermos bottles, income exceeded the previous year.
Furthermore, at the Biwako Plant, we enhanced management frameworks, established a production framework forpharmaceutical containers and began mass production of medical rubber stoppers, steadily improving towards ahigh-profit structure. Going forward, along with the maturation of the market, we will work towards increasing sales bystrategically pushing forward with the introduction of high value-added products into the Asian/Indian markets, where
demand for higher quality products is rising.
As a result, net sales of this business increased 0.3% YoY to 28,404 million yen.

-3-

d.

Other BusinessAmong other business, net sales from the real-estate rental business, etc. were 29 million yen (down 2.0% YoY).

(2) Overview of FY2017 Financial Position[1] Assets, liabilities, and net assets
Total assets increased 73,919 million yen from the end of the previous consolidated fiscal year to 826,759 million yen at
the end of the current consolidated fiscal year under review. Current assets increased 49,271 million yen and noncurrent
assets increased 24,648 million yen. The main reasons for the increase in current assets was an increase of 19,473
million yen in notes and accounts receivable-trade. The main reason for the increase in noncurrent assets was anincrease of 11,584 million yen in construction in progress.
Total liabilities increased 66,842 million yen from the end of the previous consolidated fiscal year to 643,273 million yen.
Current liabilities decreased 605 million yen and noncurrent liabilities increased 67,448 million yen. The main reason forthe decrease in current liabilities was a decrease of 13,945 million yen in current portion of bonds, and the main reason for
the increase in noncurrent liabilities was an increase of 69,335 million yen in long-term loans payable.
Total net assets increased 7,077 million yen from the end of the previous consolidated fiscal year to 183,485 million yen.
Shareholders' equity increased 5,385 million yen and accumulated other comprehensive income increased 1,153 millionyen.

[2] Consolidated cash flow
The ending balance of cash and cash equivalents increased 23,552 million yen from the end of the previous
consolidated fiscal year to 135,599 million yen at the end of the current consolidated fiscal year under review.
(Cash flows from operating activities)
Net cash provided by operating activities was 41,046 million yen. The main accounts of cash inflow were profit before
income taxes, 17,026 million yen and depreciation, 32,565 million yen. The main account of cash outflow was increase innotes and accounts receivable-trade, 7,331 million yen.
(Cash flows from investing activities)
Net cash used in investing activities was 64,140 million yen. The main account of cash outflow was purchase ofnon-current assets, 62,382 million yen.
(Cash flows from financing activities)
Net cash provided by financing activities was 47,341 million yen. The main account of cash inflow was proceeds fromlong-term loans payable, 135,110 million yen. The main account of cash outflow was repayment of long-term loans
payable, 7,493 million yen.

(3) Future Outlook
Going forward in the world economy, concerns are growing over the possibility of a trade war due to the hardline tariff
policy of the United States as further uncertainty and challenging conditions are expected. Even under such circumstances,
the Nipro Group will continue to work toward achieving a consolidated sales goal of 500,000 million yen by fiscal year 2020and promote the development of new technologies and products from a user perspective, making social contributions
through technological innovation.
Our forecasts for the fiscal year ending March 31, 2019 include consolidated net sales of 426,800 million yen (up 7.9%
YoY), operating profit of 23,400 million yen (down 13.6% YoY), ordinary profit of 20,400 million yen (down 10.1% YoY), andprofit attributable to owners of parent of 14,200 million yen (up 20.0% YoY). In addition to expected decreases in income
due to impacts from revised drug prices, the prediction may be slightly severe owing to projected increases in development
costs regarding new product development, yet the foundations are being laid for further future expansions in business.

-4-(4) Basic Policy on Distribution of Profits and Dividends for Fiscal Years Ending March 31, 2018 and March 31, 2019
We position profit return as an important management measure and will provide dividends to our shareholders. Internal
reserves will be invested in sales & marketing, production, and research and development divisions, widening
management frameworks and ensuring long-term business development, so as to obtain stable and sustainable growth
going into the future.
We plan an annual dividend of 28.50 yen per share and, as we have already paid an interim dividend of 17.50 yen per
share, the year-end dividend is to be 11.00 yen per share, which will be proposed to the Company’s 65th ordinary general
meeting of shareholders.
We plan to make the dividend for the year ending March 31, 2019 inherit current basic policy while changing to betterreflecting consolidated income.

-5-

2.

Corporate GroupOur group consists of the Reporting Company (“the Company”), its 94 subsidiaries and 5 affiliates 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.
NexMed International Co., Ltd. develops, manufactures and sells orthopedic medical equipment.
Nipro ES Pharma Co., Ltd. purchases products from the Company and its subsidiaries and sells
generic drugs.
Nichihos Co., Ltd. manages dispensing pharmacies and sells pharmaceutical products.

Overseas:

Nipro (Thailand) Corporation Ltd., Nipro (Shanghai) Co., Ltd. (China) and Nipro India Corporation
Private Limited (India) and other subsidiaries purchase some 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 Medical Europe N.V. (Belgium) (renamed from Nipro Europe N.V. on March 1, 2018),Nipro
Medical Corporation (U.S.A.) and Nipro Trading (Shanghai) Co., Ltd. (China) and other sales
subsidiaries purchase products mainly from the Company and its subsidiaries, and sell medical
equipment etc. in the areas of their locations.

<Pharmaceutical-Related Business>
Domestic:

The Company, Nipro Pharma Corporation and Zensei Pharmaceutical Industries Co., Ltd.
manufacture and sell pharmaceutical products.

Overseas:

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

< PharmaPackaging Business >Domestic:

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

Overseas:

Nipro PharmaPackaging (Shanghai) Co., Ltd. purchases some raw materials through the Company
and sells them to its subsidiaries in China such as Chengdu Pingyuan Nipro Pharmaceutical Packaging
Co., Ltd.
Subsidiaries such as Nipro PharmaPackaging Americas Corp. (U.S.A.), Nipro PharmaPackaging
France S.A.S. (France), Nipro PharmaPackaging Germany GmbH (Germany), Nipro PharmaPackaging
India Private Limited (India), and Chengdu Pingyuan Nipro Pharmaceutical Packaging Co., Ltd. (China)
manufacture and sell tube glass, vials and ampoules, etc. for medical use focusing on their eachlocation.

