Summary Report of Consolidated Financial Results
For the Three Months Period ended June 30, 2012
August 10, 2012stCompany name: NIPRO CORPORATION
TSE/OSE-1 section
Code No.8086
URL: http://www.nipro.co.jp/
Representative: Yoshihiko Sano, President and Representative Director
Contact person: Akihiko Yamabe, Director and General Manager of Accounting Division
TEL: (06)6372-2331
Filling date of quarterly reporting: August 14, 2012
Payment date of cash dividends: Supplemental material on quarterly reporting: No
Presentation on quarterly results: No(Note: Amounts are truncated to one million yen)
1. Consolidated Results for the Three Months ended June 30, 2012 (From April 1, 2012 to June 30, 2012)(1) Consolidated Results of Operations(Note: % of change from the same period a year ago)
Net Sales
Operating Income
Ordinary Income
Net Income
Millions of yen% Millions of yen% Millions of yen% Millions of yen%
3 months ended June 30, 2012
58,532
19.1
3,473
0.4
3,092
21.8
1,445
393.9
3 months ended June 30, 201149,1559.1
3,458(27.5)
2,539
(1.1)
292
(78.3)
Note: Comprehensive income

3 months ended June 30, 2012: (2,781) million yen (-%)

3 months ended June 30, 2012
3 months ended June 30, 2011

Earnings per share
Yen
8.48
2.31

(2) Consolidated Financial Position
Total Assets
Millions of yen
3 months ended June 30, 2012
483,872
Year ended March 31, 2012
499,686
Note: Equity

2.

3 months ended June 30, 2011: (3,563) million yen (-%)

Diluted Earnings per share
Yen
7.65
2.02

Net Assets
Millions of yen
111,235
113,950

3 months ended June 30, 2012: 104,932 million yen

Equity Ratio
%
21.7
22.0

Year ended March 31, 2012: 109,820 million yen

Dividends

Year ended March 31, 2012
Year ending March 31, 2013
Year ending March 31, 2013
(Forecast)First-quarter
Yen-

Annual Dividends per Year
Year-end Dividends
Second-quarter
Third-quarter
Yen
Yen
Yen
12.00
11.50
8.50

-

11.00

Annual Dividends

Yen
23.50
19.50

Note: Revisions to the forecast of cash dividends in the current quarter: No
3. Forecast of Consolidated Financial Results for the Year ending March 31, 2013 (From April 1, 2012 to March 31, 2013)(Note: The % displays in the line of six months ending Sept. 30, 2012 show increase/decrease ratio against the six months
ended Sept. 30, 2011. The % displays in the line of year ending March 31, 2013 show increase/decrease ratio against theyear ended March 31, 2012)
OperatingEarnings
Net Sales
Ordinary Income
Net Income
Incomeper Share
Millions of yen%
Millions of yen%
Millions of yen%
Millions of yen%
Yen
6 months ending Sept. 30, 2012
116,000 13.2
6,550 (19.8)
5,700
11.3
2,200
380.6
12.90
Year ending March 31, 2013
241,000 13.7
15,9500.8
14,200
18.5
6,600
43.9
38.70
Note: Revisions to the forecast of consolidated financial results in the current quarter: No

*Notes(1) Change in Significant Subsidiaries during the Current Period(Change in specified subsidiaries caused a change in the scope of consolidation): No
Additional: 0Removal: 0(2) Adoption of Accounting Treatments Simplified or Unique for Preparation: No(3) Change in Accounting Policies and Accounting Estimate and Restatement[1] Changes in accounting policies by a newly issued accounting pronouncement: Yes[2] Changes other than [1]: No[3] Change in accounting estimate: Yes[4] Restatement: No
Note: Depreciation method was changed from this quarterly result, which is applied to “Changes in accounting policies
which are difficult to distinguish from changes in accounting estimates”. Detailed information can be found in P.3 “2.
Summary Information (3) Change in Accounting Policies and Accounting Estimate and Restatement” in the attachment.
(4) Issued Shares (Common stock)[1] Number of issued shares at end of the period (including treasury stock):
3 months ended June 30, 2012: 171,459,479 sharesYear ended March 31, 2012: 171,459,479 shares[2] Number of treasury stock at end of the period:
3 months ended June 30, 2012: 913,599 sharesYear ended March 31, 2012: 913,612 shares[3] Average number of shares during the period:
3 months ended June 30, 2012: 170,545,837 shares
3 months ended June 30, 2011: 126,844,045 shares*Information regarding the quarterly review procedure
This quarterly summary report is exempt from quarterly review procedure based on the Financial Instruments
and Exchanges Act. It is under the review procedure process at the time of disclosure of this report.
*Disclaimer regarding projection information including appropriate use of forecasted financial result, and otherspecial notes
The projection figures shown above are based on information that was available at the time of preparation and may
contain certain uncertainties. Actual performance and other factors may differ from these projections due tochanges in circumstances and other developments. More information concerning these forecasts can be found in P.3“1. Qualitative information for the three months period ended June 30, 2012, (3) Qualitative information concerning
forecast of consolidated financial results” in the attachment.

