February 10, 2004

Summary Report of Consolidated Financial Results
For the Nine Months Period ended December 31, 2003 (Fiscal Year ending March 31, 2004)(Code No.: 8086 TSE-1st Section)
Company name: NIPRO CORPORATION(URL: http://www.nipro.co.jp/)
Representative: Minoru Sano, President and Representative Director
Contact:
Akihiko Yamabe, Director, General Manager
of Accounting Division(TEL: +81 (0)6 6372 2331)
1. Matters related to the preparation of quarterly financial summary(1) Difference in the method of accounting recognition from the most recent fiscal year: N/A(2) Changes of reporting entities: N/A
2. Business results and financial position for the Nine Months ended December 31, 2003 (From April
1, 2003 to December 31, 2003)(1) Results of Operations(Note: Amounts are rounded off per one million yen)
Net Sales
Operating Income
Recurring Income
Net Income
Nine months ended
December 31, 2003
Nine months ended
December 31, 2002
Previous fiscal year

Millions of yen%

Millions of yen%

Millions of yen%

Millions of yen%

142,256-

10,066

-

8,049

-

3,889

-

-

-

-

-

-

-

-

-

180,369

14,899Basic Earnings
per Share

Diluted Earnings
per ShareYen

11,397

5,077

Yen

Nine months ended
61.13
December 31, 2003
Nine months ended
December 31, 2002
Previous fiscal year
84.25
78.48
(Note) Figures of the nine months period of the previous fiscal year and the ratios in comparison withthe corresponding period of the previous fiscal year are not given, as the preparation of theconsolidated quarterly financial statements was initiated in this fiscal year.

[Supplementary information on the consolidated results of operations]
The Japanese economy for this nine months period of the fiscal year ended December 31,
2003 showed some signs of recovery in terms of increase in production and capital investments.
However, individual income conditions were continuously severe, and the mood of recession
generally remained for the period under review.
Under such conditions, Nipro has focused on Research and Development and conductedactive sales activities.
As a result, net sales for the nine months period ended December 31, 2003 amounted to142,256 million yen, operating income amounted to 10,066 million yen, recurring income amounted
to 8,049 million yen and net income amounted to 3,889 million yen.
(2)Financial Position
Total Assets

Shareholders’ Equity

Shareholders’ Equity
Ratio

Shareholders’Equity per Share

Millions of yen
Millions of yen%
Yen
Nine months ended
272,347
90,57333.3
1423.59
December 31, 2003
Nine months ended
December 31, 2003
Previous fiscal year
252,847
83,53233.0
1,310.72(Note) Figures of the nine months period of the previous fiscal year are not given, as the preparationof the consolidated quarterly financial statements was initiated in this fiscal year.

-1-Cash Flows(Millions of yen)
Cash flows fromoperating activities

Cash flows frominvesting activities

Cash flows fromfinancing activities

Cash and cash
equivalents

Millions of yen

Millions of yen

Millions of yen

Millions of yen

Nine months ended
7,926(9,867)
13,64240,937
December 31, 2003
Nine months ended
December 31, 2002
Previous Fiscal Year
5,453
(30,107)
11,46929,393(Note) Figures of the nine months period of the previous fiscal year are not given, as the preparationof the consolidated quarterly financial statements was initiated in this fiscal year.

[Supplementary information on the changes in the financial position](1) Changes in the financial position
Total assets increased by 19,499 million yen from the end of the previous fiscal year to272,347 million yen. Current assets increased by 11,406 million yen to 127,837 million yen, andfixed assets increased by 8,092 million yen to 144,509 million yen. In the current assets, cash andbank deposits increased by 11,064 million yen. In the fixed assets, investment securities increased
by 7,269 million yen. Liabilities increased by 12,471 million yen from the end of the previous fiscal
year to 180,018 million yen. Current liabilities increased by 6,948 million yen to 95,837 million yen,and noncurrent liabilities increased by 5,523 million yen to 84,180 million yen. In the current
liabilities, current portion of bonds increased by 8,000 million yen, and in the noncurrent liabilities,
convertible-bond-type bonds with stock acquisition rights increased by 14,000 million yen.
Shareholders’ equity increased by 7,040 million yen from the end of the previous fiscal year to90,573 million yen. In this section, earned surplus increased by 2,378 million yen to 30,283 million
yen and valuaton differences of other securities increased by 4,919 million yen to 7,770 million yen.
(2) Cash flows
Net cash provided by operating activities was 7,926 million yen, net cash used in investing
activities was 9,867 million yen, net cash provided by financing activities was 13,642 million yen andcash and cash equivalents increased by 11,544 million yen to 40,937 million yen. Net cash used ininvesting activities mainly reflected the purchases of fixed assets for 11,139 million yen, and net
cash provided by financing activities was mainly due to proceeds from issuance of bonds for 13,921
million yen.
3. Projected Consolidated Financial Results for the Fiscal Year ending March 31, 2004 (From April 1,
2003 to March 31, 2004)
Net Income per ShareNet Sales
Recurring Income
Net Income
Fiscal year ending
March 31, 2004

