Consolidated Financial Statement for 1Q of FY2007(April 1, 2007 - June 30, 2007)
August 3, 2007
UNITIKA LTD.
Listed on the First Section of TSE and OSE (Stock Code: 3103)
URL http://www.unitika.co.jp/eRepresentative: Otofumi ONISHI, President and Chief Executive Officer
Contact Person: Kazuo OTSUKI, GM, Accounting Department Tel: +81-6-6281-5721(Amounts less than one million yen are omitted)

1. Consolidated Performance for the 1st Quarter FY2007 (April 1, 2007 - June 30, 2007)(1)Consolidated Operating Results
Three months ended June 30

Percentage indicates increase /(decrease) from the previous year

Net sales

Operating income

Ordinary income

Net income

Million yen%

Million yen%

Million yen%

Million yen

2007

54,635

7.6

2,259

32.4

2,458

80.1

1,658

224.9

2006

50,7670.1

1,706(52.3)

1,364(56.4)

510(59.4)

Year ended
March 31, 2007

220,572-

11,171-

8,458-

2,562-Net income per share

Diluted net income per share

YenYen

2007

3.49-

2006

1.07-

Year ended
March 31, 20075.39-%(2) Consolidated Financial Position
As of June 30
Total assets

Net assets

Million yenMillion yen

Shareholders’ equity
ratio%

2007

328,097

39,158

10.5

72.67

2006

324,457

38,598

10.4

71.28

Year ended
March 31, 2007

328,382

39,959

10.8

74.24

-1-Net assets per shareYen

2. Forecast for the Fiscal Year 2007 Ending March 31, 2008 (from April 1, 2007 to March 31, 2008)
No amendments were made to the forecast for FY 2007 that was announced on May 11, 2007 in the Financial
Statements for 2006.
3. Others(1) Changes in major subsidiaries during the subject fiscal year (transfer of specific subsidiaries following achange in the scope of consolidation): None
(2) Application of simplified methods in accounting procedures: Yes(3) Changes in accounting methods since the recent consolidated fiscal year: None
[Note: For further details, refer to “Qualitative Information and Financial Statements, Clause 4 Others”]* Note to ensure the appropriate use of the result forecast and the other special information
Any result forecast and future outlook statements contained in this material are based on the current information
available to and judged as reasonable by the company management. Actual performance and results may
significantly differ from these descriptions because of a number of factors.

-2-

[Qualitative Information and Financial Statements]
1. Qualitative Information for Consolidated Operating Results
During the 1st quarter of FY 2007 (from April 1, 2007 to June 30, 2007), the domestic economy continued to be
firm but with further increases in petrochemical raw material prices and the future prospects remaining obscure.
Under such circumstances, our group tackled various measures to improve income, and for the 1st quarter ofFY2007, net sales showed 54,635 million yen, operating income was 2,259 million yen, ordinary income was2,458 million yen, and net income for the quarter was 1,658 million yen.
Here following, business performance is given by segment.
[Polymers]
In the film business, total film sales remained firm but nylon films were exposed to severe business circumstances,
affected by further increases in raw material prices. The resin business continued to be firm with sales expansionof functional resins mainly for the applications in automotive, electrical and electronic parts. Nonwoven fabrics
proceeded more or less steadily with the expansion in export business and in applications for hygienic products.
[Environmental Business and Advanced Materials]
The environmental business is faced with a difficult situation under the reduction in public projects and the lower
prices of contracts. However, the construction works for orders delayed from the previous period helped arecovery in sales. In the advanced materials business, IC cloth was affected by inventory adjustments, but glass
fiber proceeded steadily with a growth in applications for nonflammable products, as well as glass beads forreflective materials.
[Fibers and Textiles]
The synthetic fiber business was affected by increased raw material prices and business in nylon fibers was
somewhat sluggish while the sales of polyester fiber continued to be firm. On the other hand, in the natural fiberbusiness, the influx rush of overseas products could not be stopped, raw material prices increased and theinfluence of foreign exchange rates occurred, so business conditions have been very severe. However, an increase
was seen in sales of uniforms.
[Healthcare & Amenity and Others]
In the healthcare & amenity business, the medical field business more or less progressed according to plans, but
growth in the health supplements field was sluggish. In other businesses, income relating to real estate decreased.
2. Qualitative Information for Consolidated Financial Position
The total assets as of the end of the 1st quarter FY2007 amounted to 328,097 million yen, a decline of 284 million
yen compared with the end of the previous period. The major increases and decreases were the increase in sales
credits and inventory assets and the decrease in investments and other assets.
Net assets, including minority interests amounted to 39,158 million yen, increasing net income for this 1st quarterbut decreasing by 800 million yen compared with the end of the previous period due to foreign currencytranslation adjustments, etc.
3. Qualitative Information for Consolidated Result Forecast
There were no amendments to the result forecast.
4. Others(1) Changes in major subsidiaries during the subject fiscal year (transfer of specific subsidiaries following achange in the scope of consolidation): None
(2) Adoption of simplified methods in accounting procedures: Yes
A simplified method is adopted for a part of the reserves.
(3) Changes in accounting methods since the recent consolidated fiscal year: None-3-5. Consolidated Balance Sheet
Unit:Millions of yen
Mar 31,2007

Jun 30,2007

Increase(Decrease)

16,50149,73465,2668,562
140,065

15,841
51,88067,2889,840
144,850

(660)
2,145
2,022
1,278
4,785

13,426
46,712
61,9609,257
131,356

Intangible fixed assets

164,115
1,651

164,147
1,635

31
(16)