<Other business>
The Company manufactures (purchases, in some cases) and sells production machinery for medical
equipment and is engaged in leasing of real estate properties.
Nissho Insurance & Travel Co., Ltd. operates non-life insurance agency and travel businesses mainly
for the group companies.
Nipro Europe Group Companies N.V. (Belgium) mainly supervises businesses of Nipro Medical
Europe N.V. (Belgium) and Nipro PharmaPackaging International N.V. (Belgium).
The above explanations are illustrated as follows:-6-

（Domestic）
Medical-Related Business《Manufacture》◎Nipro Medical Industries Co.,Ltd.
◎Goodman Co.,Ltd.

ニ
プ
ロ
株
式
会
社

(Overseas)
Medical-Related Business《Sale》◎Nipro Medical Europe N.V.
and 17 other consolidated subsidiaries◎Cell Science & Technology Institute,Inc.

◎Nipro Medical Corporation◎NexMed International Co., Ltd.

◎Nipro Trading (Shanghai) Co.,Ltd.

and 3 unconsolidated subsidiaries◎Nipro Asia Pte Ltd
and 16 other consolidated subsidiaries《Sale》

and 1 affliated company◎Nichihos Co., Ltd.
and 12 other consolidated subsidiaries《Manufacture and Sale》

and 1 affiliated company◎Nipro (Thailand) Corporation Ltd.
◎Nipro (Shanghai) Co.,Ltd.
◎Nipro Medical Ltda.

《Sale》◎Nipro ES Pharma Co., Ltd.

◎Nipro India Corporation Private Limited◎Nipro Medical (Hefei) Co.,Ltd.
and 12 other consolidated subsidiaries
and 1 other unconsolidated subsidiaryand 2 other affiliated companies

Pharmaceutical-Related Business《Manufacture and Sale》

Pharmaceutical-Related Business《Manufacture and Sale》◎Nipro Pharma Corporation◎Nipro Pharma Vietnam Co., Ltd.
《Manufacture and Sale》■Mekophar Chemical Pharmaceutical Joint-Stock Co.

◎Zensei Pharmaceutical Industries Co.,Ltd.
PharmaPackaging Business《Manufacture and Sale》◎Nipro PharmaPackaging International N.V.
◎Nipro PharmaPackaging Americas Corp.
◎Nipro PharmaPackaging France S.A.S.
◎Nipro PharmaPackaging Germany GmbH
Other Business《Non-life insurance and travel agency》

and 1 consolidated subsidiary◎Nipro PharmaPackaging India Private Limited○Nissho Insurance & Travel Co.,Ltd.

and 2 other consolidated subsidiaries◎Chengdu Pingyuan Nipro Pharmaceutical
Packaging Co.,Ltd.
and 3 other consolidated subsidiaries

Supply of raw materials《Sale》

Supply of products and merchandises◎Nipro PharmaPackaging (Shanghai) Co.,Ltd.

Other transactions◎Consolidated subsidiary○Unconsolidated subsidiary

Other Business《Supervising》■Affiliated company◎Nipro Europe Group Companies N.V.

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3.

Management Policies(1) Basic Management Policy
Since our foundation in 1954, the Company’s business philosophy has been to contribute to society through corporate
activities under the concept of “technological innovation”. In keeping with this philosophy, it has constantly sought toachieve growth through pursuit of distinctive products and technology for better quality of life (QOL) among patients and in
response to issues and needs at medical care sites.
In addition, as a management mechanism that bears in mind that the balance between “stability” and “growth” is themost important for a company, we established a “performance-based pay system” and vigorously develop our businessbased on the concept of self-responsibility.

(2) Target Management Indicators
We aim to achieve consolidated net sales of 1 trillion yen by fiscal 2030. As a first step, we are aiming for consolidated
net sales of 500,000 million yen and ordinary profitof 40,000 million yen by fiscal 2020 and will make every effort

towards steady growth in the Medical-Related, Pharmaceutical-Related, and PharmaPackaging businesses.

(3) Medium- to Long-term Management Strategies
The basic policy and management strategy of the Nipro Group lie in the expansion of sales through acquiring a share in
the global market by providing products of a stable quality and cost competitiveness and raising our production capacity
for products projected to exhibit quantitative growth. Moreover, we are determined to develop products of value and safety,
as viewed from the user’s perspective, utilizing our original technology and other management resources that span the
Medical Devices, Pharmaceuticals, and PharmaPackaging business segments.
In our Medical-Related Business, we plan to expand our market share, vigorously filling our line-up and opening up newsales channels in areas such as diabetes, vascular and surgical device (SD) products, as well as artificial kidney dialyzers(our mainstay products in this field) and other dialysis products.
In the field of generic drugs, demand is expected to continue to rapidly expand in light of the Ministry of Health, Labourand Welfare's roadmap to promote the use of generic drugs that aims to increase the share of the total pharmaceuticalsales volume occupied by such drugs to at least 80 percent by the end of fiscal 2020. As such, besides our ongoingdevelopment of new generic drugs, we will continue concentrating on the creation of various sales routes to users such asuniversity hospitals, foundation hospitals and dispensing pharmacy groups and enhancing relations with important
wholesalers and distributors, while pursuing greater synergies through coordination with our Medical Equipment Sales
Division.
For overseas sales, with a global and customer perspective together with a bottom-up approach as our policy, we will
work towards increasing the shares of our products, particularly dialysis products such as dialyzers and dialysis machines.
Accordingly, we will perform clinical trials and technical sales to our customers and continue to enhance our salesorganization.
In recent years, as a result of establishing new business bases and developing sales channels in developing regions
such as India and China where further market expansion is expected, sales are steadily expanding. Going forward, we willcontinue to actively establish new business bases in developing regions in order to capture demand in expanding markets.
Furthermore, in Europe and the United States, by strengthening ties with major dialysis center groups we will work
towards further expanding sales and increasing our market share.
In the Contracted Manufacturing Division of our Pharmaceutical-Related Business, we will build frameworks for
production and quality assurance that meet requirements in developed countries. We will also further expand our
production capacity while working to expand our business as a leading corporate group in the contracted manufacturing ofpharmaceuticals. Moreover, we are working to improve production site capacity outside of Japan in order to enhance ourcapacity for stable supply and cost competitiveness, enabling the supply of medical products globally. We will continue todevelop and supply safe and useful products, as viewed from a healthcare professional and patient perspective, through-8-

collaborations between our unique pharmaceutical containers and pharmaceutical preparation and administration devices.
In the PharmaPackaging Business, we will continue to expand our market share using our glass manufacturing
technologies such as VIALEX® glass vials and "D2F(TM)" sterilized vials cultivated over many years of operations. Usingsuch technologies as a foundation, we will provide a further detailed customer service by fusing and harmonizing theregional strategies of each country and functional strategies of each department in every direction possible. Moreover, we
will strive to expand business by promptly constructing a framework that can deliver total pharmaceutical packaging
materials such as glass, plastics, rubbers and metals, and globally developing as well as introducing high value-added
products while shifting to the selling of solutions.