Millions of yen

Millions of yen

Millions of yen

Yen

187,000

9,200

4,150

63.48

[Supplementary information on the business forecasts]
The Japanese economy is anticipated to remain in the uncertainty, due to the concerns inappreciation of yen and rise of interest rate arising from the expectation of economic recovery.
Under such circumstances, we will strive to improve the business performance by focusing on
Research & Development and Sales & Marketing.
There is no amendment to the forecast announced on November 25, 2003.
The projections shown above are prepared based on information available as of the issuingdate of this report. The actual results may differ from the projected figures due to various factors.

-2-

Consolidated Balance Sheets(Unit: Millions of yen)
PeriodAccount

As ofDecember 31, 2003

As ofMarch 31, 2003

AmountAmount(ASSETS)
Current assets
Cash and bank deposits
Trade notes and accounts receivable
Inventories
Deferred tax assets
OthersAllowance for doubtful accounts

127,837
43,60446,09332,867
1,779
3,642
(149)

Fixed assets
Tangible fixed assets
Buildings and structures
Machinery and equipment
Land
Construction in progress
OthersIntangible fixed assets
Consolidation adjustments
OthersInvestments and other assets
Investment securities
Long-term loans receivable
Deferred tax assets
Lease deposits
OthersAllowance for doubtful accounts
Total Assets

144,50992,244
40,61821,186
22,464
4,577
3,396
1,076
93
983
51,18834,2872,786
214
11,801
2,783(684)
272,347

-3-

Ratio
%
46.9

53.1
33.9

0.4

18.8

100.0

116,431
32,53942,761
31,213
2,244
7,873
(201)
136,416
91,146
38,841
19,74822,459
6,852
3,245
1,271
213
1,057
43,99827,0182,601
175
12,234
2,660(692)
252,847

Ratio
%
46.0

54.0
36.1

0.5

17.4

100.0

Consolidated Balance Sheets(Unit: Millions of yen)
PeriodAccount(LIABILITIES)Current liabilities
Trade notes and accounts payable
Short-term bank loans
Current portion of bonds
Other payables
Income taxes payable
Reserve for employees bonuses
Allowance for price reduction
Notes payable for plant and equipment
Commercial paper
OthersNon-current liabilities
Bonds

As of
December 31, 2003

As ofMarch 31, 2003

AmountAmount95,83730,23738,15910,000
3,984
1,045
1,204
1,709
6,500
2,995
84,18026,000Convertible-bond-type bonds with stock acquisitionrightsLong-term borrowings
Deferred tax liabilities
Accrued pension and severance cost
OthersTotal Liabilities(MINORITY INTERESTS)
Minority interests(SHAREHOLDERS’ EQUITY)
CapitalCapital surplus
Earned surplus
Valuation differences of other securities
Foreign currency translation adjustments
Treasury stock
Total Shareholders’ equity
Total Liabilities, minority interests andshareholders’ equity-4-

14,00034,641
3,519
2,429
3,589
180,018

Ratio
%
35.2

30.9

88,88827,08536,257
2,000
3,783
2,619
1,587
1,359
3,356
7,000
3,838
78,65736,000

Ratio
%
35.2

31.1

66.1

36,821
541
1,977
3,317
167,546

66.3

1,755

0.6

1,768

0.7

28,66329,97230,2837,770(5,623)(491)
90,573

10.5
11.0
11.1
2.9
(2.0)
(0.2)
33.3

28,66329,972
27,9042,850(5,406)(451)
83,532

11.3
11.9
11.0
1.1
(2.1)
(0.2)
33.0

272,347100.0

252,847100.0

Consolidated Statements of Income(Unit: Millions of yen)

