Member of Financial Accounting Standards Foundation

Financial Results for the 1st Quarter of the Fiscal Year Ending March 31, 2015
August 5, 2014
Listed stock exchanges: Tokyo Stock Exchange
Company name: Unitika Ltd.
Code number: 3103
URL: http://www.unitika.co.jp/e/home.htm
Representative: Hiroyuki Shime, President and Chief Executive Officer
Contact: Shoji Ishikawa, General Manager of Accounting Department
TEL: +81-6-6281-5721
Expected submission of quarterly report: August 12, 2014
Expected commencement date for paying dividend: –Preparation of supplementary explanation documents for quarterly financial results: No
Holding of an analyst meeting for quarterly financial results: No(Figures rounded to nearest million yen.)
1. Consolidated performance for 1st quarter of fiscal year ending March 31, 2015 (April 1, 2014 to June 30, 2014)(1) Consolidated performance (accumulation)(Percentages represent changes from same period in previous year.)
Operating income
Ordinary income
Quarterly net income%
Millions of yen% Millions of yen% Millions of yen% Millions of yen
37,931 (0.8)
1,534 (17.2)
651 (60.8)(3,361) 
38,233 (1.7)
1,853 27.4
1,661 196.9
1,446 Q1 of FY ending March 31, 2015: (3,141) million yen [ %]Q1 of FY ended March 31, 2014: 2,057 million yen [164.7%]
Quarterly net income per share
Quarterly net income per share after full dilution
Yen
Yen(5.83)
2.51
Net sales

Q1 of FY ending March 31, 2015
Q1 of FY ended March 31, 2014
(Note) Comprehensive income

Q1 of FY ending March 31, 2015
Q1 of FY ended March 31, 2014
(2) Consolidated financial situation

Q1 of FY ending March 31, 2015
FY ended March 31, 2014
(Reference) Shareholders’ equity

Total assets
Net assets
Capital adequacy ratio
Millions of yen
Millions of yen%
251,125
17,653
5.5
254,181
19,368
6.1
1st quarter of fiscal year ending March 31, 2015: 13,864 million yen
Fiscal year ended March 31, 2014: 15,540 million yen

2. Dividend payment
End of Q1Yen
FY ended March 31, 2014
FY ending March 31, 2015End of Q2
Yen
0.00

Dividends per share
End of Q3
Yen


0.00

FY ending March 31, 2015 (forecast)Year end

Annual

Yen
0.00

Yen
0.00

0.00

0.00

(Note) Revision of the latest dividend forecast: None

3. Forecast of consolidated performance for fiscal year ending March 31, 2015 (April 1, 2014 to March 31, 2015)(Percentages represent changes from same period in previous year.)Net sales
FY ending March 31, 2015

Operating income Ordinary income

Net income
per share

Net income

Millions of yen%

Millions of yen%

Millions of yen%

Millions of yen%

Yen

165,000

1.4

8,000

17.7

6,000

27.3

(37,000)(64.15)(Note) Revision of the latest forecasts of operational results: None
The Company has left its forecast of consolidated performance for the first half of the fiscal year ending March 31, 2015 undecided.

Member of Financial Accounting Standards Foundation* Notes(1) Changes in significant subsidiaries during the period: No(2) Adoption of special accounting methods for preparing quarterly consolidated financial statements: No(3) Changes in accounting policies, changes in accounting estimates and retrospective restatement
 Changes in accounting policies due to revisions of accounting standards: Yes
 Changes of accounting policies other than the above: No Changes in accounting estimates: No
 Retrospective restatement: No(4) Number of shares outstanding (Common stock) Number of shares outstanding at end of term (including treasury stock):
1st quarter of the fiscal year ending March 31, 2015: 577,523,433 sharesFiscal year ended March 31, 2014: 577,523,433 shares Number of treasury stocks at end of term
1st quarter of the fiscal year ending March 31, 2015: 784,222 sharesFiscal year ended March 31, 2014: 782,356 shares Average number of shares outstanding during the term (quarterly consolidated accumulated period)
1st quarter of the fiscal year ending March 31, 2015: 576,740,497 shares
1st quarter of the fiscal year ended March 31, 2014: 576,755,443 shares* Information on implementation of quarterly review procedures
The summary of financial statements is not subject to quarterly review procedures in accordance with the Financial Instruments andExchange Act. At the time of disclosing the summary of financial statements, the quarterly financial statement review procedures
have been implemented.