(4) Issues and Challenges Facing the GroupIn our Medical-Related Business, the Medical Sales Division will strive to create designs reflecting considerations for
medical safety and security and develop products that alleviate the environmental burden for products related totransfusion, diabetes, dialysis, vascular and SD. It will also seek to develop products that are gentle to healthcare
professionals, patients, and the environment, while actively marketing and expanding sales of products addressing thediversifying needs and potentials in the market, to improve business results. Moreover, while the generic drug industry,
and the pharmaceutical industry as a whole, is facing an extremely difficult business environment due to April of this year's
revised drug prices, the Pharmaceutical Sales Division will endeavor to further enhance the Nipro brand while meeting theneeds of medical care sites, such as home medical care and regional medical cooperation, as a comprehensive medical
enterprise.
In our Pharmaceutical-Related Business, our main goals are to improve production capacity, stabilize supply, secure
reliability in quality, and achieve a significant reduction in manufacturing costs to further increase our competitiveness.
Furthermore, with a view to supplying products to the global market, it is essential that we enhance our development andquality assurance frameworks in both software and hardware in order to fully meet pharmaceutical quality standards in the
United States and Europe and will further respond to the pharmaceutical affairs of each country. Meanwhile, we consider
the creation of management systems that meet the country risks of our overseas plants an important theme, and, taking
into account the culture of each country, will proceed in our response. In the PharmaPackaging Business, as the market
changes through revised drug prices and the restructuring of pharmaceutical companies, we regard it as a challenge tourgently build a framework for the efficient stable supply of pharmaceutical packaging materials and other components tousers in order to cope with such changes. Accordingly, leveraging our manufacturing technology, we will establish acomplementary system of domestic and overseas coordination through unifying our product specifications and quality
standards and enhancing our systems of stable supply, such as logistics, to create a framework enabling the stablemanufacture, storage, and sale of high-quality products. Moreover, we will proactively work toward the planning anddevelopment of new products. In addition to the above, in order to enhance the synergistic effects of further efficientbusiness management and pharmaceutical sales and strengthen the "one stop solution" for users from this fiscal period
onward, the business will, in a truly comprehensive manner, work towards expanding revenues by offering the sales of
total pharmaceutical packaging materials from a user perspective through integrating the medical system development
and medical system sales departments of the Pharmaceutical Division into the PharmaPackaging Division.

4.

Basic Principles Underlying the Concept of Accounting Standards
J-GAAP is adopted in the current period. The Company will keep a close eye on future trends while considering theapplication of International Financial Reporting Standards (IFRS).

-9-5. Consolidated Financial Statements and Major Notes(1) 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
Non-current 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
Leased assets
Accumulated depreciation
Leased assets, net
Construction in progress
Other
Accumulated depreciation and impairment loss
Other, net
Total property, plant and equipment
Intangible assets
Goodwill
Leased 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 non-current assets
Total assets- 10 -

As ofMarch 31, 2018

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

141,940
140,51188,71012,666
27,841
6,959
18,854(1,437)436,047

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

207,198(98,987)
108,211258,817(180,543)
78,27332,0793,707(2,746)960
37,53754,423(41,213)
13,210270,273

27,996
2,263
13,57543,83627,3582,366
16,26845,944

68,888227
1,459
11,651(4,221)78,004
366,063
752,839

62,936－
3,706
12,644(4,844)74,443
390,711826,759(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
Non-current liabilities
Bonds payable
Convertible bond-type bonds with share acquisition rights
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 non-current 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- 11 -

As ofMarch 31, 201857,587
117,933
10,00015,1601,107
13,509
343
4,304
4,075
105
10,35017,313
251,792

62,105
117,666
10,0001,215
1,198
16,461
328
4,993
4,364
131
11,304
21,417251,186

5,215
25,000281,181
2,869
1,766
5,126
592
88
2,797
324,639
576,431

5,000
25,000350,517
2,544
783
4,530
647
202
2,861
392,087
643,273

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

84,397
83,570(6,004)
161,963

1,589
(141)
8,640
(582)
9,504
10,325
176,408
752,839(712)(69)
11,40436
10,658
10,863
183,485826,759(2) Consolidated Statements of Income and Consolidated Statements of Comprehensive Income
Consolidated Statements of Income(Millions of yen)

Net sales
Cost of sales
Gross profit
Selling, general and administrative expenses
Operating profit
Non-operating income
Interest income
Dividends income
Share of profit of entities accounted for using equity method
Other
Total non-operating income
Non-operating expenses
Interest expenses
Expenses for operation preparation
Commission for syndicate loan
Foreign exchange losses
Other
Total non-operating expenses
Ordinary profit
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 sales of non-current assets
Loss on retirement of non-current assets
Impairment loss
Loss on reduction of non-current assets
Provision of allowance for doubtful accounts
Compensation expenses
Loss on liquidation of business
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- 12 -

Year ended March 31, 2017
(From April 1, 2016
to March 31, 2017)

Year ended March 31, 2018
(From April 1, 2017
to March 31, 2018)359,699244,602
115,097
86,326
28,770395,397268,272
127,125
100,036
27,088

520
1,475
112
1,415
3,524

577
1,643
113
1,646
3,981

3,796
786
1,216
2,273
1,056
9,128
23,166

3,543
471
817
2,561
991
8,384
22,684

84
1,900
0
144
2,129

63
1,613
736
2
2,416

480
731
1,554
1,879
282
934
－
1,109
6,971
18,324
6,613
107
6,720
11,604258
11,346