PeriodNine months ended
December 31, 2003
(From April 1, 2003 to
December 31, 2003)

Previous Fiscal Year
ended March 31, 2003
(From April 1, 2002 to
March 31, 2003)

Account
AmountNet sales
Cost of sales
Gross profit
Selling, general and administrative expenses
Operating Income

142,256
103,180
39,07629,00910,066

Non-operating Income
Interest income
Dividend income
Gains on sales of investment securities
OthersNon-operating expenses
Interest expenses
Equity in losses of affiliate
Exchange losses
OthersRecurring Income

792
122
183
139
346
2,809
1,240
604
838
124
8,049

Extraordinary profits
Reversion of allowance for doubtful accounts
Subsidies received
OthersExtraordinary losses
Losses on sales and disposals of fixed
assets

124
108
15
983
258

Losses on devaluation of investment securities

110
202
13
290
108
7,190
3,226
50
23
3,889

Advanced depreciation deductions
Abnormal manufacturing costs
Losses on claims
Loss from bad debts
Compensation for breach of contract
Others
Net income before adjustment for taxes
Corporate, inhabitant and enterprise taxes
Adjustment for taxes
Minority interests in net income of consolidated
subsidiaries

Net income

-5-

Ratio
%
100.0
72.5
27.5
20.4
7.1
0.6

2.0

5.7
0.1

0.7

Amount180,369
128,775
51,59436,695
14,899
755
207
190
357
4,256
1,671
657
1,749
177
11,397
1,334
42
1,129
163
3,951
341

Ratio
%
100.0
71.4
28.6
20.3
8.3
0.4

2.4

6.3
0.7

2.2

5.1
2.3
0.1
0.0

628
1,129
111
308
1,178
254
8,780
4,957
(1,340)
85

4.8
2.7
(0.7)
0.0

2.7

5,077

2.8

Consolidated Statements of Cash Flows
PeriodAccount
Cash flows from operating activities
Net income before adjustment for taxes
Depreciation and amortization
Amortization of consolidation adjustments
Equity in losses of affiliate
Loss from bad debts
Increase (decrease) in allowance for doubtful accounts
Interest and dividend income
Interest expenses
Exchange losses (gains)
Decrease (increase) in trade receivables
Decrease (increase) in inventories
Increase (decrease) in trade payables
Decrease (increase) in other assets
Increase (decrease) in other liabilities
Bonuses to directors and corporate auditors
Other non-operating income/expenses and extraordinary
profits/losses

SubtotalInterests and dividends received
Interests paid
Other revenues
Other expenditures
Corporate taxes paid
Cash flows from operating activities
Cash flows from investing activities
Deposits in time deposits
Proceeds from matured time deposits
Payments for purchases of securities
Proceeds from sales of securities
Payments for purchases of fixed assets
Proceeds from sales of fixed assets
Lending of loans
Proceeds from collections of loans receivable
Payments for other investments
Proceeds from other investments
Cash flows from investing activities
Cash flows from financing activities
Net increase (decrease) in short-term bank loans

Net increase (decrease) in commercial paper
Proceeds from long-term borrowings
Repayment of long-term borrowings
Proceeds from issuance of bonds
Payments for redemption of bonds
Proceeds from issuance of common stock
Payments for purchases of treasury stock
Payments for finance lease obligations
Payments for dividends
Reimbursement of funds for redemption of convertible bonds
Deposit of funds for redemption of convertible bonds

OthersCash flows from financing activities
Effect of exchange rate changes on cash and cash equivalents

Increase (decrease) in cash and cash equivalents
Balance of cash and cash equivalents at the beginning of the period
Balance of cash and cash equivalents at the end of the period-6-

Nine months ended
December 31, 2003
(From April 1, 2003 to
December 31, 2003)
Amount(Unit: Millions of yen)Previous Fiscal Year
ended March 31, 2003
(From April 1, 2002 to
March 31, 2003)
Amount

