February 3, 2016
Taiyo Nippon Sanso Corporation

Consolidated Financial Performancefor the First Three Quarters of Fiscal Year 2016
(Based on Japan GAAP)
1. Financial results for the first three quarters (April 1, 2015 - December 31, 2015)(1) Operating results

Net salesFirst threequarters ofFY2016First threequarters ofFY2015

Operating income(Amounts less than ¥1 million are omitted)
Net income
Ordinary income
attributable to ownersof the parent(¥ million)

YoY
Change(¥ million)

YoYChange(¥ million)

YoYChange(¥ million)

YoY
Change437,018

7.5%

31,051

19.1%31,587

18.1%

20,675

32.2%

406,687

6.9%

26,062

17.1%

26,74721.2%

15,642(5.9)%

Note: Comprehensive income
First three quarters of FY2016: ¥13,009 million [(57.2)% ]First three quarters of FY2015: ¥30,402 million [(18.0)% ]Earnings pershare (Yen)

Diluted earnings
per share (Yen)First threequarters ofFY2016First threequarters ofFY2015

47.77―36.14―(2) Financial position
Total assets(¥ million)
First three quarters ofFY2016(December 31, 2015)
FY2015 (March 31, 2015)

Net assets(¥ million)

Equity ratio (%)

809,378

348,198

39.9

782,357

341,20740.5

Note: Equity
As of December 31, 2015: ¥323,073 million
As of March 31, 2015:¥317,244 million
2. Dividends
Annual DividendstFY2015
FY2016FY2016 (est.)

End of 1 quarterEnd of 2 quarterEnd of 3rd quarter

Term end

Yen

Yen

Yen

Yen

―
―nd

6.00
7.00

Note: No revisions have been made to recently announced forecasts.

――

Total

7.00

Yen
13.00

7.00

14.00

3. Forecasts for business operations for FY2016 full term (April 1, 2015 – March 31, 2016)(%: YoY)Net sales

Full term

Operating income

Ordinary income

Net income
attributable toowners of the parent(¥ million)

YoYChange(¥ million)

YoYChange(¥ million)

YoYChange(¥ million)

YoY
Change655,000

17.1

42,50020.4

41,30020.5

27,00030.0

Earnings
per share(Yen)

62.39

Note: No revisions have been made to recently announced forecasts.
4. General information relating to the first three quarters results
From the first quarter of the fiscal year under review, the Company has applied the provisions set forthin Article 39 of the Revised Accounting Standard for Consolidated Financial Statements (ASBJ
Statement No. 22, September 13, 2013), changing the presentation wording from “net income” to “netincome attributable to owners of the parent” and from “minority interests” to “non-controllinginterests.”
Overall business performance (consolidated basis)
In the first three quarters of the fiscal year under review (from April 1, 2015, to December 31, 2015), in
the global economy, China’s economic slowdown became more pronounced with uncertainties
spreading to other neighboring countries in Asia. Meanwhile, in the United States, employment isrecovering firmly and an expansionary trend driven by internal demand continues. However, growth inexports has begun to wane in line with the dollar’s appreciation and economies in other parts of theworld slowing. With corporate capital expenditures starting to increase somewhat, Japan has seen a
gradual recovery in its economy, even though growth in personal consumption has remained sluggish.
Against this backdrop, Taiyo Nippon Sanso Group (TNSC Group) achieved the following results forthe first three quarters of the fiscal year under review. Net sales on a consolidated basis increased 7.5%
year on year to ¥437,018 million, operating income rose 19.1% to ¥31,051 million, ordinary income
increased 18.1% to ¥31,587 million, and net income attributable to owners of the parent increased by
32.2% to ¥20,675 million.
A breakdown of business performance by reportable segment is as follows.
To reflect more properly the Company's operating results by reportable segment, from the fourth
quarter of the consolidated fiscal year ended March 31, 2015, the Company has changed the method of
allocating certain expenses to a method based on a rational standard appropriate for the actual situation
after a reorganization of each segment. Segment results for the first three quarters of the fiscal year
ended March 31, 2015 have been prepared by the method of calculating profit or loss after thereorganization.
In addition, starting from the second quarter of the fiscal year under review, the reportable segment,Gas Business in Asia, was renamed the Gas Business in Asia & Oceania. This was only a change in thereportable segment name with no impact on the segment information.