Table of Contents

1.

2.

3.

Qualitative Information for the Three Months Period ended June 30, 20112(1) Qualitative Information Concerning Consolidated Financial Results2(2) Qualitative Information on the Consolidated Financial Position

3(3) Qualitative Information Concerning Forecast of Consolidated Financial Results3

Summary (Other) Information

3(1) Overview of Changes in Significant Consolidated Subsidiaries

3(2) Overview of Accounting Procedure Unique for Preparation of Quarterly Consolidated Financial Statement3(3) Overview of Changes in Accounting Policies and Accounting Estimate and Restatement

3

Consolidated Financial Statements

4(1) Quarterly Consolidated Balance Sheets

4(2) Quarterly Consolidated Statements of Income andQuarterly Consolidated Statements of Comprehensive Income

6

Quarterly Consolidated Statements of Income

6

Quarterly Consolidated Statements of Comprehensive Income

6(3) Notes Related to Going Concern

7(4) Segment Information

7(5) Notes to Statements of Shareholders’ Equity, If Having Significant Variation

8

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1.

Qualitative Information for the Three Months Period ended June 30, 2011

(1) Qualitative Information Concerning Consolidated Financial Results
In the current quarter period under review (quarter ended June 30, 2012), the global economy slowed down because
the economic stagnation caused by debt crisis has continued in Europe and capital investment and personal
consumption have been sluggish in US.
Japanese economy, on the other hand, has also experienced harsh management conditions due to the ongoingstrong yen while the demand for reconstruction from Great East Japan Earthquake brought gradual recovery.
Under such condition, the Nipro Group continued to work hard to increase our sales.
As a result, the consolidated sales in the first three months of fiscal year 2012 increased 19.1% from the same periodof the previous year to 58,532 million yen.
As for the profit, consolidated operating income increased 0.4% from the same period of the previous year to 3,473
million yen because good sales result covered an increase in selling, general and administrative expenses, andconsolidated ordinary income increased 21.8% from the same period of the previous year to 3,092 million yen due to anincrease in dividends income. The consolidated net income increased 393.9% to 1,445 million yen due to a decrease in
extraordinary losses.
The overviews of the results by segment in the current period are as follows.
[1] Medical BusinessLooking at the domestic market, business conditions were extremely severe because the market competition was
intensified due to the effect of revision of medical treatment fee conducted in this April and the reduction of official
prices for drugs and medical materials. However, each product group recorded great sales as a result of our aggressive
sales activities and improvement of sales efficiency aiming to increase our global share.
Our medical equipment-related products such as dialysis system showed strong growth. The sales of our dialysis
related products such as dialyzer, HDF filter, blood circuits and dialysis pharmaceuticals, our testing-related products
such as glucose analysis device (POCT) and vacuum blood drawing system, enteral-alimentation-related products andinjection-transfusion-related products also steadily increased.
Overseas sales, on the other hand, have been affected seriously by appreciation of the yen against the US dollar andeuro in the foreign exchange markets, but the sales showed significant increase thanks to the promotion ofcommunity-based sales activities through our overseas sales offices. We encouraged the detailed sales activities toestablish our brand image and improve our global market share, which contributed remarkable sales especially indiabetes-related products and dialysis-related products. In addition, we carried out adequate preparation for starting
operation of new plants in India, Indonesia and Bangladesh as well as worked hard to reinforce their sales system.
As a result, net sales of this business increased 17.6% from the same period of the previous year to 40,076 million
yen.
[2] Pharmaceutical BusinessThis business consists of two main divisions: the Generic Drugs Division, providing low cost and high quality medical
drugs, and the Contracted Manufacturing Division, offering high value-added products to meet customer needs.
Sales of generic drugs are expected to grow in line with the market, due in part to a government policy for the