* Explanation on appropriate use of forecasts of performance and other special items
The forward-looking statements in this document concerning forecasting of performance etc. are based on currently available
information and assumptions considered by the company to be reasonable. Such statements are neither promises nor guarantees of
future performance. The actual performance may be significantly different from forecasts due to various factors. Concerning
assumptions used as a basis for forecasting business performance and precautionary statements when using the forecast of
performance, please refer to 1. Qualitative Information on Quarterly Results (3) Explanation of future forecast information
including forecast of consolidated performance on page 3 of the attachment.

Unitika Ltd. (3103)

Financial results for 1st quarter of fiscal year ending March 31, 2015

 Table of contents for the attachment
1. Qualitative Information on Quarterly Results ....................................................................................... 2(1) Explanation of Operational Results .................................................................................................. 2(2) Explanation of financial situation ..................................................................................................... 3(3) Explanation of future forecast information including forecast of consolidated performance .............. 3
2. Matters concerning Summary Information (Notes) ............................................................................... 3(1) Changes in significant subsidiaries during the period ....................................................................... 3(2) Adoption of special accounting methods for preparing quarterly consolidated financial
statements ....................................................................................................................................... 3(3) Changes in accounting policies, changes in accounting estimates and retrospective restatements ...... 3
3. Quarterly Financial Statements ............................................................................................................. 4(1) Consolidated quarterly balance sheets .............................................................................................. 4(2) Consolidated quarterly statements of income and consolidated quarterly statements ofcomprehensive income .................................................................................................................... 6
Consolidated quarterly statements of income
Three-month period ended June 30, 2014.................................................................................... 6
Consolidated quarterly statements of comprehensive income
Three-month period ended June 30, 2014.................................................................................... 7(3) Notes on quarterly consolidated financial statements ........................................................................ 8(Notes on going concern assumption) .............................................................................................. 8(Notes on significant changes in shareholders’ equity) ..................................................................... 8(Segment information) .................................................................................................................... 8-1-

Unitika Ltd. (3103)

Financial results for 1st quarter of fiscal year ending March 31, 2015

1. Qualitative Information on Quarterly Results(1) Explanation of Operational Results
In the first quarter of the current fiscal year (April 1, 2014 to June 30, 2014), the outlook of theJapanese economy remained uncertain, since consumer spending and corporate production began losing
momentum due to the negative effect of the consumption tax rate hike in April 2014; and raw material
prices and energy costs rose because of the yen's depreciation and soaring crude oil prices.
In this environment, the Unitika Group reported net sales of 37,931 million yen (down 0.8%
year-on-year), operating income of 1,534 million yen (down 17.2% year-on-year) and ordinary incomeof 651 million yen (down 60.8% year-on-year), mainly due to a decrease in profits in the Polymers andthe Garments, Lifestyle Materials, and Bedding businesses. Since the Group recorded extraordinary
losses, such as business structure improvement expenses and impairment loss, and reversed deferred tax
assets (which caused an increase in tax expenses), net loss amounted to 3,361 million yen (net incomeof 1,446 million yen in the previous year).
Meanwhile, at the end of July 2014, the Unitika Group completed payment procedures for class sharesthrough a private placement, which was implemented as its capital policy under its new medium-term
management plan, with emphasis on its growth strategy and its business portfolio restructuring. The
Group will make a concerted effort to promote its growth strategy and carry out its business portfolio
restructuring.
Here is an overview of the business results by segment.
[Polymers]
In the Films business, sales increased in the packaging sector due a rise in exports despite a slightdecline in sales volumes in Japan, its mainstay. Sales also grew in the industrial sector, supported by agradual recovery in demand for electrical and electronics equipment applications. However, sales
increased but profits decreased in the Films business because there was a time lag between the pricerevision that we implemented in response to rising raw material prices, and revised price penetration.
In the Resins business, sales of nylon resins and polyester resins for automobile and information
terminal device applications grew solidly, while sales of polyarylate resins for electronic device-related
applications remained sluggish. As a result, sales and profits decreased in the Resins business.
In the Non-woven Fabrics business, shipments of polyester spunbond fabrics for agriculture and civilengineering applications increased steadily, but those for daily product applications declined.
Meanwhile, sales volumes of cotton spunlace for wet sheet applications slightly decreased. As a result,sales and profits fell in the Non-woven Fabrics business.
Consequently, the Polymers business posted operating income of 1,500 million yen (down 20.2%
year-on-year) on net sales of 15,558 million yen (down 3.4% year-on-year).
[Advanced Materials]
In the Glass Fibers business, shipments, mainly for building and civil engineering applications,continued growing in the industrial materials sector. In the electronic materials sector, shipments for
information terminal device applications grew steadily. In the Glass Beads business, shipments forautomobile applications rose solidly and demand for reflective materials applications also recovered.
Meanwhile, in the Activated Carbon Fibers business, shipments for gas phase applications, such as
automobile deodorizing and air purifying equipment applications, remained slightly weak, though thosefor water purifier applications, mainly those built into faucets, continued to be strong.
Consequently, the Advanced Materials business posted operating income of 474 million yen (up 15.2%
year-on-year) on net sales of 3,655 million yen (up 4.8% year-on-year).
[Fibers and Textiles]
In the Industrial Materials business, sales of ultra-high strength polyester filament yarn increased due toa recovery of demand in the field of building and civil engineering, its main applications, improving
profitability. Meanwhile, in the short-fiber polyester business, deficits decreased as a result ofconcentration and selection of the business, though sales volumes fell. Though exports of vinylon fiber,a replacement for asbestos, declined, their sales remained strong in Japan and their profitability
improved in part thanks to the price revision.
In the Garments, Lifestyle Materials, and Bedding business, sales of uniforms for factory workers wereon the rebound in the uniform field, and exports of denims and sales in women’s clothing fields
remained steady. However, sales fell in the Garments, Lifestyle Materials, and Bedding business due tosluggish sales for winter clothes in the sports and inner wear field.
Consequently, the Fibers and Textiles business posted operating income of 11 million yen (operating
income of 0 million yen in the previous year) on net sales of 15,632 million yen (down 2.9%
year-on-year).
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Unitika Ltd. (3103)