370
411
2,216
1,500
92
1,074
1,056
1,352
8,075
17,026
7,708(2,980)
4,727
12,298468
11,829

Consolidated Statements of Comprehensive Income(Millions of yen)

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- 13 -

Year ended March 31, 2017
(From April 1, 2016
to March 31, 2017)

Year ended March 31, 2018
(From April 1, 2017
to March 31, 2018)

11,604

12,2984,936(129)(5,860)240(2,301)
72
2,882
628

(36)
(850)
10,753(87)
1,194
13,492

10,844

12,983(90)

508

(3) Consolidated Statements of Shareholders' Equity(Millions of yen)

Shareholder's equity
Capital stock
Balance at beginning of year
Changes of items during period
Total changes of items during period
Balance at end of year
Retained earnings
Balance at beginning of year
Changes of items during period
Dividend of surplus
Profit attributable to owners of parent
Disposal of treasury shares
Change of scope of consolidation
Other
Total changes of items during period
Balance at end of year
Treasury stock
Balance at beginning of year
Changes of items during period
Purchase of treasury shares
Disposal of treasury shares
Total changes of items during period
Balance at end of year
Total Shareholders' equity
Balance at beginning of year
Changes of items during period
Dividend of surplus
Profit attributable to owners of parent
Purchase of treasury shares
Disposal of treasury shares
Change of scope of consolidation
Other
Total changes of items during period
Balance at end of year

- 14 -

Year ended March 31, 2017
(From April 1, 2016
to March 31, 2017)

Year ended March 31, 2018
(From April 1, 2017
to March 31, 2018)84,39784,397－84,397－84,39773,06778,422(4,073)
11,346－(0)(1,916)
5,354
78,422(6,498)
11,829
(0)
－
(184)
5,147
83,570(1,475)(6,243)(5,001)
233(4,767)(6,243)

(1)
240
238
(6,004)

155,990

156,577(4,073)
11,346(5,001)233(0)(1,916)586
156,577(6,498)
11,829
(1)
240
－
(184)
5,385
161,963(Millions of yen)

Accumulated other comprehensive income
Valuation differences on available-for-sale securities
Balance at beginning of year
Changes of items during period
Net changes of items other than shareholders' equity
Total changes of items during period
Balance at end of year
Deferred gains or losses on hedges
Balance at beginning of year
Changes of items during period
Net changes of items other than shareholders' equity
Total changes of items during period
Balance at end of year
Foreign currency translation adjustment
Balance at beginning of year
Changes of items during period
Net changes of items other than shareholders' equity
Total changes of items during period
Balance at end of year
Remeasurements of defined benefit plans
Balance at beginning of year
Changes of items during period
Net changes of items other than shareholders' equity
Total changes of items during period
Balance at end of year
Total accumulated other comprehensive income
Balance at beginning of year
Changes of items during period
Net changes of items other than shareholders' equity
Total changes of items during period
Balance at end of year
Non-controlling interests
Balance at beginning of year
Changes of items during period
Net changes of items other than shareholders' equity
Total changes of items during period
Balance at end of year
Total net assets
Balance at beginning of year
Changes of items during period
Dividend of surplus
Profit attributable to owners of parent
Purchase of treasury shares
Disposal of treasury shares
Change of scope of consolidation
Other
Net changes of items other than shareholders' equity
Total changes of items during period
Balance at end of year

- 15 -

Year ended March 31, 2017
(From April 1, 2016
to March 31, 2017)

Year ended March 31, 2018
(From April 1, 2017
to March 31, 2018)(3,347)

1,589

4,936
4,936
1,589

(2,301)(2,301)
(712)

(12)

(141)

(129)
(129)
(141)

72
72
(69)

14,187

8,640(5,547)(5,547)
8,640

2,764
2,764
11,404

(821)

(582)

238
238
(582)

619
619
36

10,007

9,504

(502)
(502)
9,504

1,153
1,153
10,658

9,509

10,325815
815
10,325538
538
10,863

175,507

176,408(4,073)
11,346(5,001)233(0)(1,916)313
900
176,408(6,498)
11,829
(1)
240
－
(184)
1,691
7,077
183,485

(4) Consolidated Statements of Cash Flows(Millions of yen)

Cash flows from operating activities
Profit before income taxes
Depreciation
Impairment loss
Amortization of goodwill
Share of (profit) loss of entities accounted for using 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
Loss (gain) on sales of shares of subsidiaries and associates
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 dividends 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 associates
Proceeds from sales of shares of associates
Purchase of shares of associates accounted for using equity method
Purchase of shares of subsidiaries
resulting in change in scope of consolidation
Payments for sales of shares of subsidiaries
resulting in change in scope of consolidation
Purchase of non-current assets
Proceeds from sales of non-current assets
Payments for retirement of non-current assets
Proceeds from subsidy income for capital investment
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) investment activities- 16 -

Year ended March 31, 2017
(From April 1, 2016
to March 31, 2017)

Year ended March 31, 2018
(From April 1, 2017
to March 31, 2018)

18,324
31,128
1,554
2,907
(112)
433
482
(1,996)
3,796
4,008
0
369
(1,900)1,879(9,317)(17,730)
4,576(1,788)4,701
1,270
42,5892,101(3,908)261(262)(7,308)33,472

17,02632,565
2,216
3,431
(113)
443
288
(2,221)
3,543
559
(791)
－
(1,613)1,500(7,331)(4,902)(3,821)
1,755
6,454
449
49,441
2,238(3,299)499(502)(7,329)41,046(11,592)
14,325(1,092)0(8)(1,032)－(926)(4,715)
9,673
(549)
4,480
(40)
(881)
384
－

(3,126)(11,888)(703)(64,146)
409
(78)
900
184
(74)
572
0
37
(66,351)－(62,382)
655
(274)
1,592
470
(755)
93
(1)
－
(64,140)

(Millions of yen)
Year ended March 31, 2017
(From April 1, 2016
to March 31, 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
Proceeds form issuance of bonds
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 equivalents from newly consolidated subsidiary
Cash and cash equivalents at end of period- 17 -

Year ended March 31, 2018
(From April 1, 2017
to March 31, 2018)

1,018
145,298(97,424)
1,989(2,262)233(5,001)(6)(1,157)(4,072)(28)

8,825
135,110(74,903)993(15,160)
240
(1)
(21)
(1,180)(6,484)(20)(2,104)36,483(3,773)(168)
111,977
237
112,046(56)
47,341(695)
23,552
112,046－
135,599

(5) Notes Regarding Consolidated Financial Statements(Notes Related to Going Concern)
N/A(Basis of Preparation for the Consolidated Financial Statements)
1) Scope of consolidation[1] Consolidated subsidiaries: 89
Name of representative consolidated subsidiaries,

・ Nipro Medical Industries Co., Ltd.