dissemination of the market for generic drugs to over 30% by the end of fiscal year 2012. Consequently a number ofpolicies have been implemented to encourage the use of generic products. Major pharmaceutical manufacturers havemade a full-scale entry into the Japanese market and foreign generic manufacturers have strengthened their marketingstrategies, making the competitive environment surrounding the domestic market more severe.
Under these conditions, we have tried to increase the share of the oral drug through reinforcing our sales promotions
to dispensing pharmacies and by the close co-operation with drug wholesalers. In addition, as a result of our detailed
information service provided mainly to large hospital, sales have remained steady, especially of our new products ofprevious year.
Looking at sales of our contracted manufacturing business, we have worked hard at realizing a variety of detailed
services such as contracted development and supporting high value-added initiatives other than OEM manufacturing ofother companies’ brand. In particular, contracted sales of generic drugs showed fine growth in this quarter so that thesales have exceeded the sales in the same period of the previous year.
As a result, net sales of this business increased 32.1% from the same period of the previous year to 11,785 million
yen.
[3] Material Business
The sales of material glass tube for ampoule decreased from the same period of the previous year because thedecline in the domestic demand could not be covered by the enforcement of the sales to foreign countries. Concerningmaterial glass tube for tube bottles, the sales also fell below the sales in the same period of the previous year since its
overseas sales failed to increase while the domestic demand remained steadily. On the other hand, pharmaceuticalglass container increased from the same period of the previous year thanks to the acquisition of large demand.
Pharmaceutical glass business in China recorded fine growth compared to the same period of the previous year as aresult of capital investment and promotion of sales activities. The sales of glass for thermos bottles had grown steadily
thanks to the increased demand of glass thermos bottles after the Great East Japan Earthquake, but the demand was
getting decreased and the sales decreased as well. As for glass for lighting purpose, the sales of material glass tube forelectric lamp, which is raw material of automotive related products, showed steady growth, but the sales decreased
from the same period of the previous period due to diminished lineup of electric lamp production.
In the field of pharmaceutical containers, the sales of bags for antimicrobial agent and pre-filled syringes increased
steadily as well as rubber stoppers for pharmaceutical and vaccine use and kit form containers based on our
processing techniques for plastics, metal and rubber.
As for the medical preparation and administration related device, the sales had showed good increase, and we are-2-

advancing commercialization of products by both of self- development and joint development with pharmaceuticalcompanies so as to meet the diverse needs. Furthermore, we continue to promote contract manufacturing anddevelopment cooperating with domestic and foreign pharmaceutical companies in general life cycle management ofpharmaceuticals, which includes the development of combination products, systematization for self-injection andmodification of dosage form.
As a result, net sales of this business increased 8.5% from the same period of the previous year to 6,611 million yen.

[4] Other BusinessIn the other business, the sales from real estate rental income decreased 21.4% from the same period of the previous
year to 58 million yen.

(2) Qualitative Information on the Consolidated Financial Position
Analysis concerning the conditions of assets, liabilities and net assets
Total assets decreased 15,813 million yen from the end of the previous period to 483,872 million yen. Current assets
decreased 16,924 million yen mainly due to a decrease of 22,659 million yen in cash and deposits, and noncurrent assets
increased 1,110 million yen mainly due to an increase of 5,766 million yen in deferred tax assets.
Total liabilities decreased 13,098 million yen from the end of the previous period to 372,636 million yen. Current liabilities
decreased 13,422 million yen mainly due to a decrease of 10,000 million yen in commercial paper, and noncurrent
liabilities increased 324 million yen mainly due to an increase of 251 million yen in provision for retirement benefits.
Total net assets decreased 2,715 million yen from the end of the previous period to 111,235 million yen. Shareholders’equity decreased 556 million yen and accumulated other comprehensive income decreased 4,332 million yen.