Financial results for 1st quarter of fiscal year ending March 31, 2015

[Others]
In the Healthcare & Amenity business, sales of feed materials were strong, while those of functional
dietary materials except lactobionic acid remained sluggish. Sales of health supplements also remained
weak due to reaction to strong last-minute demand before the consumption tax rate hike. In the Medical
business, sales continued increasing in the medical product field due to solid growth in sales ofcatheters for the treatment of circulatory system diseases, its mainstay product. In the biochemical field,
sales of enzymes grew solidly.
In the Real Estate business, sales increased greatly due to steady sales of condominiums.
Consequently, the Others category posted operating income of 152 million yen (down 21.4%
year-on-year) on net sales of 3,085 million yen (up 21.7% year-on-year).
(2) Explanation of financial situation
Total assets decreased by 3,056 million yen from the end of the previous consolidated fiscal year to251,125 million yen, mainly due to a decrease in cash and deposits despite an increase in notes andaccounts receivable - trade. Liabilities decreased by 1,341 million yen from the end of the previous
consolidated fiscal year to 233,472 million yen, mainly due to a decrease in net defined benefit liability.
Net assets decreased by 1,714 million yen from the end of the previous consolidated fiscal year to
17,653 million yen, mainly due to a decrease in retained earnings.
(3) Explanation of future forecast information including forecast of consolidated performance
The Unitika Group will promote its growth strategy and carry out its business portfolio restructuring astargets for the first year of its new medium-term management plan announced on May 26, 2014.
The Company has not changed the forecast of consolidated performance for fiscal year ending March
31, 2015 announced on May 26, 2014 in accordance with the new medium-term management plan.
Meanwhile the Company has left its forecast of consolidated performance for the first half of the fiscal
year ending March 31, 2015 undecided.
2. Matters concerning Summary Information (Notes)(1) Changes in significant subsidiaries during the period
Not applicable(2) Adoption of special accounting methods for preparing quarterly consolidated financial statements
Not applicable(3) Changes in accounting policies, changes in accounting estimates and retrospective restatements(Changes in accounting policies)(Application of the Accounting Standard for Retirement Benefits)
Effective from the first quarter of the current consolidated accounting year, the Unitika Group has
applied the Accounting Standard for Retirement Benefits (ASBJ Statement No.26, issued May 17, 2012;
hereinafter, the Accounting Standard) and the Guidance on the Accounting Standard for Retirement
Benefits (ASBJ Guidance No.25, issued May 17, 2012; hereinafter, the Guidance). In accordance withthe provisions stipulated in the main clause of Article 35 of the Accounting Standards and in the mainclause of Article 67 of the Guidance, the Group reviewed the method of calculation for retirement
benefit obligations and service costs, and changed the method of attributing expected retirement benefit
to periods from the fixed amount per period standard to the benefit formula standard; and changed themethod of calculating discount rate from a method based on the number of years close to averageremaining service periods for employees to a method using a single weighted average discount rate thatreflects the estimated timing of benefit payment and amount of benefit payments by the estimatedtiming.
The Accounting Standards and Guidance have been applied in a transitional manner as provided inparagraph 37 of the Accounting Standard, and the effects from the changes in calculation method for
retirement benefit obligations and service costs have been reflected in retained earnings at the beginningof the first quarter of the current consolidated accounting year.
Consequently, net defined benefit liability decreased by 1,426 million yen and retained earnings
increased by 1,426 million yen at the beginning of the first quarter of the current consolidated
accounting year. In addition, operating income, ordinary income, and net income before income taxes
decreased by 54 million yen, respectively, in the first quarter of the current consolidated accounting
year.