・ Nipro (Thailand) Corporation Ltd.

・ Nipro Medical Europe N.V.

・ Nipro Medical Corporation

・ Nipro Pharma Corporation

・ Nipro ES Pharma Co., Ltd.

・ Nipro Medical (Hefei) Co., Ltd.

・ Goodman Co., Ltd.

・ Nipro Trading (Shanghai) Co., Ltd.

・ Zensei Pharmaceutical Industries Co., Ltd.

Two companies including CardioMed Supplies INC. which were newly established were included in the scope of
consolidation and Nipro ES Pharma Co., Ltd. was included in the scope of consolidation in the year under review dueto the acquisition of stock.
Moreover, due to the extinguishing of Nipro Patch Co.,Ltd. through absorption into the surviving entity andconsolidated subsidiary Nipro Pharma Corporation on April 1, 2017, Nipro Patch Co.,Ltd. was excluded from thescope of consolidation in the year under review.
Nipro Europe N.V. changed its name to Nipro Medical Europe N.V. on March 1, 2018.

[2] Name of major unconsolidated subsidiary･

Nissho Insurance & Travel 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･

Mekophar Chemical Pharmaceutical Joint-Stock Company[2] Name of major unconsolidated subsidiary not accounted for by the equity method:･Nissho Insurance & Travel Co., Ltd.

Name of major affiliate not accounted for by the equity method:･

Nipro Dongduk Medical Corporation

The equity method is not applied to the unconsolidated subsidiaries and the affiliate companies, 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.

- 18 -

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 averagemethod.)Securities without market quotations ----- Valued at cost by the weighted average method

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 (Excluding lease assets)------ Mainly Declining-balance method
However, buildings acquired on or after April 1, 1998 (excluding attachedstructures), and facilities attached to buildings and structures acquired on orafter April 1, 2016 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.

[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.

- 19 -

[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 (from 5 to 20
years).

[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][Hedge items]

Foreign exchange swaps

Foreign currency borrowings

Interest rate swaps

Borrowings

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.

- 20 -

(Notes Regarding Consolidated Balance Sheets)(Previous period)
1) Pledged assets(Current Period)

15,465mil. yen

13,005mil. yen

13

mil. yen

4mil. yen

4,718

mil. yen

4,142

mil. yen

7

mil. yen

7

mil. yen

2) Discounted notes receivable3) Accounts related to unconsolidated subsidiaries
and affiliate companies
Investment securities (stock)
Other of investments and other assets(Investments in capital)

4) Accounting treatment of trade notes maturing on the last day of the fiscal year
Trade notes maturing on the last day of the fiscal year are accounted on the clearance day. Accordingly, since
the last day of the current consolidated fiscal year was a bank holiday, such trade notes were included in thefollowing accounts.
(Previous period)(Current Period)

Notes receivable - trade___mil. yen

2,042

mil. yen

Notes payable - trade___mil. yen896

mil. yen(Notes Regarding Consolidated Statement of Income)(Previous period)
Research and development expenditure included inselling general and administrative expenses andmanufacturing cost.

11,517(Current Period)

mil. yen

16,113mil. yen(Notes Regarding Consolidated Statements of Shareholders’ equity)
Previous period (From April 1, 2016 to March 31, 2017)
1. Sort and total numbers of shared issues
Sort of shares
Common stock

Number of shares
as of April 1, 2016
171,459,479

Increased
numbers

Decreased
numbers--

Number of shares
As of March 31, 2017
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, 2016
numbers
numbers
As of March 31, 2017
Common stock
1,666,187
3,890,184
256,300
5,300,071(Note) 1. Number of the stocks increased during the period due to the purchase of 3,889,200 shares pursuant to a
resolution of the Board of Directors and the purchase of 984 shares of odd-lot shares.
2. Number of the stocks decreased during the period due to the shares sold by Trust Account E to the
Association.
3. Number of the stocks as of the beginning of the period included 716,300 shares owned by Trust AccountE, and number of the stocks as of the end of the period included 460,000 shares owned by Trust AccountE.
3. Dividends(1) Amount of dividends paid
Decision
June 28, 2016at Ordinary General Meetingof Shareholders
November 10, 2016
at Board of Directors

Sort of shares

Total amount ofdividends paid

Common stock

Millions of yen
2,813

Dividends
per shares
Yen
16.50

Basis date

Effective date

March 31,2016

June 29, 2016

Millions of yen
Yen
September 30,2016 December 8, 2016
1,260
7.50
(Note) 1. Total amount of dividends paid decided at the ordinary general meeting of shareholders on June 28, 2016
includes 11 million yen of the dividends on shares owned by Trust Account E.
Common stock- 21 -

2. Total amount of dividends paid decided at the board of directors on November 10, 2016 includes 4 million
yen of the dividends on shares owned by Trust Account E.
(2) Of the dividends whose record date belongs to the current consolidated fiscal year, those dividends of which theeffective date belongs to the next fiscal year
Scheduled Decision

Sort ofsharesProceeds ofdividends

Total amount ofdividends paid

Dividends
per shares

Basis date

Effective
date

June 28, 2017at Ordinary General
Meeting of
Shareholders

Commonstock

EarnedsurplusMillions of yen
3,582

Yen
21.50

March 31, 2017

June 29, 2017

(Note) Total amount of dividends paid includes 9 million yen of the dividend on shares owned by Trust Account E.
Current period (From April 1, 2017 to March 31, 2018)
1. Sort and total numbers of shared issues
Sort of shares
Common stock