7,190
7,089
120
604
290
(58)
(305)
1,240
948
(4,047)(1,748)
3,326
581(1,270)
(111)

8,780
8,766
222
657
(15)
(397)
1,671
1,039
(3,883)(4,517)(1,004)
(675)
436
(168)

149

2,727

14,001214(1,457)577(603)(4,805)
7,926

13,639362(1,755)736(1,702)(5,826)
5,453(2,345)
2,793
(14)
448
(11,139)
484
(109)
39
(23)
(9,867)(3,493)
1,373(4,060)20(23,886)
143
(257)
56
(4)
1
(30,107)

110
(500)
4,365
(4,739)13,921(2,000)(40)(244)(1,373)
4,141
13,642(157)
11,54429,39340,9373,718
7,000
23,598(8,181)
5,966(13,122)
105
(396)
(268)
(2,810)(4,141)(0)
11,469(206)(13,391)
42,78429,393

Segment information
1. Segment information by business category(1) Nine months ended December 31, 2003 (From April 1, 2003 to December 31, 2003)(Millions of yen)
Eliminations/Corporate

Consolidated

142,256-

142,256

443

2,764

(2,764)-54,416

1,521

145,020(2,764)142,256

9,171

53,916

1,203

131,501

688

132,189

1,385

499

317

13,519(3,452)

10,066

MedicalPharmaceutical

Glass &
Materials(1) Sales to third parties

58,897

19,1308,734(2) Inter-segment sales
and transfers

498

-

Total

59,395

Operating expenses
Operating income

Supermarket

Other

Total

54,416

1,078

1,822

-

19,13010,557

50,11817,090

9,276

2,039

Net sales andoperating income
Net sales(2) Fiscal year ended March 31, 2003 (From April 1, 2002 to March 31, 2003)(Millions of yen)
Eliminations/Corporate

Consolidated

180,369-

180,369

667

3,674

(3,674)-69,5592,425

184,044(3,674)

180,369

11,76068,4502,277

164,854615

165,470

1,776

1,109

147

19,189(4,290)14,899

MedicalPharmaceutical

Glass &
Materials(1) Sales to third parties

76,00821,97911,063(2) Inter-segment sales
and transfers

534

-

Total

76,542

Operating expenses
Operating income

Supermarket

Other

Total

69,559

1,758

2,473

0

21,97913,53662,36819,997

14,174

1,981

Net sales andoperating income
Net sales-7-Note:

1.

Classification of business categories and main products in each business category
Business categories are classified based on the proximity in terms of purposes andmanners of usage of the products in the market.
Main products belonging to each business categoris are as follows
Business
category

Main products

MedicalDialyzers, blood tubing sets, injection needles, syringes and infusion sets, etc.

Pharmaceutical

Half-type and full-type kits, double-bag kits, pre-filled syringes, dialysate
solution and circulatory drugs, etc.

Glass & Materials

Glass for pharmaceutical containers, glass for thermos bottles, glass for lighting
purposes, stoppers for plastic containers and rubber stoppers, etc.

Supermarket

Fresh meat and fish, vegetables, fruit, processed food, daily foods, frozen
foods, general groceries and medicine, etc.

Other

Machinery for manufacture of medical equipment and real estate rental income,
etc.

2.

Operating expenses of “Eliminations/Corporate” for the nine months ended December 31,
2003 and the fiscal year ended March 31, 2003 included unallocated corporate costs of
3,452 million yen and 4,290 million yen, respectively. The unallocated corporate costs
consisted primarily of the parent company’s research and development costs and theheadquarters administration costs.

-8-

2. Segment information by geographical area
(1) Nine months ended December 31, 2003 (From April 1, 2003 to December 31, 2003)
Japan

America

Europe

Asia

Total

(Millions of yen)

Eliminations/Corporate

Consolidated

Net sales andoperating income
Net sales(1) Sales to third parties

132,935

3,351

4,536

1,432

142,256-

142,256(2) Inter-segment sales
and transfers

7,061

290

24

6,373

13,748(13,748)-

Total

139,997

3,641

4,560

7,805

156,005(13,748)

142,256

Operating expenses

126,788

3,967

4,674

7,126

142,556(10,366)

132,189

Operating income(loss)

13,208

(325)

(113)