(3) Qualitative Information Concerning Forecast of Consolidated Financial Results
As for the world economy in the future, economic stagnation is expected to be continued due to the bad effect from theanxiety about the protracted debt problem in Europe. The domestic economy, on the other hand, will also continue to besluggish because there is no immediate prospect of the problem about electric power supplies and strong yen.
In such situation, we will aim to promote sales expansion and cut manufacturing cost continuously.
At this moment, there is no revision to the forecast of consolidated financial results for the FY2012 which was publishedMay 14, 2012.

2.

Summary (Other) Information(1) Change in Significant Subsidiaries during the Current Period
N/A(2) Accounting Procedure Unique for Preparation of Quarterly Consolidated Financial Statements:
N/A(3) Change in Accounting Policies and Accounting Estimate and Restatement(Changes in accounting policies which are difficult to distinguish from changes in accounting estimates)
Effective from the first quarter of the current fiscal year, the Company and its domestic subsidiaries changes thedepreciation method for the relevant tangible assets newly acquired from April 1, 2012 according to the amendment ofCorporation Tax Act in Japan.
However this change had only minor impact on operating income, ordinary income and income before income taxes
and minority interests in this first quarter.

-3-

3. Consolidated Financial Statements(1) [ Quarterly Consolidated Balance Sheets](Amount: million yen)
As ofMarch 31, 2012
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
Deferred tax assets
Other
Allowance for doubtful accounts
Total investments and other assets
Total noncurrent assets
Total assets

-4-

As of
June 30, 2012

95,737
68,641
48,114
8,753
14,736
4,829
9,983
(360)
250,435

73,07873,67349,212
8,876
15,127
4,058
9,854
(369)
233,511

116,878(63,320)
53,558142,067(103,263)
38,804
20,446
1,680
(735)
944
26,95728,317(23,350)
4,967
145,678

121,058(64,861)
56,196
149,760(108,806)
40,95421,092
1,969
(822)
1,147
32,15929,313(23,933)
5,379
156,929

11,894305
6,950
19,151

14,530345
8,339
23,214

71,8296,597
8,954

51,362
12,3639,504(2,961)
84,420249,250499,686(3,013)70,216250,360
483,872

(Amount: million yen)
As ofMarch 31, 2012
Liabilities
Current liabilities
Notes and accounts payable-trade
Short-term loans payable
Commercial papers
Current portion of bonds
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
Convertible bond-type bonds
with subscription right s to shares
Long-term loans payable
Lease obligations
Deferred tax liabilities
Provision for retirement benefits
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
Foreign currency translation adjustment
Total accumulated other comprehensive income
Minority interests
Total net assets
Total liabilities and net assets

-5-

As of
June 30, 2012

37,721
104,131
10,00010,000
426
6,036
153
3,276
2,308
43
1,954
3,399
9,636
189,089

37,57097,774－10,000
500
6,810
－
1,594
1,327
54
1,954
4,161
13,915
175,666

34,00034,00015,00015,000140,380
914
1,761
1,987
702
170
1,729
196,645
385,735

140,071
1,112
1,655
2,239
711
170
2,010
196,969
372,636

84,397636
48,389(864)
132,558

84,397636
47,832(864)
132,001(6,528)(16,209)(22,737)
4,129
113,950499,686(16,601)(10,467)(27,069)6,303
111,235
483,872

(2) [Quarterly Consolidated Statements of Income and Quarterly Consolidated Statement of Comprehensive Income]Quarterly Consolidated Statements of Income(Amount: million yen)
FY2011 first three months(From April 1, 2011
to June 30, 2011)
Net sales
Cost of sales
Gross profit
Selling, general and administrative expenses
Operating income
Non-operating income
Interest income
Dividends income
Other
Total non-operating income
Non-operating expenses
Interest expenses
Foreign exchange losses
Equity in losses of affiliates
Other
Total non-operating expenses
Ordinary income
Extraordinary income
Gain on sales of noncurrent assets
State subsidy
Gain on negative goodwill
Other
Total extraordinary income
Extraordinary loss
Loss on retirement of noncurrent assets
Loss on disaster
Loss on reduction of noncurrent assets
Company funeral expenses
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