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Unitika Ltd. (3103)

Financial results for 1st quarter of fiscal year ending March 31, 2015

3. Quarterly Financial Statements(1) Consolidated quarterly balance sheets(Unit: Millions of yen)Previous consolidated
fiscal year
(March 31, 2014)
AssetsCurrent assets
Cash and deposits
Notes and accounts receivable-trade
Inventories
Other
Allowance for doubtful accounts
Total current assets
Noncurrent assets
Property, plant and equipment
Land
Other, net
Total property, plant and equipment
Intangible assets
Goodwill
Other
Total intangible assets
Investments and other assets
Other
Allowance for doubtful accounts
Total investments and other assets
Total noncurrent assets
Total assets-4-

Q1 of FY ending March 2015
(June 30, 2014)

19,58735,32439,891
4,736(169)
99,37014,41037,46741,5184,493(167)
97,722103,036
45,551
148,588

102,21144,834147,046

9
1,191
1,201

8
1,223
1,231

5,294
(273)
5,020
154,811254,181

5,398
(273)
5,125
153,403251,125

Unitika Ltd. (3103)

Financial results for 1st quarter of fiscal year ending March 31, 2015

(Unit: Millions of yen)Previous consolidated
fiscal year
(March 31, 2014)
Liabilities
Current liabilities
Notes and accounts payable-trade
Short-term loans payable
Current portion of long-term loans payable
Income taxes payable
Provision for bonuses
A product repair reserve fund
Provision for business structure improvement
Other
Total current liabilities
Noncurrent liabilities
Long-term loans payable
Provision for directors’ retirement benefits
Net defined benefit liability
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-salesecurities
Deferred gains or losses on hedges
Revaluation reserve for land
Foreign currency translation adjustment
Remeasurements of defined benefit plans
Total accumulated other comprehensive income
Minority interests
Total net assets
Total liabilities and net assets-5-

Q1 of FY ending March 2015
(June 30, 2014)

19,696
70,12539,240
1,035
1,595
1,284
566
11,012
144,555

20,02924,499
3,000
205
854
1,227
438
11,916
62,17055,18726
13,03422,00890,257
234,813

135,81726
11,72623,729171,301
233,472

26,298
4,385(11,392)(44)
19,24526,298
4,385(13,327)(45)
17,310

265

301

(8)
2,918
(2,904)(3,977)(3,705)
3,828
19,368254,181

0
2,918(3,032)(3,634)(3,446)
3,789
17,653
251,125

Unitika Ltd. (3103)

Financial results for 1st quarter of fiscal year ending March 31, 2015

(2) Consolidated quarterly statements of income and consolidated quarterly statements of comprehensive
income(Consolidated quarterly statements of income)(Three-month period ended June 30, 2014)