Number of shares
as of April 1, 2017
171,459,479

Increased
numbers

Decreased
numbers--

Number of shares
As of March 31, 2018
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, 2017
numbers
numbers
As of March 31, 2018
Common stock
5,300,071
1,025
263,972
5,037,124(Note) 1. Number of the stocks increased during the period due to the purchase of odd-lot shares.
2. Number of the stocks decreased during the period due to the sales of 72 shares of odd-lot shares andthe sales of 263,900 shares by Trust Account E to the Association.
3. Number of the stocks as of the beginning of the period included 460,000 shares owned by Trust AccountE, and number of the stocks as of the end of the period included 196,100 shares owned by Trust AccountE.
3. Dividends(1) Amount of dividends paid
Decision
June 28, 2017at Ordinary General Meetingof Shareholders
November 9, 2017at Board of Directors

Sort of shares

Total amount ofdividends paid

Common stock

Millions of yen
3,582

Dividends
per shares
Yen
21.50

Basis date

Effective date

March 31,2017

June 29, 2017

Millions of yen
Yen
September 30,2017 December 8, 2017
2,915
17.50
(Note) 1. Total amount of dividends paid decided at the ordinary general meeting of shareholders on June 28, 2017
includes 9 million yen of the dividends on shares owned by Trust Account E.
2. Total amount of dividends paid decided at the board of directors on November 9, 2017 includes 5 million
yen of the dividends on shares owned by Trust Account E.
Common stock(2) Of the dividends whose record date belongs to the current consolidated fiscal year, those dividends of which theeffective date belongs to the next fiscal year
Scheduled Decision

Sort ofsharesProceeds ofdividends

Total amount ofdividends paid

Dividends
per shares

Basis date

Effective
date

June 27, 2018at Ordinary General
Meeting of
Shareholders

Commonstock

EarnedsurplusMillions of yen
1,832

Yen
11.00

March 31, 2018

June 28, 2018

(Note) Total amount of dividends paid includes 2 million yen of the dividends on shares owned by Trust Account E.
(Segment Information)[Segment Information]
1. Outline of reportable operating segments
Applied ASBJ Statement No.17 “The Accounting 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 directors in determining the allocation of management resources and in- 22 -

assessing 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 PharmaPackaging.

*Medical-Related
The Domestic 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 central role, placing overseas sales and manufacturing bases for medical equipment and sales injection
and infusion products, artificial organ products and diabetic products.

*Pharmaceutical-Related
The Pharmaceutical Division sells containers for combination products (injectable kit products) andpharmaceutical-related products consigned by other pharmaceutical companies. Domestic subsidiaries sell andmanufacture injectable drugs, oral drugs and combination products.

*PharmaPackaging
The PharmaPackaging Division sells glass for vials and ampoules for medical use, glass for thermos bottles and glass
for lighting. Overseas subsidiaries manufacture and sell tube glass and glass mainly for syringes, 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 andtransfer 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
Year ended March 31, 2017 (From April 1, 2016 to March 31, 2017)(Millions of yen)
Consolidated
StatementsofIncome(Note.3)

Segment
Other(Note.1)

Adjustment(Note.2)

MedicalRelated

PharmaceuticalRelated

PharmaPackaging

262,198

69,14028,331

359,67029

359,699－359,699

1,575

9,917

0

11,492724

12,216(12,216)－

263,773

79,05728,331

371,162754

371,916(12,216)

359,699

30,63814,135(1,313)

43,460(10)

43,449(14,679)

28,770369,540

160,467

61,262591,270

1,237

592,508

160,330

752,839

14,231

10,761

3,302

28,295

028,295

2,832

31,128

2,083

4

819

2,907

-

2,907

-

2,907

22,684

17,695

6,795

47,175731

47,907

10,40358,310

Total

Total

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

Total
Segment profit(loss)
Segment
assetsOther items(1)Depreciation
and amortization(2)Amortization of
goodwill(3)Increase intangible andintangible fixed
assets(Note)

1. “Other” is the business segment which is not included in the reporting segment and consist of real estate- 23 -

income and sales by headquarter.
2. Adjustment is as follows.
(1) Adjustment for the segment profit (loss) of (14,679) million yen includes realization of intercompany profits oninventories of 1,248 million yen and corporate cost of (15,927) million yen. Corporate cost consists primarilyof sales, general and administrative expenses and research and development cost which do not belong to
the reporting segment.
(2) Adjustment for the segment assets of 160,330 million yen includes elimination of inter-segment transaction of(7,339) million yen and corporate assets of 167,670 million yen. Corporate assets consisted primarily of cash
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 2,832 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 (loss) is adjusted to the operating income on the consolidated statements of income.
Year ended March 31, 2018 (From April 1, 2017 to March 31, 2018)(Millions of yen)
Consolidated
StatementsofIncome(Note.3)

Segment
Other(Note.1)

Adjustment(Note.2)

MedicalRelated

PharmaceuticalRelated

PharmaPackaging

300,117

66,84628,404395,36829

395,397－395,397

1,636

14,78969

16,494

1,180

17,675(17,675)－

301,753

81,63628,473411,8631,210

413,073(17,675)

395,397

36,522

13,104(1,308)48,31875

48,394(21,306)

27,088417,884

166,188

67,319651,392

4,317

655,710

171,048826,759

14,836

11,146

3,043

29,02648

29,074

3,491

32,565

2,738

4

689

3,431

-

3,431

-

3,431

20,412

17,4699,024

46,906

1,769

48,675

13,314

61,990

Total

Total

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

Total
Segment profit(loss)
Segment
assetsOther items(1)Depreciation
and amortization(2)Amortization of
goodwill(3)Increase intangible andintangible fixed
assets(Notes)1. “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 (loss) of (21,306) million yen includes deduction of intercompany profits oninventories of (704) million yen and corporate cost of (20,601) million yen. Corporate cost consists primarilyof sales, general and administrative expenses and research and development cost which do not belong to
the reporting segment.
(2) Adjustment for the segment assets of 171,048 million yen includes elimination of inter-segment transaction of(9,114) million yen and corporate assets of 180,162 million yen. Corporate assets consisted primarily of cash
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 3,491 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 (loss) is adjusted to the operating income on the consolidated statements of income.