678

13,448(3,382)

10,066(2) Fiscal year ended March 31, 2003 (From April 1, 2002 to March 31, 2003)
Japan

America

Europe

Asia

Total

(Millions of yen)
Eliminations/Corporate

Consolidated

Net sales andoperating income
Net sales(1) Sales to third parties

168,847

4,544

5,360

1,617

180,369-

180,369(2) Inter-segment sales
and transfers

8,801

419

34

8,234

17,488(17,488)-

Total

177,648

4,963

5,394

9,851

197,858(17,488)

180,369

Operating expenses

159,549

4,710

5,239

8,966

178,467(12,996)

165,470

Operating income

18,098

253

154

884

19,391(4,492)

14,899

Note:

1.
2.

3.

Classification of countries or areas is based on geographical proximity.
The major countries and areas included in each geographical area are as follows
America …….. The United States of America and Brazil
Europe ……… Belgium
Asia …………. China and Thailand
Operating expenses of “Eliminations/Corporate” for the nine months ended December 31,
2003 and the fiscal year ended March 31, 2003 included unallocated corporate costs of
3,452 million yen and 4,290 million yen, respectively. The unallocated corporate costs
consisted primarily of the parent company’s research and development costs andheadquarters administration costs.

-9-

3. Overseas sales(1) Nine months ended December 31, 2003 (From April 1, 2003 to December 31, 2003)
America1.

Overseas sales

2.

Consolidated net sales

3.

Percentage of overseas sales
against consolidated net
sales (%)

Europe15,255

Asia

14,443(Millions of yen)
Total

4,332

34,032

142,256

10.7%

10.2%

3.0%

23.9%

(2) Fiscal year ended March 31, 2003 (From April 1, 2002 to March 31, 2003)(Millions of yen)

America

Total

1.

Overseas sales

2.

Consolidated net sales

3.

Percentage of overseas sales
against consolidated net
sales (%)

Note:

1.
2.

3.

Europe19,031

Asia

17,364

5,427

41,822

180,369

10.6%

9.6%

3.0%

23.2%

Classification of countries or areas is based on geographical proximity.
The major countries and areas included in each geographical area are as follows
America …….. The United States of America, Canada and Brazil
Europe ……… Belgium, Denmark and Germany
Asia …………. China, Taiwan and Thailand
Overseas sales represent those of the Company and the consolidated subsidiaries tocountries and areas outside of Japan.

- 10 -

Production, Orders received and Sales
1. Production
Nine months ended Dec. 31, 2003
(From April 1, 2003 to Dec. 31, 2003)(Unit: Millions of yen)
Fiscal year ended March 31, 2003
(From April 1, 2002 to Mar. 31, 2003)

Amount produced

Ratio against thesame period of theprevious fiscal
year(%)

Amount produced

Ratio against thesame period of theprevious fiscal
year(%)

Medical43,067-57,473

1.3

Pharmaceutical

18,842-

23,126

42.1

Glass & Materials

2,786

-

3,396

(14.4)

Other

527

-

1,239

94.7

Total

65,223-

85,236

9.8

Business segment

Note:

1.
2.
3.

Amounts produced are calculated based on average selling prices.
The above amounts are after eliminations of the intersegment transactions.
The above amounts do not include the related consumption taxes, etc.

2. Orders received
Since we adopt the production system based on estimated orders, there is nothing applicable
hereto regarding the amount and the balance of orders received.

3. SalesNine months ended Dec. 31, 2003
(From April 1, 2003 to Dec. 31, 2003)(Unit: Millions of yen)
Fiscal year ended March 31, 2003
(From April 1, 2002 to Mar. 31, 2003)

Ratio against thesame period of theprevious fiscal
year(%)

Ratio against thesame period of theprevious fiscal
year(%)

Business segment
Amount soldAmount soldMedical58,897-76,008(2.0)

Pharmaceutical

19,130-21,97937.8

Glass & Materials

8,734

-

11,063(1.5)

Supermarket

54,416-69,559

7.4

Other

1,078

-

1,758

3.4

Total

142,256-

180,369

5.3

Note:

1.
2.

The above amounts are after eliminations of the intersegment transactions.
The above amounts do not include the related consumption taxes, etc.

- 11 -