165,370
1,395

Investments and other assets
Total fixed assets
Total assets

22,550188,317
328,382

17,464
183,247
328,097(5,086)(5,070)(284)

26,335
193,100
324,457

LIABILITIESI.Current liabilities
Notes and accounts payable
Short-term interest-bearing debt
Other current liabilities
Total current liabilities

41,999106,760
20,239168,999

39,447
106,432
20,009165,890(2,551)(327)(229)(3,108)32,954105,445
20,480158,880

II.Long-term liabilities
Long-term interest-bearing debt
Allowance for retirement benefits
Other long-term liabilities
Total long-term liabilities
Total liabilities

90,1983,926
25,299119,423
288,423

94,6783,280
25,089123,048
288,939

4,479
(645)
(209)
3,624
516

94,523
4,940
27,515
126,979
285,859

NET ASSETS
I.Shareholders' equity
Common stock
Capital surplus
Retained earnings
Treasury stock
Total shareholders' equity

23,798
1,661
6,660
(37)
32,082

23,798
1,661
7,507
(38)
32,928

847
(1)
846

23,798
1,661
4,482
(31)
29,909

1,039
2

1,059
3

19
1

1,576
10

3,444
(1,258)3,281(2,709)(162)(1,451)

3,831(1,422)

3,227
4,649

1,634
4,594

(1,592)
(54)

3,995
4,692

39,959328,382

39,158328,097

(800)
(284)

38,598324,457

ASSETS
I.Current assets
Cash and cash equivalents
Notes and accounts receivable
Inventories
Other current assets
Total current assets
II.Fixed assets
Property,plant and equipment

Jun 30,2006

II.Valuation and translation adjustments
Unrealized gain on other securities
Deferred gain on derivatives
under hedges accounting
Land revaluation excess
Foreign currencytranslation adjustments
Total valuation and translation adjustments
III.Minority interests inconsolidated subsidiaries
Total net assets
Total liabilities and net assets-4-Consolidated Statements of Income
Unit:Millions of yen
Three months ended June 30

I. Net sales
II. Cost of sales
Gross profit

III. Selling, general andadministrative expenses
Operating income

2006

2007

Increase(Decrease)

Year ended
March 31,2007

50,76754,635

3,867

220,572

41,1309,637

44,660
9,974

3,530
337

178,21142,360

7,930

7,714

(216)

31,189

1,706

2,259

553

11,171

160
129

162
457

1
327

399
274

941
1,231

1,251
1,870

309
638

3,074
3,748

927
646
1,573

996
675
1,671

69
28
98

3,875
2,585
6,461

1,364

2,458

1,093

8,458

9

1,249

1,239

41

287
1,087

475
3,232

188
2,144

5,129
3,369

615
(38)

1,650(77)1,035(38)947(140)

510

1,658

1,148

2,562

IV. Non-operating incomesInterest income and dividends
Equity in income of unconsolidated
subsidiaries and affiliates
Other incomes
Total non-operating incomes
V. Non-operating expenses
Interest expense
Other expenses
Total non-operating expenses
Ordinary income
VI. Extraordinary income
VII. Extraordinary losses
Income before income taxes
Tax expense
Minority interest in income of
consolidated subsidiaries
Net income-5-

Segment Information
Business Segment Information
Three months ended June 30, 2006

Unit:Millions of yen

Polymers

Environmental
Business andAdvanced
Materials(1) Outside customers

16,107

5,274

23,3846,000

50,767-50,767(2) Inter-segment net
sales and transfers

961

167

108

780

2,017

(2,017)-Total17,0685,441

23,493

6,781

52,784(2,017)50,767

II Operating expenses
Operating income

15,582
1,486

5,818(377)23,484
9

5,700
1,081

50,585
2,199(1,524)(492)

49,0601,706Fibers
andTextiles

Healthcare& Amenityand Others

Total

EliminationorCorporate

Consolidated Total
total

Net sales and operating incomeI. Net sales(Note) Unallocated operating expenses disclosed in “Elimination or Corporate” amounted to 511 million yen.

Three months ended June 30, 2007

Unit:Millions of yen

Polymers

Environmental
Business andAdvanced
Materials(1) Outside customers

16,931

6,574

25,086

6,041

54,635-54,635(2) Inter-segment net
sales and transfers

976

139

159

765

2,040

(2,040)-Total

17,908

6,713

25,246

6,807

56,675(2,040)54,635

II Operating expenses
Operating income

16,062
1,845

6,424
289

25,182
63

6,150
656

53,8202,855(1,444)(595)

52,3752,259

FibersandTextiles

Healthcare& Amenityand Others

Total

EliminationorCorporate

Consolidated Total
total

Net sales and operating income
I. Net sales(Note) Unallocated operating expenses disclosed in “Elimination or Corporate” amounted to 586 million yen.

Fiscal year ended March 31, 2007

Unit:Millions of yen

Polymers

Environmental
Business andAdvanced
Materials

66,198
3,832

28,947703

103,236561

22,1903,372

220,572
8,470(8,470)

220,572-

Total

70,031

29,650103,798

25,562

229,042(8,470)

220,572

II Operating expenses
Operating income

62,3907,640

27,374
2,276

101,685
2,112

23,391
2,170

214,842
14,200(5,441)(3,028)

209,400
11,171

Net sales and operating income
I. Net sales(1) Outside customers(2) Inter-segment netsales and transfers

FibersandTextiles

Healthcare& Amenity
and Others

Total

EliminationorCorporate(Note) Unallocated operating expenses disclosed in “Elimination or Corporate” amounted to 3,088 million yen.

-6-

Consolidated Total
total