- 24 -

[Related Information]
Year ended March 31, 2017 (From April 1, 2016 to March 31, 2017)
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(Millions of yen)Japan

America

221,331

Europe53,239Asia

42,579Total
42,548359,699(2) Property, plant and equipment(Millions of yen)Japan

America

148,090

Europe9,791

Asia

16,708

Total
69,632

244,222

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

Medical-Related

32

Total

PharmaPackaging

120

1,401

Other

1,554

Total
-

1,554

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

Balance of theficical year-end

Pharmaceutical-Related

24,957

Total

PharmaPackaging

4

3,034

Other

27,996

Total-

27,996

Year ended March 31, 2018 (From April 1, 2017 to March 31, 2018)
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(Millions of yen)Japan

America

241,750

Europe56,704

Asia

46,389Total
50,553395,397(2) Property, plant and equipment(Millions of yen)Japan

America

177,250

Europe10,407

Asia

21,909Total
60,706

270,273

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

139

Pharmaceutical-Related

PharmaPackaging

-

1,968

- 25 -

Total
2,107

Other

Total
109

2,216

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

Balance of theficical year-end

Pharmaceutical-Related

26,153

PharmaPackaging

0

1,205

Total

Other

27,358

Total-

27,358(Per Share Information)
Previous period(From April 1, 2016
to March 31, 2017)
999.54 yen

Current period(From April 1, 2017
to March 31, 2018)
1,037.25 yen

Earnings per share

67.58 yen

71.15 yen

Diluted Earnings per share

61.33 yen64.51 yen

Net assets per share

Base of the calculation is as follow;

1.

Net assets per share
Previous period(As of March 31, 2017)

Current period(As of March 31, 2018)

176,408

183,485

10,325

10,863

Net assets related to the common stocks(million yen)

166,082

172,621

Common stocks issued (Thousands shares)

171,459

171,459

Treasury stocks of common stock (Thousands shares)

5,300

5,037

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

166,159

166,422

Total net assets in B/S (million yen)Amount to be deducted from total net assets in B/S(Million yen)
Non-controlling interests

2.

Earnings per share and diluted earnings per share
Previous period(From April 1, 2016
To March 31, 2017)

Current period(From April 1, 2017
To March 31, 2018)

Earnings per share
Profit attributable to owners of parent (Million yen)Amount not attributed to the common stock (Million yen)
Profit attributable to owners of parent available forcommon stock (Million yen)
Average shares of the common stock during the period(Thousands shares)

11,346

11,829--11,346

11,829167,903

166,276--

17,09917,099--Diluted earnings per share
Adjustment for profit attributable to owners of parent(Million yen)
Number of common stock increased (thousand shares)
Convertible bond-type bonds withshare acquisition rights
Overview of the potential shares not included in thecomputation of diluted earning per share because of nothaving a dilutive effect(Material Subsequent Event)N/A- 26 -

6. Non-consolidated Financial Statements(1) Non-consolidated Balance Sheets(Millions of yen)
As ofMarch 31, 2017
AssetsCurrent Assets
Cash and deposits
Notes receivable-trade
Electronically recorded monetary claims - operating
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 associates
Accounts receivable-otherConsumption taxes receivable
Other
Allowance for doubtful accounts
Total current assets
Noncurrent assets
Property, plant and equipment
Buildings
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
Leased assets
Accumulated depreciation
Leased assets, net
Construction in progress
Total property, plant and equipment- 27 -

As ofMarch 31, 2018

69,868
12,1737,040
92,486－36,780
5,963
3,712
1,362
421
1,164
539
2,729
2,006
303
(24)
236,531

76,62012,436
8,627
99,84220
36,809
5,551
4,442
4,124
365
1,750
907
2,873
1,489
608
(26)
256,444

50,332(25,594)
24,7382,565(1,754)810
63,827(53,364)
10,463109(99)
920,058(17,130)
2,928
8,432
1,251
(727)
523
2,164
50,07152,042(27,043)
24,9992,661(1,847)813
66,247(56,247)
9,999
107
(100)
7
20,937(18,326)
2,611
15,995
1,100
(648)
451
3,945
58,823

(Millions of yen)
As ofMarch 31, 2017
Intangible assets
Goodwill
Patent right
Trademark right
SoftwareLeased assets
Telephone subscription right
Other
Total intangible assets
Investments and other assets
Investment securities
Shares of subsidiaries and associates
Investments in capital
Investments in capital of subsidiaries and associates
Long-term loans receivable
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
Total investments and other assets
Total noncurrent assets
Total assets
Liabilities
Current liabilities
Notes payable-trade
Accounts payable-trade
Current portion of long-term loans payable
Commercial papers
Current portion of bonds
Lease obligations
Accounts payable-other
Directors' bonuses payable
Accrued expenses
Income taxes payable
Advances received
Deposits received
Unearned revenue
Provision for bonuses
Provision for sales returns
Notes payable-facilities
Other
Total current liabilities- 28 -

As ofMarch 31, 2018

1,819
2
3
758
2,262
23
281
5,150

938
20
2
831
2,366
23
816
5,001

61,695
152,686042,40614
7,865

56,474
183,778
1
52,726
7
3,896

3,270
2,144
251
1,142
671
(2,684)269,463324,685
561,216

3,237
2,267
164
1,749
758
(2,651)
302,409366,234
622,679

17,86843,15647,551
10,00014,400
766
7,854
343
838
625
521
118
16
1,459
34
5,194
892
151,638

19,14345,36339,623
10,000400
871
10,247
328
1,041
2,650
70
228
6
1,580
37
3,975
1,055
136,622

(Millions of yen)
As ofMarch 31, 2017
Noncurrent liabilities
Bonds payable
Convertible bond-type bonds with share acquisition rights
Long-term loans payable
Lease obligations
Long-term unearned revenue
Provision for retirement benefits
Provision for directors' retirement benefits
Long-term guarantee deposited
Total non-current liabilities
Total liabilities
Net assets
Shareholders' equity
Capital stock
Capital surplus
Legal capital surplus
Total capital surplus
Retained earnings
Legal retained earnings
Other retained earnings
Reserve for dividends
Reserve for advanced depreciation of non-current assets
General reserve
Retained earnings brought forward
Total retained earnings
Treasury shares
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- 29 -