(1) Gas Business in Japan
Sales of air separation gases (oxygen, nitrogen and argon), a core product, declined year on year, mainlyreflecting a decline in demand from the key industries of steel, chemical, and electronics, despite strong
demand from the shipbuilding and transportation equipment-related industries.
Sales of electronic materials gases were lower year on year, tracking falling demand from the LCD
panel and semiconductor-related industries.
An order received for a large project drove a substantial increase in sales of equipment andinstallation work in the electronics industry.
In the medical field, sales grew substantially year on year, mainly in medical equipment for home use.
Sales of liquid petroleum gas (LPG) dropped substantially year on year due to a fall in the importprice.
As a result, in the Gas Business in Japan, net sales decreased 4.0% year on year to ¥240,719 million,
while operating income rose 9.5% to ¥19,878 million, in part, because of cost reductions in line withfalling oil prices.
(2) Gas Business in the United States
Sales of air separation gases were steady although sales of helium declined owing to deterioration in thebalance of supply and demand. Shipments to major customers within the U.S. and exports of electronicmaterials gases rose. In addition, as a result of foreign exchange translation gains and the result of M&Astrategies, sales increased significantly year on year
As a result, in the Gas Business in the United States, net sales increased 21.9% year on year to¥116,169 million, while operating income rose 27.1% to ¥4,516 million.
(3) Gas Business in Asia & Oceania
In the industrial gas-related business, sales increased substantially in Vietnam and the Philippines. Apartfrom that, Air Products Industry Co., Ltd. in Thailand and Renegade Gas Pty Ltd in Australia wereconsolidated as subsidiaries of the Company in May and July 2015, respectively.
In the electronics-related field, sales of electronic materials gases and equipment grew substantially,
supported by continuing strong demand in Taiwan, China, and South Korea.
As a result of the above, in the Gas Business in Asia & Oceania, net sales increased 33.5% year on
year to ¥59,291 million, and operating income rose by 32.3% to ¥3,067 million.
(4) Other Businesses
In the Thermos Business, sales remained strong, particularly of new products, and increased
substantially year on year.
As a result, in Other Businesses, net sales increased 28.1% year on year to ¥20,838 million, andoperating income rose 49.9% to ¥4,704 million.

5. Segment information(1) Figures of sales, earnings or losses, by reportable segment
First Three Quarters, FY2015 (April 1, 2014 – December 31, 2014)(¥ million)
Gas
Businessin JapanSales(1) Sales toexternalcustomers(2) Sales frominter-segment
transactions andtransfers
TotalSegment
earnings[Operatingincome]

Reportable segmentGas
Gas
OtherBusinessBusiness Businesses
in thein Asia
United&States
Oceania

Total

Adjustments(Note)

Amounts ontheConsolidated
Statementsof Income250,698

95,31044,417

16,261

406,687－406,687

3,567

4,923

809

480

9,780

(9,780)－254,265

100,234

45,226

16,741

416,468

406,687

18,152

3,554

2,318

3,137

27,162(9,780)(1,099)26,062

Note: The ¥1,099 million negative adjustment for segment earnings is comprised of ¥50 million ofintersegment eliminations and companywide expenses of ¥1,150 million that were notallocated to any particular reportable segment. These are companywide expenses related
principally to basic research expenses that were not allocated to a particular reportablesegment.
First Three Quarters, FY2016 (April 1, 2015 – December 31, 2015)(¥ million)
Gas
Businessin JapanSales(1) Sales toexternalcustomers(2) Sales frominter-segment
transactions andtransfers
TotalSegment
earnings[Operatingincome]

Reportable segment
Gas
Gas
Other
Business
Business Businesses
in thein Asia
United&States
Oceania

Total

Adjustments(Note)

Amounts ontheConsolidated
Statements ofIncome

240,719

116,169

59,291

20,838437,018－

437,018

5,511

4,797

1,730

469

12,509(12,509)－

246,231

120,967

61,021

21,308449,528

437,018

19,878

4,516

3,067

4,704

32,166(12,509)(1,115)31,051

Note: The ¥1,115 million negative adjustment for segment earnings is comprised of ¥82 million ofintersegment eliminations and companywide expenses of ¥1,032 million that were notallocated to any particular reportable segment. These are companywide expenses related
principally to basic research expenses that were not allocated to a particular reportablesegment.

(2) Changes to reportable segments
Renaming of a reportable segment
Starting from the second quarter of the fiscal year under review, the reportable segment, Gas
Business in Asia, was renamed the Gas Business in Asia & Oceania. This was only a change in thereportable segment name with no impact on the segment information. Segment information for theprevious fiscal year’s first three quarters ended December 31, 2014 has been restated in terms of thisnew segment name in this report.
Change in method of calculating earnings and losses in reportable segments
To reflect more properly the Company's operating results by reportable segment, from the fourth
quarter of the consolidated fiscal year ended March 31, 2015 the Company has changed the methodof allocating certain expenses to a method based on a rational standard appropriate for the actual
situation after a reorganization of each segment.
The "Figures of sales, earnings or losses, by reportable segment" for the first three quarters of thefiscal year ended March 31, 2015 have been prepared by the method of calculating profit or loss after
the reorganization.
As a result, segment earnings (operating income) for the period of the previous fiscal year
increased by ¥170 million for the Gas Business in Japan, decreased by ¥43 million for the Gas
Business in the United States, and decreased by ¥127 million for the Gas Business in Asia &Oceania.