FY2012 first three months(From April 1, 2012
to June 30, 2012)

49,15534,941
14,214
10,756
3,458

58,532
42,197
16,335
12,861
3,473

128
339
300
769

232
860
214
1,306

777
569
22
318
1,687
2,539

845
757
24
60
1,687
3,092

107
17
－
32
157

24
40
39
8
113

13
777
17
－
9
817
1,879
670
718
1,388
491
198
292

21
－
29
40
15
107
3,099
1,040
549
1,589
1,509
64
1,445

[Qarterly Consolidated Statements of Comprehensive Income](Amount: million yen)
FY2011 first three months(From April 1, 2011
to June 30, 2011)
Income before minority interests
Other comprehensive income
Valuation difference on available-for-sale securities
Foreign currency translation adjustment
Total other comprehensive income
Comprehensive income
Comprehensive income attributable to owners of the parent
Comprehensive income attributable to minority interests-6-

FY2012 first three months(From April 1, 2012
to June 30, 2012)

491

1,509

(5,248)
1,193(4,054)(3,563)(3,782)
218(10,074)
5,783(4,291)(2,781)(2,887)106

(3) Notes Related to Going Concern
N/A(4) Segment InformationⅠ

FY2011 (From April 1, 2011 to June 30, 2011)

1.

Sales and Profit by Reportable Operating Segment(Millions of yen)Segment
MedicalPharmaceutical

Materials

Total

Other
(Note.1)

Total

Consolidated
Statements ofIncome(Note.3)

Adjustment(Note.2)

Net sales(1)Sales to third parties

34,067

8,922

6,092

49,081

74

49,155-

49,155(2)Inter-segment sales
and transfers

336

4,324

832

5,493

11

5,504

(5,504)-

Total

34,404

13,246

6,924

54,57585

54,660(5,504)

49,155

Segment profit

3,350

1,047

651

5,049

51

5,101

(1,643)

3,458(Notes)
1.
2.

3.
2.

“Other” is the business segment which is not included in the segment and consist of real estate income and sales
by headquarter.
Adjustment for the segment profit of (1,643) million yen includes elimination of inter-segment transaction of 64
million yen and corporate cost of (1,707) million yen. Corporate cost consisted primarily of general andadministrative expenses and research and development cost which do not belong to the reporting segment.
Segment profit is adjusted to the operating income on the consolidated statements of income.

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

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Ⅱ
1.

FY2012 (From April 1, 2012 to June 30, 2012)
Sales and Profit by Reportable Operating Segment(Millions of yen)Segment
MedicalPharmaceutical

Materials

Total

Other
(Note.1)

Total

Consolidated
Statements ofIncome(Note.3)

Adjustment(Note.2)

Net sales(1)Sales to third parties

40,076

11,785

6,611

58,47458

58,532-58,532(2)Inter-segment sales
and transfers

290

4,974

889

6,154

11

6,165

(6,165)-

Total

40,367

16,7607,500

64,62869

64,697(6,165)58,532

Segment profit

3,793

1,235

491

5,519

54

5,574

(2,101)

3,473(Notes)1.
2.

3.

“Other” is the business segment which is not included in the segment and consist of real estate income and sales
by headquarter.
Adjustment for the segment profit of (2,101) million yen includes elimination of inter-segment transaction of (251)
million yen and corporate cost of (1,849) million yen. Corporate cost consisted primarily of general andadministrative expenses and research and development cost which do not belong to the reporting segment.
Segment profit is adjusted to the operating income on the consolidated statements of income.

2.

Change in Reportable Segment
The reportable segment of Nipro Glass India Ltd. was changed from material business to medical business from theprevious period as a result of reconsideration from the view point of global business strategy.
Following this idea, the segment information of the same period of previous year was revised.

3.

Information about Impairment Loss of Tangible Assets and Goodwill by Reportable Operating Segment(Important change of the amount in goodwill)
As for the medical business, Nipro Glass Germany AG and Nipro Sterile Glass Germany AG were added into thescope of consolidation. As a result, the amount of goodwill increased 2,524 million yen from the end of the previous
fiscal year.

(5) Notes to Statements of Shareholder’s Equity, if having Significant Variation
N/A-8-