As ofMarch 31, 2018

3,400
25,000205,997
2,238
6
1,588
395
1,830
240,456
392,095

3,000
25,000278,884
2,169
－
1,691
441
1,936
313,123
449,745

84,39784,397

635
635

635
635

3,622

4,272

16
105
75,835
10,61390,192(6,243)
168,982

16
105
82,735
8,837
95,966(6,004)
174,995

138
138
169,121561,216(2,061)(2,061)
172,933
622,679

(2) Non-consolidated Statements of Income(Millions of yen)

Net sales
Net sales of merchandise and finished goods
Rent income of real estate
Total net sales
Cost of sales
Beginning merchandise and finished goods
Cost of products manufactured
Cost of purchased merchandise and finished goods
Cost of real estate rent
Total
Ending merchandise and finished goods
Total cost of sales
Gross profit
Selling, general and administrative expenses
Operating profit
Non-operating income
Interest income
Dividends income
Reversal of allowance for doubtful accounts
Other
Total non-operating income
Non-operating expenses
Interest expenses
Interest on bonds
Commission for syndicate loan
Foreign exchange losses
Other
Total non-operating expenses
Ordinary profit
Extraordinary income
Gain on sales of noncurrent assets
State subsidy
Gain on sales of investment in capital ofsubsidiaries and associates
Other
Total extraordinary income
Extraordinary losses
Loss on sales of non-current assets
Loss on retirement of non-current assets
Loss on reduction of non-current assets
Loss on valuation of shares of subsidiaries and associates
Compensation expenses
Other
Total extraordinary losses
Profit before income taxes
Income taxes-current
Income taxes-deferred
Total income taxes
Profit- 30 -

Year ended March 31, 2017
(From April 1, 2016
to March 31, 2017)

Year ended March 31, 2018
(From April 1, 2017
to March 31, 2018)248,703108
248,812

270,717126
270,844

31,78645,203
149,29673
226,360
36,780189,580
59,23243,022
16,20936,78047,890156,987
123
241,782
36,809204,973
65,87150,444
15,426

279
4,044
30
550
4,904

269
4,742
30
654
5,696

1,880
271
1,150
854
190
4,347
16,766

1,731
253
771
1,627
197
4,580
16,542

14
1,097

4
1,023

－
0
1,111

505
－
1,532

478
98
1,076
1,285
934
76
3,950
13,927
1,603
194
1,797
12,130

91
119
910
－
1,074
424
2,621
15,453
3,404
(223)
3,181
12,272

(3) Non-consolidated Statements of Shareholders' Equity(Millions of yen)

Shareholder's equity
Capital stock
Balance at beginning of year
Changes of items during period
Total changes of items during period
Balance at end of year
Capital surplus
Legal capital surplus
Balance at beginning of year
Changes of items during period
Total changes of items during period
Balance at end of year
Other capital surplus
Balance at beginning of year
Changes of items during period
Disposal of treasury shares
Total changes of items during period
Balance at end of year
Total capital surplus
Balance at beginning of year
Changes of items during period
Disposal of treasury shares
Total changes of items during period
Balance at end of year
Retained earnings
Legal retained earnings
Balance at beginning of year
Changes of items during period
Provision of legal retained earnings
Total changes of items during period
Balance at end of year
Other retained earnings
Reserve for dividends
Balance at beginning of year
Changes of items during period
Total changes of items during period
Balance at end of year
Reserve for advanced depreciation of non-current assets
Balance at beginning of year
Changes of items during period
Adjustment to reserve due to change in tax rate
Total changes of items during period
Balance at end of year
General reserve
Balance at beginning of year
Changes of items during period
Provision of general reserve
Total changes of items during period
Balance at end of year

- 31 -

Year ended March 31, 2017
(From April 1, 2016
to March 31, 2017)

Year ended March 31, 2018
(From April 1, 2017
to March 31, 2018)84,39784,397－84,397－84,397

635

635

－
635

－
635

－

－

－
－
－

0
0
0

635

635

－
－
635

0
0
635

3,215

3,622

407
407
3,622

649
649
4,272

16

16

－
16

－
16

105

105

－
－
105

－
－
105

72,43575,8353,400
3,400
75,8356,900
6,900
82,735

Year ended March 31,
2017(From April 1, 2016
Retained earnings brought forward
Balance at beginning of year
Changes of items during period
Dividends of surplus
ProfitProvision of legal retained earnings
Provision of general reserve
Total changes of items during period
Balance at end of year
Total retained earnings
Balance at beginning of year
Changes of items during period
Dividends of surplus
ProfitTotal changes of items during period
Balance at end of year
Treasury shares
Balance at beginning of year
Changes of items during period
Purchase of treasury shares
Disposal of treasury shares
Total changes of items during period
Balance at end of year
Total shareholders' equity
Balance at beginning of year
Changes of items during period
Dividends of surplus
ProfitPurchase of treasury shares
Disposal of treasury shares
Total changes of items during period
Balance at end of year
Valuation and translation adjustments
Valuation difference on available-for-sale securities
Balance at beginning of year
Changes of items during period
Net changes of items other than shareholders' equity
Total changes of items during period
Balance at end of year
Total valuation and translation adjustments
Balance at beginning of year
Changes of items during period
Net changes of items other than shareholders' equity
Total changes of items during period
Balance at end of year
Total net assets
Balance at beginning of year
Changes of items during period
Dividends of surplus
ProfitPurchase of treasury shares
Disposal of treasury shares
Net changes of items other than shareholders' equity
Total changes of items during period
Balance at end of year

- 32 -(Millions of yen)
Year ended March 31,
2018(From April 1, 2017

6,363

10,613(4,073)
12,130(407)(3,400)4,249
10,613(6,498)12,272(649)(6,900)(1,775)
8,837

82,13590,192(4,073)
12,1308,056
90,192(6,498)12,272
5,773
95,966(1,475)(6,243)(5,001)
233(4,767)(6,243)

(1)
240
238
(6,004)

165,693

168,982(4,073)
12,130(5,001)
233
3,288
168,982(6,498)12,272
(1)
240
6,012
174,995(4,595)

138

4,733
4,733
138

(2,200)(2,200)(2,061)(4,595)

138

4,733
4,733
138

(2,200)(2,200)(2,061)

161,098

169,121(4,073)
12,130(5,001)
233
4,733
8,022
169,121(6,498)12,272(1)
240(2,200)3,812
172,933