Net sales
Cost of sales
Gross profit
Selling, general and administrative expenses
Operating income
Non-operating income
Interest income
Dividends income
Foreign exchange gains
Other
Total non-operating income
Non-operating expenses
Interest expenses
Share of loss of entities accounted for using
equity method
Other
Total non-operating expenses
Ordinary income
Extraordinary income
Gain on sales of investment securities
Total extraordinary income
Extraordinary loss
Loss on disposal of noncurrent assets
Impairment loss
Business structure improvement expenses
Other
Total extraordinary loss
Income (loss) before income taxes and minority
interests
Income taxes-current
Income taxes-deferred
Total income taxes
Income (loss) before minority interests
Minority interests in income
Net income (loss)

Three-month period
ended June 30, 2013
(April 1, 2013 toJune 30, 2013)
38,23330,839
7,393
5,540
1,853
28
47
450
230
757

165
228

702
3

725
0

243
949
1,661

384
1,110
651

275
275



80

108
188
1,747

99
1,257
1,160
15
2,532
(1,881)

168
123
291
1,456
9
1,446

95
1,376
1,472
(3,353)8(3,361)-6-(Unit: Millions of yen)Three-month period
ended June 30, 2014
(April 1, 2014 toJune 30, 2014)
37,93130,491
7,439
5,905
1,534
22
40




Unitika Ltd. (3103)

Financial results for 1st quarter of fiscal year ending March 31, 2015

(Consolidated quarterly statements of comprehensive income)(Three-month period ended June 30, 2014)(Unit: Millions of yen)Three-month period ended
June 30, 2013
(April 1, 2013 to June 30, 2013)

Three-month period ended
June 30, 2014
(April 1, 2014 to June 30, 2014)

1,456(3,353)

42
(1)
560
—
601
2,057

35
11
(177)
342
211
(3,141)

1,950(3,102)

107(39)

Income (loss) before minority interests
Other comprehensive income
Valuation difference on available-for-sale securities
Deferred gains or losses on hedges
Foreign currency translation adjustment
Remeasurements of defined benefit plans
Total other comprehensive income
Quarterly comprehensive income(Comprehensive income attributable to)
Quarterly comprehensive income attributable toowners of the parent
Quarterly comprehensive income attributable tominority interests-7-

Unitika Ltd. (3103)

Financial results for 1st quarter of fiscal year ending March 31, 2015

(3) Notes on quarterly consolidated financial statements(Notes on going concern assumption)
Not applicable(Notes on significant changes in shareholders’ equity)
Not applicable(Segment information)
Segment Information
I. Three-month period ended June 30, 2013 (April 1, 2013 to June 30, 2013)
Information on net sales, income or loss by reportable segment(Unit: Millions of yen)
Reportable segment
Polymers

Advanced Fibers &Materials Textiles

Total

Other
(Note 1)

Total

Adjustment(Note 2)

Figure in quarterly
consolidated
statements ofincome(Note 3)

Net sales
Net sales to outside customers
Inter-segment sales or transfers

16,1134

3,487
16

16,09649

35,698
69

2,535
412

38,233
482

—
(482)

38,233—

Total

16,1183,504

16,14535,7682,947

38,715(482)

38,233

Segment income
1,879
411
0
2,292
194
2,487
(633)
1,853
(Notes) 1. Other includes the Environmental Business, Medical Business, Health & Amenity Business, and Real Estate-related
Business.
2. Adjustment of (633) million yen for Segment income includes corporate expenses that are not allocated to each reportablesegment.
3. Segment income is adjusted with operating income in quarterly consolidated statements of income.

II. Three-month period ended June 30, 2014 (April 1, 2014 to June 30, 2014)
Information on net sales, income or loss by reportable segment(Unit: Millions of yen)
Reportable segment
Polymers

Advanced Fibers &Materials Textiles

Total

Other
(Note 1)

Total

Figure in quarterly
consolidated
Adjustment
statements of(Note 2)income(Note 3)

Net sales
Net sales to outside customers
Inter-segment sales or transfers

15,558143,655
615,632
49

34,846
69

3,085
363

37,931
432

—
(432)

37,931—

Total

15,572

3,662

15,681

34,916

3,448

38,364(432)

37,931

Segment income
1,500
474
11
1,986
152
2,139
(605)
1,534
(Notes) 1. Other includes the Environmental Business, Medical Business, Health & Amenity Business, and Real Estate-related
Business.
2. Adjustment of (605) million yen for Segment income includes corporate expenses that are not allocated to each reportablesegment.
3. Segment income is adjusted with operating income in quarterly consolidated statements of income.

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